Collection or house

Yeah, and so is your collection. Chances are that if you have to sell it to get a house you won't have the money laying around to start replacing it.

 

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You are better off paying off your house as soon as possible, IMO. You do lose the tax benefit of a mortgage, but if you take what was your basic mortgage payment (setting aside money for property taxes and insurance from what were the escrow payments) and invest it, you are liable to come out much further ahead in the long run.

 

The last time I checked no matter how hard I tried to tape the slabs together my collection would not turn into a roof over my head. House all day long every time that is a no brainer. Collections are a luxury, a place to live is a necessity.

 

I would NEVER EVER sell my collection unless I with no doubt NEED the money

 

To give a quick and straight answer no! In fact I rather sell the house ,rent and buy more coins.
A house is a money pit.......and I'm done with repairs, mortgage , and a investment that was a worth it in the 50's- 70's and now a joke.
My wife has a patient that saw all the mess in the housing market coming. This guy was sharp, he sold the house before the bottom dropped out, and rented. He also got out of the market ,and also closed his 401K's and IRA's. Since he was not old enough to do so he took the hit from the feds .He then put all his money in C D'S .
Where most took a 40 % hit in their 401,&IRA'S he didn't yes he did pay uncle Sam but still managed to fair out much better then most. He got full price for his home,that two years later was under water with the new buyer.
He didn't loose the money he would of in the market and his savings on paper. He had the paper in a safe secure cd.
Yes true no growth to speak of .....but he's still setting on a nice nest egg. No mortage, no repairs, no worries. That's what I'm talking about . ....

 

He could have gotten out of the markets and kept the cash tax free in his IRA and 401k. Pardon me, but that has to be one of the dumbest things I've ever heard of. A door knob has more financial sense than that.

 

Sure, live the American dream...........rent an apartment and buy coins! I doubt if he's talking about some guy, he's probably talking about himself!

 

I dunno where you live but most places rent is basically the price of a mortgage now since so few people have the down payment or credit to buy and everyone is renting.

 

....and why is that?

 

Well I agree to disagree . ...... look I live in what I call the golden triangle. And housing depending on zip code can be extremely expensive . Even on par with Hollywood or Beverly Hills or more. He's doing very well house free and since he's a CPA he knows how to crunch the numbers.
In his words one of the best moves I ever made. As compared to his clients whom rode out the storm.

 

I agree to disagree for sure.

 

Another case in point we have a friend who owned a 38,000 yes that's thousand Sq ft home. It is located on a point that is outside Annapolis Md. The property has a guest house 3500 Sq ft. A pool, tennis courts, stables, at one time it sat on 20+ acres now down to 17.60. Due to its waterfront on the Chesapeake Bay and a creek. There's a place on the property that when standing on it you have 360 degree water view. The home sold for hundreds of thousands less then the appraisal value. And yes you're correct a one of a kind property . I bet there's not another that comps to it in or near Annapolis . It became a huge white elephant and selling was truly the biggest head ache she ever had.

 

For the love of me, I can't see why anyone would want a piece of property that large. Just me, I guess.

 

People need a place to live, if you can't buy all you can do is rent. It then becomes supply and demand and rent prices go up as it becomes more popular and fewer listings are on the market

That can happen at any time when you're talking 20+ million dollar homes. There is at least one other 20 plus million home in Annapolis and there are quite a few multi-million dollar homes. It is only an hour outside of the DC area, multimillion dollar homes are common throughout the area.

 

They had money at one time..... big money! And yes I will agree 100%. Their dinning room was what you expect to see in King Arthur I kid you not! Her husband passed and she needed to sell....... And what's truly scary is I venture to say it was just the two of them living there.....I be willing to bet that it be possible to travel throughout the house for a week and not run into each other .

 

They cannot afford the down payment or get a line of credit for a house. It isn't a choice if you can't actually buy a house

 

That's funny an hour out side of DC .....that depends on what day you're talking about lol. Case in point....today early this morning there was a accident on 495 at 2 pm the Traffic on I 95 heading south was still backed up 14 miles from 495, 4 lanes bumper to bumper .
One of my employees was in Northern Va. I called him and said leave now! You may make it home before midnight.

 

Again....why?