Our economy struggling with uncertainties, housing issues, foreclosures, global fluctuations, and pandemic aftermath, causing instability. Rising inflation, sluggish growth, and trade disruptions need urgent attention from all sectors to restore stability and stimulate growth.
@HildaBennet
19 күн бұрын
With the US dollar losing value to inflation and other currencies gaining traction, uncertainty looms. Yet, many still trust in the Dollar's perceived safety. Worried about my $420,000 retirement savings losing value, I seek alternative security for my money.
@FinnBraylon
19 күн бұрын
With my demanding job, I lack time for investment analysis. For seven years, a fiduciary has managed my portfolio, adapting to market conditions, enabling successful navigation and informed decisions. Consider a similar approach.
@JosephineKenney
19 күн бұрын
this is definitely considerable! think you could suggest any professional/advisors i can get on the phone with? i'm in dire need of proper portfolio allocation
@FinnBraylon
19 күн бұрын
Her name is Sonya Lee Mitchell. Hope that helps
@JosephineKenney
19 күн бұрын
I appreciate it. After searching her name online and reviewing her credentials, I'm quite impressed. I've contacted her as I could use all the help I can get. A call has been scheduled.
@kortyEdna825
5 ай бұрын
I was advised to diversify my portfolio among several assets such as stocks and bonds since this can protect my inherited portfolio of about $2.5m. I’m used to just buying and holding assets which doesn’t seem applicable to the current rollercoaster market plus inflation is catching up with my portfolio. I’m really worried about survival after retirement.
@KaurKhangura
5 ай бұрын
True, I mostly just buy and hold stocks, but my portfolio has been mostly in the red for quite awhile now. Unfortunately to be able to make good gains, you’ll need to be consistent and restructure your portfolio frequently.
@brucemichelle5689.
5 ай бұрын
It's often true that people underestimate the importance of financial advisors until they feel the negative effects of emotional decision-making. I remember a few summers ago, after a tough divorce, when I needed a boost for my struggling business. I researched and found a licensed advisor who diligently helped grow my reserves despite inflation. Consequently, my reserves increased from $275k to around $750k.
@foden700
5 ай бұрын
My partner’s been considering going the same route, could you share more info please on the advisor that guides you?
@brucemichelle5689.
5 ай бұрын
There are a handful of experts in the field. I've experimented with a few over the past years, but I've stuck with ‘’COLLEEN ROSE MCCAFFERY” for about five years now, and her performance has been consistently impressive. She’s quite known in her field, look-her up.
@foden700
5 ай бұрын
Thanks a lot for this suggestion. I needed this myself, I looked her up, and I have sent her an email. I hope she gets back to me soon.
@rodgerpudwill9008
Жыл бұрын
I found a mixed strategy worked best for me. When the mortgage was “new” the additional $$$ paid on the mortgage reduced the term significantly with each additional payment, typically several months. However, after executing this strategy for quite some time, the reduction in the mortgage term with an additional principal payment was not much (determined by your actual circumstances). I then switched to investing the additional money, which enabled me to fully pay off the mortgage balance on retirement, allowing me to enter retirement debt free (which was a major financial goal). This strategy was made more complex by the fact that at the start of the mortgage term, my disposable income (and thus the amount available to use to execute the strategy) was much less than at the end of my career, which is typical (I assume). However, the mixed strategy paid off significantly for me.
@susannabruemmer3683
2 жыл бұрын
According to Elon Musk", Since I’ve been asked a lot: I will always advise, we buy stock in several companies that make products & services that *you* believe in. Only sell if you think their products & services are trending worse. Don’t panic when the market does. This will serve you well in the long-term.
@candideharrison5568
2 жыл бұрын
My advice to new investors: Buy good companies stocks and hold them as long as they are good companies. Just do this and ignore the forecasts and market views which are at best entertaining but completely useless
@stansburyclarice4968
2 жыл бұрын
The key to big returns is not big moving stocks. It's managing risk in relationship to reward. Having the correct size on and turning your edge as many times as necessary to reach your goal. That holds true from long term investing to day trading
@susannabruemmer3683
2 жыл бұрын
PRISCILLA DEARMIN-TURNER, That's whom i work with
@luiskoogler7926
2 жыл бұрын
i have seen loads of news of PRISCILLA DEARMIN-TURNER on the internet, she must really be that good for she to be talked about in such a way..,is she on youtube? please how do i reach her
@susannabruemmer3683
2 жыл бұрын
No she's not!...You can just put her name on google and you will be directed to her website and drop her your message.
@Tom-gr2lh
2 жыл бұрын
If you want to maximize your wealth, you have to take risks. There are people who are more on the more conservative frugal side who would overpay the mortgage, conversely those with a higher risk appetite will gamble more on higher returns leveragung mortgage debt in the stock market. The latter mindset is similar to that of entrepeneurs where we can see the rewards are very high for success.
@Craigstrasser
2 жыл бұрын
Thanks for watching, msg the number above I have a great offer for you✍️👆🏻
@mrhuangsta
2 жыл бұрын
Save investment in s&p is fine for people who want the 9-5, live frugally, and retire when they're 65 with a couple mil in the bank. But for anyone wanting to live a little more lavishly or do more things before retirement age, exploding your income via businesses, side hustle etc rather than dumping it in s&p is the logical move.
@kevingrant4491
2 жыл бұрын
Its easier to succeed in sp500 than it is to succeed in business......the average person.
@mrhuangsta
2 жыл бұрын
@@kevingrant4491 for sure it's easier. Set it and forget it until 30 years later. But nowadays there are hundreds of businesses that people can start for a few hundred dollars that is very low monetary risk and would of course require a lot of elbow grease. For me at least, I'd much rather use a few thousand dollars lying around to use it towards building something that could have explosive growth rather than throwing it all in a 8% s&p. The 8% could come later after I've exponentially grown my once-limited capital.
@kevingrant4491
2 жыл бұрын
@@mrhuangsta you and I are not regular / average people. I can tell you have alot by your optimistic view on owning assets. Most people will fail badly at running a business long-term. That is why I recommend 401k and after tax index 500 shares or small muti family houses so they don't end up broke later in life because of failed business ventures. I feel they will grow into business as they age if their financial education teaches them to. You are 100% right.......but wrong for majority of people. I'm 57yrs old.....all I own now is a lot of heavily leveraged real estate and sp 500 shares.....first generation wealthy.
@mrhuangsta
2 жыл бұрын
@@kevingrant4491 amazing. I've obviously still got a lotttt to learn!
@rorybray7487
2 жыл бұрын
Just follow Ramsey's baby steps, simple process to understand.
@MechE11B
2 жыл бұрын
15% pre-tax income into retirement and the rest at the house, pretty darn good advice.
@Kevin-fn1rn
2 жыл бұрын
Ramsey gives the same advice for every single person. He’s also stuck in his ways even when he’s wrong (mutual funds vs index funds).
@Xspeedspec
2 жыл бұрын
@@MechE11B the money guys are way better than dave Ramsey
@inertiaforce7846
2 жыл бұрын
Dave Ramsey owns all.
@BarbellFinancial
2 жыл бұрын
Dave Ramsey provides great advice for getting out of debt. But, I strongly suggest you do not follow his investment advice.
