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If you had 50k.....


oldschoolsdime92
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Well, my step dad basically had this real life situation. Now he's got a large safe over flowing with guns. There's at least 40K of worth in there. Good investment? I'm not so sure. He's only shot maybe 5 of them. There's got to be like 30-35 different fire arms in that thing. If zombies rise up, I'm heading to his place. That's when the investment pays off lol.

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This always seems like a great idea until I hear of people having nightmare situations with tenants

Hah yeah. I've had good luck so far. I hope it stays that way! Screening and background checks, and getting to know the potential renter seems to really go a long way. I think it's easy to be selective right now because there are so many people that are renting.
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Since this is about investing...paying of a house isn't a "no brainer" good decsion.  From an ROI point of view, you will usually lose money long term by paying off a house early (unless you have a really high interest rate).

 

It's nice peace of mind to not have to worry about making a morgate payment, but isn't always great financial decision. 

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Give it to my guy and be done with it.  I don't handle anything and just got my mid year, making 28% this year so far, and that's just on my life insurance policy.  I don't even ask for qtly statements on my IRA's, just look at the end of the year.

 

I consider him winning at life for me. 

 

and for the record I wouldn't pay anything on our house, it's our biggest tax deduction and we plan to be there for a long time.  Plus our rate is so much lower than any ROI I am getting on anything and our car loans are either 0% or equal to our mortgage rate so ROI on any investment we have makes much more sense. 

Edited by madcat6183
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I'm not sure "investing" in firearms is the proper term.  If you buy ammo in bulk and flip it quickly for profit, that's not the dumbest idea I've ever heard though.

 

I knew of some retired police officers who would drive to Texas, buy a pallet of ammo, then come back home and sell it box-by-box on Armslist at a small markup.  They made enough to cover their expenses and still turn enough of a profit to keep them happy.  I guess it would depend on how quickly you turn them around, but even a 10% profit (after expenses) would be a decent ROI, assuming it's not too time-consuming to package and ship things.

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some say pay off the house, for me my mortgage is 3.2% I can do better investing and use the interests and dividends to pay the rent without touching the principal.

Most likely I would invest in growth, growth and income and a little tax free income investments.

 

As they say wall street is having a sale and no one is shopping. Funny how people will hunt around for a deal in the stores but rather pay full to over inflated prices with investments.

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Second thought would be land in Alaska in an undeveloped burrow on a lake or river. No property taxes. And hold for ten years.

 

Alaska actually has so many natural resources that citizens receive payment from the gov't in the form of tax credits.

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Remenber 10 years ago when land was under $1000/acre. It is now $2000-$3000 a acre. Solid investment that can be used and enjoyed.

If I could buy land for $3000/ac where I live I would snatch it up. It's not even close to that here. More like $15k/ac

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Remenber 10 years ago when land was under $1000/acre. It is now $2000-$3000 a acre. Solid investment that can be used and enjoyed.

Maybe, keep in mind you have to pay property taxes every year which can be substantial. Asset is hard to turn into cash and normally pay 6-8% at time of sale for commission then pay tax on the money made of not immediately reinvested. Also, liability insurance on the property top tote to yourself.

I used to think land was an awesome investment. I don't feel that way anymore.

Edited by turnone
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Land is fine but have to think about taxes and upkeep $$$$

 

Where I'm looking at cheap land that might one day be bought up by a developer - Colorado, Nevada, NM, Arizona, etc., - none your concerns are valid.  

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Where I'm looking at cheap land that might one day be bought up by a developer - Colorado, Nevada, NM, Arizona, etc., - none your concerns are valid.

They don't tax raw land annually? Or just so low it won't affect you? What happens if someone gets hurt on your property?

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