Quote:
Originally Posted by The Porn Nerd
Great examples you posted of basic real estate principles! Now all I need is that 100K (and decent credit for the mortgages) and I'm off and running. 
Gotta love our resident expert thommy's logic. Pay in cash (dumb), put money in bank to gain interest (idiot), wait for unseen market forces to appear (which they may not) forcing you to sell and THEN he will have the last laugh.
OMG too funny. In terms of percentages I wonder which scenario is more likely to happen, yours or his?  |
Tommy's scenario never happens because like I explained - rental properties are based off income and not necessarily property value. Barring nuclear devastation, renters aren't going anywhere and when was the last time your landlord lowered your rent?
But yeah, real estate is the way to go. The best part about that scenario is on that 2 million in equity, a big fat zero has been paid in taxes. You literally can perpetually forgo the taxes, even if you sell it you can move all the income into a bigger piece of property through a 1031 exchange and literally never pay taxes. Why do you think Trump doesn't want to show his tax returns? He hasn't paid a dime on BILLIONS of real estate he owns. Fucking BILLIONS evaded..and the beautiful part is...it's all legal! lol