@nerdobject5351
2 жыл бұрын
One of the variables no one talks about when paying down mortgage vs. investing is personal freedom and time. Without a mortgage you have no 'pressing' bills with the exception of property taxes so you can work less, take bigger risks, change careers or start a business. The possibilities are nearly endless. I quite frankly find that retiring/slowing down at 63, 67, 69 is insane. The gives you a max of 20 years pending your health of actually doing things and that is no time at all. Giving up that 800 - 1,000,000 is well worth the time and freedom you can by getting an extra decade or maybe even two. This obviously a very personal question and people have to decide whats best for them. I still think you should invest 15-20% but I think anything you can manage after should go into your mortgage principle.
@ChrisInvests
2 жыл бұрын
I get what you're saying but if you have more money invested/passive income wouldn't it accomplish the same thing?
@nerdobject5351
2 жыл бұрын
@@ChrisInvests I think I missed including a big part of this at that was all of my retirement investment goes into my 401k currently which I max out and Which I can’t touch until 60. Then I refinanced to a 15 year mortgage and plan to pay off at 50. I’m currently 39. The question would be if I had a 30 year mortgage would that extra I’m putting into my 15 be better served in the stock market from my current age to 50. Then use that “pending taxes” to pay off the mortgage (if at all).
@lowstringc
2 жыл бұрын
I’d like to see the numbers of a both/and scenario = $500 extra to mortgage & $500 invested. Just from the money perspective, I’d wholeheartedly support investing the extra, but having the ability, and having paid off my home early, the psychological freedom this provides me is immense! If I lose my job we could survive on thrift and a McDonalds salary, which is an amazing feeling! My wonder, using your math (I’ve done spreadsheets and spreadsheets of my own for my own situation), is how a middle of the road strategy would fare..
@joshh205
2 жыл бұрын
Paying off your house only frees up the money you pay on principal and Interest. Still have to pay property taxes and insurance. Your never really done paying for your property.
@aaront936
2 жыл бұрын
Those who invest the extra instead of investing will come out ahead. It's simple math.
@doubleoblit
Жыл бұрын
@@aaront936except that when you have a paid-for home, your career options massively open up, so that's incorrect. It's not "simple math."
@Peglegkickboxer
Жыл бұрын
@@doubleoblit not really, your career options are a lot worse then as you're much older and have no ability to move elsewhere for work. It's not worth buying a house unless it's really cheap or you're really wealthy.
@PremusRed
Жыл бұрын
@Peglegkickboxer that's just not true lol. Want to talk about paying forever. Renting your entire life is a far worse option, qualitatively and quantitatively
@Origami84
Жыл бұрын
You make more money by placing the money in what grants higher return. An investment with a 8% return is better than paying down a mortgage a 3% - or viceversa, of course. And yet, the debt must be payed regularly and WILL be there until it is repayed, while the investment usually can wait, and can also do not give the expected returns. So, if you invest instead of paying your debts more quickly, make sure that you can at least still cover your basic payment for the debt. There, 10mins saved.
@theqyldguy4473
Жыл бұрын
I'm glad you figured in the inflation and the reduction of the value of the dollar. Most people ignore that. Inflation over the last 10 years has been 27%. OUCH
@ChrisInvests
Жыл бұрын
Absolutely, that's why some people love low interest debt 😀
@jasonsaeger
Жыл бұрын
I think Dave Ramsey may have a different opinion on how to handle the situation!
@John-sb7pn
Жыл бұрын
I don't have any debt with a higher interest rate than 3%. Most of it in mortgages. I'd *NEVER* choose paying those off over investing.
@tewksburydriver8624
Жыл бұрын
Paying off debt is important as is investing, but you cannot buy things with a paid for house. At the end of the day we all need actual money not just a lack of debt. Bottom line do both but investing for retirement is ultimately more important.
@jordycorvers7465
Жыл бұрын
at the end of the day people need an income.. if you already spent 3-4 out of the 12 paychecks you will recieve for the next 30 years then paying off debt will free that income.. so yes, I agree.
@Kado_Tornado
Жыл бұрын
He talks about cash flow in the video
@thinkfloyd2594
Жыл бұрын
Horrible advice. No, you cannot buy things with a paid off house. That's called security, equity, and asset management. Paying a bank money so you can 'buy things' is naïve.
@tewksburydriver8624
Жыл бұрын
@@thinkfloyd2594… so apparently you missed the point entirely. There are plenty of poor people that live in a house with no mortgage and manage to barely squeak by. People need actual money, retirement income. What good is a house if you are practically broke. A house can be seized then what? Like I said, pay off your house but make sure you are saving money for your future living expenses. Some how that’s “horrible advice”.. Dolt.
@Macarto
2 жыл бұрын
Why is borrowing money at a mortgage interest rate of 5% close to the rate of inflation, why is it borrowing for nothing?
@ChrisInvests
2 жыл бұрын
The inflation rate counteracts the interest rate
@trewright1482
Жыл бұрын
I would certainly pay off any credit card debt you may have. I know of very little investments if any that you can make 20% in your money like the interest rates on credit cards…
@wewhoareabouttodiesaluteyo9303
2 жыл бұрын
Pay off debt now that interest rates are increased and then invest to keep those expenses from becoming debts. Only thing is businesses do not do this. They leverage debts and invest their profits.
@Craigstrasser
2 жыл бұрын
Thanks for watching, msg the number above I have a great offer for you👆🏻👆🏻
@monacpriest7001
2 жыл бұрын
Lately I've been considering setting up an investment account for retirement, I have set asides $240k but somewhere along the line, I get cold feet maybe because I'm a rookie and have no idea what I'm doing, please I could really use some guidelines.
@orangenote3325
2 жыл бұрын
I have the same fear too because I think I'll make a mistake
@dragonkiss3055
2 жыл бұрын
If you are new to the markets, I'd advise you get some kind advise or assistance from a financial consultant or Investment coach. That’s the most ideal way to jump into the market in these uncertain times.
@mredemption7016
2 жыл бұрын
@@dragonkiss3055 I agree with this, Investment coaching sounds like a great idea, thought about it before but never knew how to go about it, Have you used a coach? what is the experience like?
@dragonkiss3055
2 жыл бұрын
@@mredemption7016 Profit comes for proper trade execution. I have racked up in profits $558,405 from $185k capital in august last year to be exact on my portfolio, but i have to attribute some credit to my adviser, 'Mary Freed Lorenz". I watched a news interview on where she featured during an IPO and spoke proficiently, caught only her name and did a search later online.
@hacksmith7594
2 жыл бұрын
@@dragonkiss3055 I just looked up this person out of curiosity, surprisingly she seems really proficient, I thought this was just some overrated BS, I appreciate this.
@wmp3346
Жыл бұрын
Yes unless you are going to make more by using that money. I recommend paying debt off and avoiding it going forward
@fongluu
2 жыл бұрын
pay off student loan (compound daily!!) and high interested cc first! Car and mortgage loan is a lot lower and inflation work in our favor so by then I rather invest, best into 401k and S&P funds/stocks. Like many said in here, use build up equity to get more for assets and rental incomes. But make sure one has very stable income streams ie two or more from different sectors (health is most stable)
@ChrisInvests
2 жыл бұрын
Wise advice!
@SeanBaker
2 жыл бұрын
I'm THIS close to being mortgage free! Check back with me in 2-3 months.
@dancalmpeaceful3903
2 жыл бұрын
I remember when I only owed about 30 grand...it had become a obsession...and then I got it down to 10 grand....it REALLY became an obsession. I did it in only 11 years.... After you rid yourself of this financial slavery - start investing heavily...especially while the markets are low.
