Flip Financing Example

[ww13]

LTV for folks with a good record is around 60-65%. You can equate that to nearly zero for prime areas. The only thing better would be if the loan was insured.

There are traders on here who believe they can generate 10% consistently? How did they perform during an extended downturn.

[bugmenot]

@Jil

@bugmenot

What has been your return with them? Is it worth putting some money into?

Why would you like to try this route as you know stocks very well? There are plenty of considerably less risk companies, dividend payers are there ! You can easily manage to earn more than 8%

Just curious… I like to know about different things.
BYW, 8% return is very good if it’s truly low risk.

[buyinghouse]

A good rhetorical or whatever mathematic question:

If you invested $360K, say $1K a month during 30 years, and at the end, retirement age, you get a return of $360K a year for 30 years or until you die, free an clear, no uncle Sam involved, would you do it?

OK, in real estate terminology. You buy a house worth $720K, would that give you $150K a year return at the end of the last mortgage payment (30 years)?

Caveat: No risk of your money involved.

Use your calculators! Einsteins welcome to use their skills…

[marcus335]

@buyinghouse

A good rhetorical or whatever mathematic question:

If you invested $360K, say $1K a month during 30 years, and at the end, retirement age, you get a return of $360K a year for 30 years or until you die, free an clear, no uncle Sam involved, would you do it?

OK, in real estate terminology. You buy a house worth $720K, would that give you $150K a year return at the end of the last mortgage payment (30 years)?

Caveat: No risk of your money involved.

Use your calculators! Einsteins welcome to use their skills…

Umm. Your two scanarios aren’t even close to even. You need to stop using made up numbers.

[buyinghouse]

@marcus335

@buyinghouse

A good rhetorical or whatever mathematic question:

If you invested $360K, say $1K a month during 30 years, and at the end, retirement age, you get a return of $360K a year for 30 years or until you die, free an clear, no uncle Sam involved, would you do it?

OK, in real estate terminology. You buy a house worth $720K, would that give you $150K a year return at the end of the last mortgage payment (30 years)?

Caveat: No risk of your money involved.

Use your calculators! Einsteins welcome to use their skills…

Umm. Your two scanarios aren’t even close to even. You need to stop using made up numbers.

My apologies, yes, of course they are made up numbers. This can be dialed up by age and length of time putting (investing) that money. Have you heard of compound interests?

[marcus335]

@buyinghouse

@marcus335

@buyinghouse

A good rhetorical or whatever mathematic question:

If you invested $360K, say $1K a month during 30 years, and at the end, retirement age, you get a return of $360K a year for 30 years or until you die, free an clear, no uncle Sam involved, would you do it?

OK, in real estate terminology. You buy a house worth $720K, would that give you $150K a year return at the end of the last mortgage payment (30 years)?

Caveat: No risk of your money involved.

Use your calculators! Einsteins welcome to use their skills…

Umm. Your two scanarios aren’t even close to even. You need to stop using made up numbers.

My apologies, yes, of course they are made up numbers. This can be dialed up by age and length of time putting (investing) that money. Have you heard of compound interests?

Yes and I can actually calculate the impact of it instead of completely making up numbers.

[buyinghouse]

I gave you the coordinates. Tell me how much you come up with.

[marcus335]

$1k/mo would get you about $1.4M after 30 years at 7% interest. If you don’t touch principle, you’d get an income of $89k/yr at the same 7%. So you’re example of $360k/yr income from it is a bit crazy.