3 ms·
while a bank may write you a mortgage for 6x I think it’s very worthwhile considering how that fits into an overall financial plan.
by yellow_postit 5y ago
while a bank may write you a mortgage for 6x I think it’s very worthwhile considering how that fits into an overall financial plan.
- lpolovets 5y agoI'm not a financial advisor, but I think housing is a very reasonable investment given: 1) you need a place to live no matter what 2) historically the real estate market does well over long time horizons 3) if you make $540k and your mortgage is $200k/year, you'll still have like $100k-$150k in spending money after taxes. 4) housing values are a good hedge against inflation 5) IMHO inflation is going to be bad over the next few years, which means your fixed mortgage payments will shrink rapidly in an inflation-adjusted sense. YMMV