@bryanrobinson6891
Жыл бұрын
Forgot to mention taxes and divorce. Two things that most likely will affect any financial decision.
@Diomedes01
2 жыл бұрын
Good video. Best suggestion overall is to minimize the requirement for debt in the first place. The less debt you incur, the better off you will be in the long run. Minimizing how much you take in student loans, the size of your mortgage, etc, can have massive benefits in the long run and allow you to increase your investment far earlier in your career.
@ChrisInvests
2 жыл бұрын
Great point! Thanks for sharing.
@robcd7112
2 жыл бұрын
My guess is that in the real world as opposed to this fantasy world... the net worth of those paying their home off in less than 15 years is well above those paying off their home in 30 years. If you use the logic in this video to decide on how to assess risk when paying your mortgage, you will undoubtedly use similar logic in 100 difference decisions throughout your life... leaving you with a lower net worth than those that are more risk averse.
@lobarita
2 жыл бұрын
This was very informative. Thank u. I learned a lot.
@ChrisInvests
2 жыл бұрын
Thanks for watching, Jacob!
@jordanmcmurray5785
Жыл бұрын
If you really hate being debt free you can always go out and get another mortgage.
@ChrisInvests
Жыл бұрын
😂
@mark-se6ef
Жыл бұрын
yes pay dept of as you get older.
@Aubatron
2 жыл бұрын
There's not one answer, different people do different things, and a lot of them work. Things to take into account are interest rates, inflation, and ROI from your investments. For example, if you're paying 3% interest on a home mortgage, and inflation is 7%, you may want to invest in the stock market instead of paying off your home. Low interest rate mortgage payments, AND the inflation will eat away at your debt. However, it is a 7% home mortgage interest rate and inflation rate of 3%, you may want to pay off your home. Not everyone is in the position to do this, but you should have the capital to pay off your home at any time if you need to.
@ChrisInvests
2 жыл бұрын
Thank you for summarizing
@quantrill5565
2 жыл бұрын
I have no debt but I also have nothing.
@Leclaudservices
Жыл бұрын
Because you make these very helpful suggestion videos ,I really am curious if you’re a millionaire yet because it seems like you have all the answers lol
@ChrisInvests
Жыл бұрын
😂
@Leclaudservices
Жыл бұрын
@@ChrisInvests the cats out the bag ,huh? 😂
@Aenion11
Жыл бұрын
This is a topic I struggle with myself. My mortgage still has 15 years to go and has a 0.8% interest rate for the next 5 years (€490), the interest rate will be revised again in 5 years. In my country my mortgage downpayment is also tax deductable. My car loan has 0.6% for another 3 years. While I would like to remove these debts, especially the car loan, I'm pretty sure I will get a better return if I invest the extra money while I continue my monthly payments
@jeffreyschnitman2484
2 жыл бұрын
Paying off debt give you freedom. Then put money to work.
@quadefeddersen
2 жыл бұрын
Hi Chris, Im 18 years old and about to get a job. After watching all of your videos, i am still unsure of what growth plans is best and i should take part in. It would mean so much to me if you could help advise me personally. What are your thoughts Chris?
@ChrisInvests
2 жыл бұрын
Have you considered an S&P 500 fund?
@quadefeddersen
2 жыл бұрын
@@ChrisInvests Yes, the s&p 500 is the one people tell me to invest in. I just wasn’t sure if there are growth plans that are better. My plan as of currently is to put as much money into 401k until my employers match limit and then put the remaining money in my budget into a roth ira connected to the s&p 500. Is that a good idea?
@quadefeddersen
2 жыл бұрын
@x x Thank you
@briarshard2871
Жыл бұрын
Hi Quade, i wish i was as hungry for financial knowledge when I was 18, and i applaud you for that. I suggest looking up "bogleheads" and reading voraciously on their approach, hope it helps.
@englishsteel-nz6im
Жыл бұрын
What kind of debt? Low interest usual thing like a reasonable car loan or a mortgage? Nah invest lol Bad debt? Kill it ASAP
@steveabrams4314
2 жыл бұрын
I think its better to be debt free, because then you have more disposable income that you can actually put towards savings and investments.
@freedomisEexpensive-08
Жыл бұрын
I follow and love your videos. sadly, it's been a while since i visited it has been a very rough year... i am experiencing one of the most challenging phases of my life... Lost a fortune lnvesting in emerging companies. Hopeful, for a turnaround.
@polinaivanova6610
Жыл бұрын
Investing so much in emerging companies is a horrible decision. BTW, I commend Gary's trading pattern too. Different perspective, different technique
@Fatihu-nq
2 ай бұрын
Amazing video, A friend of mine referred me to a financial adviser sometime ago and we got to talking about investment and money. I started investing with $150k and in the first 2 months, my portfolio was reading $274,800. Crazy right!, I decided to reinvest my profit and get more interesting. For over a year we have been working together making consistent profit just bought my second home 2 weeks ago and care for my family.
@Anita-o9o
2 ай бұрын
Hi. I’ve been forced to find additional sources of income as I got retrenched. I barely have time to continue trading and watch my investments since I had my second child. Do you think I should take a break for a while from the market and focus on other things or return whenever I have free time or is it a continuous process? Thanks
@Fatihu-nq
2 ай бұрын
@@Anita-o9o However, if you do not have access to a professional like Clementina Abate Russo, quitting your job to focus on trading may not be the best approach. It is important to consider all options and seek guidance from reliable sources before making any major decisions. Consulting with an AI or using automated trading systems can also be helpful in managing investments while balancing other commitments
@Anita-o9o
2 ай бұрын
@@Fatihu-nq Oh please I’d love that. Thanks!
@Fatihu-nq
2 ай бұрын
@@Anita-o9o Clementina Abate Russo is her name
@Fatihu-nq
2 ай бұрын
Lookup with her name on the webpage.
@Riggsnic_co
8 ай бұрын
Concerns about a potential recession and the Fed's talk of interest rate hikes have left me uneasy. I'm unsure about my $440K portfolio strategy, considering the uncertainty of a recession and the possibility that interest rates may not rise significantly
@martingiavarini
8 ай бұрын
I completely understand your concerns. But In this current unstable markets, It is advisable to diversify while retaining 70-80% in secure investments. looking at your budget, you should consider financial advisory.
@bob.weaver72
8 ай бұрын
I agree. This is why having the right plan is invaluable, my $510k portfolio is well-matched for every season of the market and recently hit 100% rise fromm early last year. I and my CFP are working on a more figures ballpark goal this 2024
@TheJackCain-84
8 ай бұрын
Mind if I ask you to recommend this particular coach you using their service?
@bob.weaver72
8 ай бұрын
'Carol Vivian Constable, a highly respected figure in her field. I suggest delving deeper into her credentials, as she possesses extensive experience and serves as a valuable resource for individuals seeking guidance in navigating the financial market.
@TheJackCain-84
8 ай бұрын
Thanks for this. Found her and looked through her credentials before contacting her. Once again many thanks.
@ryanwilliams989
10 ай бұрын
Scholars who study the stock market’s historical performance estimate that over time, the payment (and reinvestment, and compounding) of dividends have contributed anywhere from 30% to 90% of the S&P 500’s total returns. I want to spread across $400k into profit yielding dividend equities but unsure of which to get into.
@BiancaSherly-qt6sb
10 ай бұрын
Simply put, if you’re not investing in dividend stocks, you’re doing it wrong.I stopped listening and taking financial advise from these KZitemrs, because at the end of the day, I end up with a bunch of confusing stocks without knowing when to take profit, In reality, all I needed was professional advice to take advantage and make profits.
