Exactly selling price as in what was paid 415k I want to know where he is getting 267 from??? That can't be the market value if he paid 415 recently.
Now let s talk about this concept of bare minimum and leverage returns. Having a mortgage that charges you 3% is a good thing if your house is going upon 20% a year. You are making money by borrowing and getting a leveraged return. If you put all cash in you would get a 20% return less 3%. If you only put in 10% you would get a 200% return less 3% on your investment. That is how people use credit to build wealth welcome to Finance 101. Who is smarter the guy in this situation the one who paid cash or the guy who borrowed and bought the bigger nicer home and created leveraged equity
I used to work at Homegold Financial so i know that its a crock of shit you just said. Even with leveraging equity, you still have to spend money for up keep and maintanance of the home which which eats into that equity you have, then there are people with adjustable mortgage rates, and the hope that they can keep their job and not get behind payments. That type of thinking is the reason people lose their homes
Not me...rather just have direct savings from the income i bring in minus expenses along with direct investments in stocks, bonds, and of course land
