Quote:
Originally Posted by slapass
Real estate never goes down - yeah right.
Stocks average 10% a year - not for the last decade.
Timing the market does not work - it rocks! See Warren Buffet or George Soros.
Debt is bad - exceptional returns can not be made without debt.
Get a good job and work hard - changing every 3 years is a much better idea.
You can pretty much do the opposite of everything you have heard and do better.
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Who ever told you real-estate never goes down is an idiot. Over "time" real-estate will go up, but from year to year or for a stretch of years it can go down.
Stocks average 10% a year. Over historical time (not 10 years) they have averaged around that. Go look at what the stocks did in the 90s. Last year they did a lot better than 10%. If you take a total of the last 20 years you still doing good. If you started in 2000 then you probably not doing well, but in another 10 years you might be back up over 10%.
Are you Warren Buffet or Soros? If not then you might as well go to the casino and gamble if you want to try to time the market. You will lose a lot more often then you win.
Personal debt is bad. Business debt in a lot of cases can be good. It comes down to making money with the bank's money. If you can borrow money at 6% and invest in something that gives you a 10% return then debt is real good. If you run up your credit cards on consumer crap, that is bad.