@maryHenokNft
10 ай бұрын
Very much appreciate it Scholars who study the stock market’s historical performance estimate that over time, the payment (and reinvestment, and compounding) of dividends have contributed anywhere from 30% to 90% of the S&P 500’s total returns. I want to spread across $400k into profit yielding dividend equities but unsure of which to get into.
@maggysterling33254
10 ай бұрын
@@maryHenokNft That's impressive, have you always had guidance?
@maryHenokNft
10 ай бұрын
Not exactly, I started out with a financial advisor called *Camille Alicia Garcia* Her honest approach gives me complete ownership and control of my positions, and her rates are incredibly affordable given my ROI. However, do your due diligence before contacting a financial advisor.
@StellaMaris-lv2uq
10 ай бұрын
This reference seems valid.. Just looked up her full name on my browser and found her website without sweat over 15 years of experience is certainly striking!
@danicegewiss862
Жыл бұрын
I'm doing both... investing $25 weekly and paying an additional $100 monthly on our mortgage. We're also building our emergency fund by $25 weekly. We have well over $1,000 in the fund.
@ChrisInvests
Жыл бұрын
Sounds like you're making progress 👍
@malachycarson5846
Жыл бұрын
not sure if it is worth investing if you are getting less returns than you would by paying your debt. but yeah saving some for an emergency fund. I have paid all my debt and have saved $100,000.00 I am unsure what to invest in the market at this point, seems like everything is going down. will see how things pan out in the next six months b4 i do anything...... keep going it happens faster than you think and having no debt is such a feeling of freedom..... nothing else like it.
@Dafish1738
Жыл бұрын
@@malachycarson5846 search of how to dollar cost average. Slowly contribute into the market. There is a chance it will still go up as well. Can’t be too skeptical.
@malachycarson5846
Жыл бұрын
@@Dafish1738 nope. i think i will go with Warren Buffet's advice rather than some random from the net...... clowns bragging about their crypto accounts to me... yeah they weren't scamming me but still I was right they are broke. even worse the ones that went into debt for crypto. for basic peoople like me that don't have much to gamble with i think it is better not to take much risk. OK maybe a mere 10% of your investments in random things, but nope, i don't like taking chances.
@gbear34
Жыл бұрын
@@malachycarson5846 Just start buying companies that you think will have a bright future. The time to buy is as stock prices decrease, not as they increase. Think long term.... you could make 40-60% returns in 5 years as the economy bounces back!
@sergiemercier7856
2 жыл бұрын
I believe I could benefit from additional help in navigating the market; it is utterly daunting. I've liquidated $120,000 of my assets and would appreciate some suggestions on where to invest my money.
@alexiigor2568
2 жыл бұрын
You may simply follow up on his recommendation; some of them turn out well.
@richardsimeon7272
2 жыл бұрын
At this stage, I believe professional services and advice from a financial advisor are your best hope for staying ahead of the market.
@antonialangstone1624
2 жыл бұрын
@@richardsimeon7272 Investment coaching seems tempting, but I'm not sure how to get started. Have you ever hired a coach? How was your experience?
@richardsimeon7272
2 жыл бұрын
@@antonialangstone1624 Yes, I'm in contact with a broker, and over the last 5 months, I've been able to stay afloat during market crashes, and my $160,000 portfolio has grown by more than 40%.
@maheernaadim3034
2 жыл бұрын
@@richardsimeon7272 That's accurate, contacting a consultant during the pandemic was how I was able to navigate the insane stock decline at the time.
@mohitnikumbh593
2 жыл бұрын
The math is unquestionable but the math only works from a practical stand point if you invest the remaining amount. If you are going to spend that amount on consumer goods, better pay off the debt and stay out of debt.
@ChrisInvests
2 жыл бұрын
Absolutely!
@dericanslum1696
Жыл бұрын
...well...OBVIOUSLY...
@jordycorvers7465
Жыл бұрын
fictitious returns without taking into account emotions (of investors) like buying high and selling low and without taking into account the costs associated with investing leads me to believe that even at 2% interest it is better to pay off debt FIRST and then start investing...
@ElAteoMexicano
Жыл бұрын
@@jordycorvers7465 If you really can't control your emotions, then yes that's the best strategy. I opened a brokerage recently and bought some index funds and an individual stock. I'm not selling any of it for at least 12 months so I will pay the lower long term vs. short-term capitol gains tax rate. My mortgage is 2.25% APR. I can't bring myself to make extra payments on it with that interest rate.
@Jonathanped
Жыл бұрын
Paying off debt is never a gamble. This is the way.
@ExplorationRandomDestination
Жыл бұрын
I am about 3-4 years into my investing journey if you asked me in my first 3 years I would have chosen to invest. Now I am 100% sure i would pay off debt.
@ExplorationRandomDestination
Жыл бұрын
@@CaribbeanHustla i see alot of people say invest instead of pay off debt but investing is a risk 100% of the time while paying off a debt is guaranteed. My moms mortgage is 2500 If paid off her monthly cost would drop to 650 property tax. Guaranteed 22,200 a year in fewer expenses. If she invested the cost of her mortgage instead of paying it off she would need to 10%+ on the markets every single year for it to be worth it. Investing is only better in theory and would assume that you would never be forced to sell during down years. This is what decimated people in 2008 stock market crashes and people cant afford mortgages or anything so people are forced to sell stocks at pennies on the dollar. Ended up losing all of their investments and their homes, cars etc (that they could have paid off instead) thousands of people ended their own lives because of that crash and losing everything. I get that in theory investing is far more lucrative in theory but the reality is that most people are not beating the markets about 6% of investors do and most of those are already wealthy. It would take 15-20 PERFECT years for you to really see the benefit start to outweigh the risks vs mortgage pay off which would be immediate relief.
@Will-uj7yu
Жыл бұрын
@@ExplorationRandomDestination if you are forced to sell your investments you made a mistake somehow. Also it doesn't take 10%+ a year to beat paying off your mortgage, just more than the interest rate of your mortgage is which is usually very low. You dont need to beat the market at all, the market has returned an average 10% CAGR for decades.
@squodge
Жыл бұрын
I had a huge debt back in 2015, about £50,000 (roughly $60,000). I decided that paying off the debt made more sense because the APR was roughly 9.9% (mostly credit card debt), so it made zero sense to invest, as there is no way of investing that guarantees more than 9.9% return. Then at the end of 2019, I paid off all my debt. and two years later I'd bought my first property. So yeah, if I can do it, anyone can do it. Why do I say that? Cos I work as a secretary - I earn a modest salary. Being frugal helps a lot too.
@MarcIverson
7 ай бұрын
@@Will-uj7yu And you might need decades for that to play out. Those returns are for the LONG term, which 1) some people may not have or can't afford to have (people die/have bills to pay), and 2) starting your buy-in point is basically buying into a mystery, and mysteries often start off or wind up with someone dead. You CANNOT correlate long-term results with short-term results. You yourself note we are talking about averages, not guarantees or anything remotely close. A paid-off debt is a guarantee and doesn't require any timing at all.
@SokemRokemRobot
2 жыл бұрын
There's nothing like having no debt... a lot less stress, and a lot more money in my pocket.
@ChrisInvests
2 жыл бұрын
There sure are some huge advantages
@aightm8
2 жыл бұрын
@@ChrisInvests you can't just look at the numbers. You have to consider the return on a risk adjusted basis. Paying off debt gives a 100% risk free return. At a time where interest rates are rising and central banks are tightening, it's 100% guaranteed
@ChrisInvests
2 жыл бұрын
@@aightm8 I addressed this point in the video
@Damon-qt3fw
2 жыл бұрын
Amen
@karlabritfeld7104
Жыл бұрын
I'm there, been debt free for 15 years.
@PatrickButterly
2 жыл бұрын
I know this is aimed at a US facing audience and I believe there is some significant differences across the world, but depending how you invest (and where) there are also tax implications where nowhere do you get taxed on paying off debt.
@jg7286
Жыл бұрын
If you make below the roth max income level, your argument is completely negated as you never pay taxes again after 59.5 and at 144k filing singly that encompasses most of our society
@PatrickButterly
Жыл бұрын
@@jg7286 I don't understand how that applies to different countries
@mcmerry2846
Жыл бұрын
Inflation here was 14% last year 😂
@mathixvw
Жыл бұрын
With my mortgage at 1.9%, I earn money with that 10% inflation Nevertheless, a point that should be highlighted in this video is the financial freedom. As long as you have debt, you are accountable towards banks and might loose everything if things turned out badly. In the meantime, if you pay your debt earlier, you may earn less money than if you didn't, but you'd acquire financial freedom and you'd whatever you'd like with your income afterwards. Also, investing first only works out if your debt has a lower interest rate than your investments.
@getinthespace7715
Жыл бұрын
Depends on your risk tolerance. Debt is a guaranteed liability. Investment is only the possibility of a return. If interest is significantly less than inflation it makes it more tempting to service it minimally and try to make money in the market.
@Will-uj7yu
Жыл бұрын
depends on your time horizon. Investment is practically speaking guaranteed return over the long term if you invest in sound cash producing assets and are diversified.
@nathansmith3786
2 жыл бұрын
Buy a good cross section of an economy and you should do well over the long term. The market will be high in 10 to 20 years, and significant higher in 30. It’s almost impossible for a company with no debt to go bankrupt. The U.S is about 50% of the global market place, pay yourself first. It’s time the market. Not timing the market. Last year I invested 200 grand in the S&P 500/ an allocation fund (with the help of my advisor Mary Margaret Carter of course) and made 670k, but guess what? I put it back and traded with her again and now I’m rounding up close to a million.
@tammywilson6030
2 жыл бұрын
Oh she has a webpage perfect
@boydsummerhays322
2 жыл бұрын
Growing affluence is such a lovely thing to see
@GeorgeAusters
2 жыл бұрын
How? The S&P500 is down right now
@JeanValjean875
Жыл бұрын
The thing is mostly people are better off paying off their debt because they don't have the self discipline to invest the difference. They'll just blow it all. That's why they're in debt!
@ChrisInvests
Жыл бұрын
So true 😬
@E.E.F.
2 жыл бұрын
I paid off my house 20 years ago, have no debt and ample cash. I can sleep easy and retire early whenever I want to. I still have a sizeable retirement account.
@Adam-kv2dh
2 жыл бұрын
You don't have to answer but I'm curious to know what your income was during that time?? 40-60k or 80k+?
@604h22a
2 жыл бұрын
This videos isn’t for your boomer
@E.E.F.
2 жыл бұрын
@@Adam-kv2dh Around 55k when I paid the house off. It can be done with a frugal lifestyle. I am not so frugal now. :-)
@Adam-kv2dh
2 жыл бұрын
@@E.E.F. very nice 👍🏻👍🏻 I'm cheap myself at the moment lol trying to get ahead only debt I have is mortgage. I didn't go to college
@MechE11B
2 жыл бұрын
@@604h22a Why are you assuming they are a boomer?
@neilcook1652
2 жыл бұрын
THIS IS VERY BAD ADVICE......clear all debt ASAP and don’t pay banks or anyone else interest, if you can’t afford it don’t buy it, live within your means!
Wow!!!, please how did you earn such good amount.??
@josebloomberg673
2 жыл бұрын
@ I invest in bitcoin on a platform, with assistance from their top crypto experts. *Sir* *Mr* *Walker* *alex*is my assistant, I have been trading with him for a year... I've really made a lot from his strategies in trading and mining of cryptocurrencies...
@edwardstanton3571
Жыл бұрын
If you knew you could afford $2700/month for 30 years, then you should have taken out a 15-year mortgage at 2.8%.
@dancalmpeaceful3903
2 жыл бұрын
The real secret....Pay such a huge amount down so when you take out your loan for your house, it's only $500 a month or less. That's what I and my wife did. IF YOU CAN'T DO THAT - then you have NO damn business buying a house unless you enjoy financial slavery.... We knew I could get a job at Burger King .....and STILL MANAGE to keep the house IF I got laid off. And yes, I did get laid off....but it was many, many years AFTER I had paid the house OFF. And yes, we sailed through the layoff without an issue. Having no debt is FREEDOM. While we were paying off our house - we invested the WHOLE way along too......DO both. By the way - 2nd secret - Never, EVER, BUY NEW cars....buy USED cars.....WITH cash (emergency savings - see how that works? ABS - Always Be Saving)
@HIB801
2 жыл бұрын
This was sound advice 5+ years ago. If my mortgage was 500 per month I could only afford a 2 bed 1 bath 1000 square foot condo in the Midwest. Also because of the chip shortage it’s smarter to buy new cars rn if you have the option. Used cars are insanely overpriced and people are purchasing hybrid and electric vehicles now. Not many of those on used market.
@petelee2477
2 жыл бұрын
Have you seen the vehicle market? A decent used vehicle currently cost about as much as a new one. Unless you want some 1997 ford ranger with 198,000 miles on it that will probably spend more time in the shop then on the road then you are better off buying new. I assume most people just want something dependable, low cost, and low maintenance.
@dancalmpeaceful3903
2 жыл бұрын
@@HIB801 I would agree....that IF a used car is only a few thousand LESS than a new car, yes, you may was well get a used car. For me, I buy shit cars for not much more than 6 grand - hence I a new car is not an option for me. All I'm saying is that you need to GET your monthly mortgage payment down to a VERY reasonable amount per month. AT one point, I had mine down to $368 a month. Needless to say, I paid my house off in 11 years...
@HIB801
2 жыл бұрын
@@dancalmpeaceful3903 368 is wild. Mine is almost 10X that.
@dancalmpeaceful3903
2 жыл бұрын
@@petelee2477 Well...I can't say I've looked.....for quite some time. And maybe I will get sticker shock when I do...in the meantime my Toyota has only 165K...so I"m good for another 20K or so. I don't drive very far nowadays...so it may be awhile before I have to bite the bullet. We'll see...
@IrisP989
2 жыл бұрын
We used debt as a leverage and now own a rental and just hit $1 million dollar in our net worth. If we spent years paying off our first home’s mortgage, we would never purchase a second house and gain equity in both homes.
@MarkSmithhhh
2 жыл бұрын
yep, I think timing matters of course but I'm in the same boat...not 1 million dollars net worth but about half a million, just shy of it...took money I could have paid off all my debt with and invested it, now I have more than enough to pay my debt AND live comfortably with a big chunk of savings...if I had paid My.debt off I'd just now be done with it and be debt free but also have no money
@KINGkong3747
Жыл бұрын
Do you own both homes yet?
@IrisP989
Жыл бұрын
@@KINGkong3747 Not yet but it doesn't matter since net worth = assets minus liabilities. My assets' worth is much higher than my liabilities (2 mortgages and one car loan. No other debt. Credit cards are always paid off every month).
@IrisP989
Жыл бұрын
@@MarkSmithhhh That's smart.
@KINGkong3747
Жыл бұрын
Yes I know what a net worth is and leverage is. I don’t think net worth is the proverbial catch all for you’ve made it. Plenty of people with significant net worths who’ve still gone broke due to being over leveraged. Until you’ve payed off both properties you’re not in the clear yet, sounds great in theory, but say the HVAC goes out, or your renter trashes the place, can’t get a new tenant for months, or an economic recession/lose your job and your unable to hit the monthly payments. It is still a risk. I just hope someone in your position with debt, especially a car payment, is still living below your means, accumulating plenty of liquid assets to cover you in such a case.
@yvette11111
2 жыл бұрын
Man please. I'm paying off debt. Then I have more money to invest.
@76luislara
2 жыл бұрын
It all depends on the interest rates. When interest rates are high like now, is better if you pay off your debt. If you had credit cards sitting in 20-30% interest, better to pay those off.
@ChrisInvests
2 жыл бұрын
True
@MrOfficer235
2 жыл бұрын
I understand the math. However the equation doesn’t assume enough risk and the overall emotional benefit of living in a paid for home. I’d rather live with a paid for house with zero risk than a little more in my portfolio that is still subject to market volatility.
@Hushit
Жыл бұрын
I think you should live lower than you make. See if you can even make more money and still keep living 3x under what you make. Pay personal debt off quicker
@jamesmaduabuchi6100
2 жыл бұрын
The wisest thing that should be on every wise individual's list is to invest in different stream of income and don't depend on the government to bring in money especially now the pandemic is hitting the economy
@wilsonjudson1650
2 жыл бұрын
you are definitely right , waiting on the government is a big waste
@jamesmaduabuchi6100
2 жыл бұрын
Investments are the stepping Stones to success especially if you been guided by a professional
@jessicamamikina7648
2 жыл бұрын
Investing is good but investing in the right thing is the actual key to success . who is your pro ?
@jamesmaduabuchi6100
2 жыл бұрын
That was exactly what I did, I trade with a professional stock expert "TERESA JENSEN WHITE " who i met in one of the seminars..
@jamesmaduabuchi6100
2 жыл бұрын
There are so many investment out there but if profits must be considered then not all investments are good to go into.
@TugaHuga
2 жыл бұрын
What you left out is how much taxes will put a dent to those profits. In reality, even with all those numbers your 800k difference could shrink to as little as 100k depending on where you are from and your tax system. All that risk for 100k over 30 years may or may not be worth it for some
@dancalmpeaceful3903
2 жыл бұрын
A fellow co-worker asked me the same question years ago....especially during the rocking 90's.... My answer: Do both. At this point however, I am not in debt....so what I do now is save in a money market (for emergencies) AND invest....EACH paycheck. First though - you WILL NEED to establish an emergency fund. Get that done first.... Years later when I got laid off - I had paid my house off MANY, MANY years earlier. I sailed through the layoff without an issue. Others weren't so lucky... Do both...
@nerdobject5351
2 жыл бұрын
I couldn't agree more. I think the value of having your house paid off far exceeds that money you would have invested.
@dancalmpeaceful3903
2 жыл бұрын
@@nerdobject5351 yeah...I mean, when you pay EXTRA on it, you are MAKING money...by SAVING interest. Those extra payments GUARANTEE you that you at least make whatever your interest rate is... And yes, I know you're not making 10 to 20% like you can with a mutual fund - BUT, it is guaranteed and you do get your house paid off faster. I got mine paid off in 11 years....and as I say, that PAID off when I was LAID off (sounds like a poem). I know some poor bastards who had to see their house.
@jbr1952
2 жыл бұрын
Maybe the question should be how much stress you want in your live.
@ChrisInvests
2 жыл бұрын
Good point
@yasinnabi
Жыл бұрын
“Business opportunities are like buses, there’s always another one coming.” - Richard Branson. This quote always reminds me of there are enough opportunities to grow in 2023... a fellow creator...====
@Leclaudservices
Жыл бұрын
I needed this video .I only make 27k and able to max out my Roth but I have 8k in student loans .I’m doing both actions from each paycheck .hopefully it’s paid off with this method
@korn111685
Жыл бұрын
I really want you to increase you income. Update that resume, cold call, walk in whatever you have to do but get that income up. Pay off debt, save, invest and live. Enjoy life!
@matthewmitchell2934
Жыл бұрын
It will be better to pay off your debt and then focus on the ROTH
@Leclaudservices
Жыл бұрын
@@matthewmitchell2934 thanks for this advice but the crazy part is the only debt I have is paused so I’m kind of just saving it up until it resumes instead of paying it off
@Peglegkickboxer
Жыл бұрын
Fight to get a better job, the faster you pay off debt the more freedom you have.
@Leclaudservices
Жыл бұрын
@@Peglegkickboxer appreciate this
@conorryan7897
2 жыл бұрын
p bad video. lets show the best scenario and no downside besides a little danger sign.
@ChrisInvests
2 жыл бұрын
This is not the "best" scenario, it's based on the "average" market return
@TheFirstRealChewy
Жыл бұрын
Let's say you are the bank and you have the option of either lending a single person $500K for 30 years at a low interest rate, or putting $500K in an index fund that tracks the S&P 500. Which would you rather do? Seems like an easy decision, right? So if you are the person that got the $500K, would you prefer to quickly pay it back, or invest rhe extra payments in an index fund that tracks the S&P 500? At long as you can make the minimum payments for the life of the loan, investing the extra will work out in your favor. Also factor in inflation. When you take out a 30 year mortgage, you pay the same amount each year for 30 years. However, due to inflation, the value of the dollars you paid in year 1 is worth more than the value of the dollars you paid in year 30. So even though the total dollar amount over 30 years seem high, when you determine how much it is in today's dollars, you realize that you didn't actually pay double the cost of the house. In fact, it's a lot less. So should you rush to pay back a low interest loan with the dollars that have a high value?
@brucestiles6477
2 жыл бұрын
Excellent video -- it fairly explains the pros and cons of each option, but does not choose one. There are many, many factors that affect the outcome, and different investors can have different values.
@ChrisInvests
2 жыл бұрын
Thanks Bruce! I try to leave it open ended for the viewer to decide.
@DerangedAussieMan
Жыл бұрын
You forgot to include one important consideration: tax. Imagine you're paying 50% tax off your income. Is it better to pay off your 6% interest debt or is it better to invest that money at a 10% ROI? Assuming your investments are taxed and your debt isn't tax deductible, it's better to repay your debt. A dollar saved is worth more than a dollar earned, where tax is involved.
@thehunter9853
2 жыл бұрын
An advisor in the 80s once told i and my colleagues at work that the only way never to go broke was to buy good companies. Miss Anita, of blessed memory then asked him how can one know good companies? This question is still lingering on mind. Great Video BTW!
@Brussardjnr
2 жыл бұрын
After my experience in 2017 of slow emotional torture when i lost more than half of my portfolio here is my strategy i don't hold minor companies and hot picks except i want faster profits at that time or when i get greedy i then opt for them through a Pro only because being very much more profitable it is riskier too and i can't handle Lol.
@amydiscovered2665
2 жыл бұрын
I hope people will learn from your experience don't invest what you can't afford to lose.
@sonyablack2015
2 жыл бұрын
I am in a similar fix, My portfolio is down with my tuition fee.
@ANTHONY47814
2 жыл бұрын
@@Brussardjnr May i ask Who's the Pro you work with? A friend recommended an American but his charges and term are quite crude.
@katrinaotto7545
2 жыл бұрын
@@Brussardjnr Smart Strategy! Pls what are your thoughts on ETFs and how profitable are they? And again can you say a genuine Pro to hire or work with till i get better. Someone who wouldn't run with my money. 🤣
@JosiahK555
2 жыл бұрын
This doesn't take into account market crashes while you have to service debt, do you want to be debt free in a crash where you may have reduced income or even lose your job? A lot of people lost their house in 2008 because they couldn't pay their mortgage. When you are debt free in a market crash you can still invest all your excess income instead of worrying about making payments.
@ChrisInvests
2 жыл бұрын
Thanks for the comment. I mentioned risk a few times.
@HughJass-jv2lt
2 жыл бұрын
Slight Clarification: A lot of people Lost their *JOBS* back in 2008-2010. Those with "No Savings'... immediately LOST their home. Those who *had* Savings...immediately started burning through it, in order to make the mortgage. But unfortunately, many of them were NOT able to land a comparable job that *Paid* what they needed. So ultimately, they Lost their *HOME* & their *SAVINGS.* In this scenario... it might be better to payoff the mortgage 'sooner' than later. Also, If you're thinking about caring the mortgage for the full 30 years... *AGE DISCRIMINATION* is a _REAL PHENOMENON..._ just something to keep in mind 🔥🔥
@Mark-xt5lo
2 жыл бұрын
@@ChrisInvests no not really, you glossed over the risk, secondly you didn't mention that once the house is paid off, you now have a 350,000.00 asset so your calculation is missing at a minimum 350,000.00 - keeping the house value the same in your video, you would have approx 1.5k in money and appreciating asset with no risk versus 1.9 million. I'll take risk free and 1.5 all day long. Good luck with paying someone else your money for 30 years. Making a banker richer.
@ChrisInvests
2 жыл бұрын
@@Mark-xt5lo the house is paid off in the end of both scenarios
@c.k2778
2 жыл бұрын
When it comes to investing, diversifying into sectors based on their projected growth is key. There’s no shortcut to getting rich, but there are smart ways to go about it. Been into this experience since 2016 and have acquired over 2M dollars. *Get more info below*
@c.k2778
2 жыл бұрын
l engage in different prolific lnvestments- launchpad IDOs, ¢rypto, stock, NFTs, and multifamily real estates through proper planning and management of a widely known financial consultant *(Genevieve Glen Rogers)* and the experience remains the best for my finances
@c.k2778
2 жыл бұрын
You can make quick internet research with her name *(Genevieve Glen Rogers)* where you can easily get in touch and as well write her
@TheMechanicj
2 жыл бұрын
I’m debt free in December then I can max out all my investment accounts and then pay cash for a brand new car take expensive vacations and be a millionaire no one takes home equity loans and invests it in the market it’s dumb
@LiamR90
2 жыл бұрын
Who here is a Dave Ramsey fan?
@alphabeta8403
2 ай бұрын
4:10 Paying down debt vs investing
@ACCOMPLISHEDSHEIS
Жыл бұрын
Do both, but a bulk of your money goes towards debt while 10% in investments.
@DEEZEEMTB
14 күн бұрын
It’s quite simple actually. Comes down to discipline. Example soon I will have enough $ to pay off my mortgage in a separate portfolio. My rate is 2.75% and is a gift so no way am I going to pay it off. The $ is invested portfolio high yield savings and dividend stocks that currently produces an average yield of over 6% and growing. By contributing monthly and reinvestment of the dividends the portfolio will soon make my house payment. Then the next goal is for the portfolio to cover taxes and insurance. The price of the stocks can go up or down and it doesn’t matter. I just need to periodically keep an eye on interest rates.
@wrenchguy2937
2 жыл бұрын
At the end of the day, i think the point is still the same. People like to juggle both thinking like they are winning but at some point u need to pay off the debt. And at some point u need to invest if u want to live a financially free life.
@ChrisInvests
2 жыл бұрын
Absolutely
@Will-uj7yu
Жыл бұрын
You never really have to pay off your debt you can always take out more debt... but I understand at 60+ years of age you kinda want the peace of mind to be debt free and have less assets to manage.
@LegDayLas
25 күн бұрын
Worst argument to pay off your low interest mortgage- "Well what if you get fired and can't make the payment anymore?" Reason- Because in this hypothetical I have been investing and stockpiling that money not spent on the mortgage. If I fall on hard times half way through the mortgage, the worst thing that can happen is I just cash out and pay off the mortgage anyway... No, the market is not going to suddenly drop past it's entry-level 15 years ago, that just doesn't happen, you will sell out with a profit, just a smaller one if the markets are bad at the time of crisis.
@duneme
2 жыл бұрын
Compounding is a key too! If you only invest once, that’s just not enough to do the trick!
@davidguarin358
2 жыл бұрын
I’m 50 and my car is pay off . Thinking to pay 💰 my mortgage of $62.000 . I don’t have any idea 💡 or experience in investments so I’m afraid to loose my savings. Also I don’t want that money 💴 sitting on my bank 🏦. My question is what to do if you guys were on my case ? Please I need advices I pay my debt on my house now or I invest Even if I don’t have any experience?
@alexsale1569
2 жыл бұрын
Your paid off house in my opinion will be a great investment to have.
@davidguarin358
2 жыл бұрын
@@alexsale1569 Tks for the advice
@scottdesilets6147
2 жыл бұрын
pay off your house then invest invest invest. money in savings is wasted and constantly shrinking
@endgame4318
2 жыл бұрын
If you are going to invest, put it into ETF’s that track the S&P 500 through a low cost brokerage such as schwab/ vanguard. Paying off the house is good as well. Then you can start investing into a Roth IRA instead of paying for your mortgage. Whatever is best for you today and 5 or more years into the future.
@financialeducation4433
2 жыл бұрын
Are you planning to retire at age 65? I'm 29 and my car is paid off. Over the last 4 years we have both been investing and paying off the mortgage. The mortgage has 44,000 remaining, and will be paid off when I'm 35 at the rate we pay it down. I would suggest that you figure out how much it will take to have your house paid off by age 55, and invest the difference. You only need 4 holdings SPY ( s&p 500) QQQ ( nasdaq) AMZN and TSLA. Max out for Roth IRA and 401k for the next 10 years and you'll be sitting pretty with a paid off house and nice nest egg.
@DadsCigaretteRun
2 жыл бұрын
Great video but I will say…nothing made me feel more in control of my finances then paying off all my debt. I make good money but having no debt makes me feel like I have doubled my income which means I can invest much more
@tinmanslickgreasy999
2 жыл бұрын
Yep the family went completely debt free right before my wife went back to school for her RN. We did not have cc debt or auto debt but we wanted our home payed off before she started college (we are middle age) plus going to school was going to cost us and we planned on paying it all in full per semester. She graduated debt free, works at the hospital, we have better insurance thats more affordable. We still spend like when the income was just one instead of two. So being debt free and her working it feels like we really have tripled our income. But I'll be honest...when we went completely debt free 3 or 4 yrs ago, it was and still is the best feeling ever! Everyday it feels good knowing I'm not paying on any debt anymore. Bills still come but its way way easier for me once the house was payed off and our cc we still use but we pay the off every couple of weeks. If one can invest 10% save 10% have the emergency fund maxed out to their liking. And be debt free.. That feels like freedom.....👍
@DadsCigaretteRun
2 жыл бұрын
@@tinmanslickgreasy999 I still have a mortgage but all CC, vehicles, etc are completely paid off and literally nothing has ever let me feel more in control of my destiny than this.
@tinmanslickgreasy999
2 жыл бұрын
@@DadsCigaretteRun right on...RIGHT ON!👍
@blaakcoffee
2 жыл бұрын
Facts!!
@hainguyenhoang1031
2 жыл бұрын
In my opinion, it depends on each person's comfortability of holding debt. As the video said, the type of debt is important too. If your debt is in credit card with 30% interest rate, it must be paid out. However, if your debt is mortgage, especially in rental property, there is no reason to clear it fast because the rental income pays for the mortgage itself. Just my 2 cents!
@epizan
Жыл бұрын
If you are going to keep debt you have to factor in risk. What are the chances that you could loose a job in the span of 30 years? If you are over 35 there is a decent chance that you could have to face a disability that makes you leave the work force in the next 30 years. The biggest thing that happens if you have no debt is that it gives you space to dream and allows you to start a business debt free. Imagine if your return was 30% instead of 10%. I know of a guy who did this and his income jumped to $400,000+ in 2 years. You could move to part time on your current job and start your dream company. What could you accomplish with the extra time?
@ExplorationRandomDestination
Жыл бұрын
Idk i see alot of people say invest instead of pay off debt but investing is a risk 100% of the time while paying off a debt is guaranteed. My moms mortgage is 2500 If paid off her monthly cost would drop to 650 property tax. Guaranteed 22,200 a year in fewer expenses. If she invested the cost of her mortgage instead of paying it off she would need to 10%+ on the markets every single year for it to be worth it. Investing is only better in theory and would assume that you would never be forced to sell during down years. This is what decimated people in 2008 stock market crashes and people cant afford mortgages or anything so people are forced to sell stocks at pennies on the dollar. Ended up losing all of their investments and their homes, cars etc (that they could have paid off instead) thousands of people ended their own lives because of that crash and losing everything. I get that in theory investing is far more lucrative in theory but the reality is that most people are not beating the markets about 6% of investors do and most of those are already wealthy. It would take 15-20 PERFECT years for you to really see the benefit start to outweigh the risks vs mortgage pay off which would be immediate relief.
@Tonyforeman659
2 жыл бұрын
As the economy crisis keeps rising, one needs to have different streams of income that doesn't depend on the Govt. A well detailed diversified investment in the Crypto market is needed to survive, as well as secure a profitable investment future.
@Kokoben1
2 жыл бұрын
Investing has the best results when you trade under a professional guide, Ethereum or some other cryptocurrency is going to be the global standard of payment. It'll be of greater value than national Fiat.
@Maricel_oronan
2 жыл бұрын
@Danny Fager I agree with you, COVID-19 taught us the importance of having a plan "B" income. You are not safe with just one paying job, when nobody knows what will happen next. Look at what happened to so many of you
@Maricel_oronan
2 жыл бұрын
Job will pay your bills, business will make you rich but investment makes and keep you wealthy, the future is inevitable 💵
@stephenadams8698
2 жыл бұрын
@Wilbert Dickson Interesting I have a lump sum doing absolutely nothing at all in my bank account, I wanna get something started with it. You seem to be doing excellent for yourself, how do you achieve this?
@stephenadams8698
2 жыл бұрын
Do you trade on your own??
@ronnieolivegaming
Жыл бұрын
It is VERY rare to earn more in investing than interest on debt... This is a very misleading video. Or you know, go ahead and downvote me and don't believe me, go invest all your money instead and keep your debt(: Don't matter much to me. Just hope that young people don't listen to this video, it will make you poorer.
@mattabouttrails
Жыл бұрын
A big yes ! to doing both. ☝️
@rodrigok1220
5 ай бұрын
I pay myself first. Retirement accounts take time for compounding to occur. Of course, my mortgage is at 4 percent… I still think I’d put in regularly to a retirement account even if my rate was higher, just wouldn’t max it out.
@Todd.T
Жыл бұрын
1. Emotions don't count. Good feelings don't make money. Good feelings don't make you look for that better job. 2. Math. Which looks better 3. Security. What if it goes wrong 4. When I say investment it doesn't mean stocks, and it doesn't have to. The world seems to be stupid about this because for some reason, investments means to own stocks for 99 percent of the people I meet and YT videos. Money in the house is dead it makes nothing. The value of the house is not static, it can fluctuate and is not an income producing asset, it's an appreciating liability. it can increase in value and you have to spend money to maintain it. Roof, driveway, furnace, plumbing, taxes, insurance. A mortgage is the cheapest loan you will get if you own your house or not. If you can beat the cost of a mortgage by using money that is secured so you HAVE to get your money back, I'll do it. You can extract enough money from a paid house to cover operating costs and pay it back, especially since 2010, without lifting a finger. The income could have been used to invest, go on trips, pay for a car etc. The money has gone nowhere, it's in an investment. I had an expensive repair on my car, actually a few of them. I save money monthly. I borrowed some money to put in an investment and put some cash in as well, used the old car for a downpayment and got another car (not new). I made enough money to be deposited to make the car payments, used some money from my saving habit to pay off the loan. It's been 4.5 years. I have paid off the money I borrowed, the investment had a deferred component, so when I cashed out to another I had more money to invest and the amounts paid to me went up. I put that investment in a tax free account. It compounds monthly and I'm getting 40 percent more than I was before and not paying taxes. Now I have half a year left on the car, a tax free monthly income, no loan debt, and a car. When the car is paid off it will be worth a fair amount and I can sell it and buy a newer version and the payments and insurance is covered by the original seed amount, but it's my choice. In reality, I will probably run it until its worth around $5k and sell it. By then, I should have 2.5X what I started out with in terms of money that I used to invest for the car specifically. I already had an emergency fund. I already have a retirement plan. I already have investments outside my retirement plan. It doesn't make sense for me to buy the car cash when I can drive it and have an investment provide a huge assist while I make money. The investments with higher returns usually have a higher cost to get in, so $12500 might give 7%, $25000 might give 8%, $50000 might give 10%, so spending the money on the car cash, can cost 3% or more. Soon, I will have to find a place to invest the car payments I no longer make. If the car dies, right back at it again. Every really wealthy person I know has everything on payments because they make so much with the capital and also utilize write offs. I should be no different.
@Dailyfiver
Жыл бұрын
Get rid of all your debts but the mortgage, then invest while trying to pay off your house. People always look at debt as leverage but don’t factor risk in. I prefer to own everything I can so that if another 2020 happens and I lose my job I’m secure. 100% of car repos happen on cars you make payments on 🤣
@frankbradford9616
Жыл бұрын
This is BS! The S&P return is a “possible” rate while the mortgage is a “definite” rate. You can act like they are identical. You could easily lose money in the market. Plus you can not even buy the S&P. It doesn’t exist for purchase. All you can do is buy into a fund which mimics it and such fund have lots of fees. Do not listen to the advice in this video.
@Dell7788
11 ай бұрын
I hate these videos because what if 2008 was your retirement year or the cvoid years. Then you are screwed and have to kerp working until home value goes up or storcks. Eberyone gets 3 big life events and you need to time it best as possible. And gaving a mortgage at 25 years old vs same home purchase at 40 years old is bug difference. Use your head and not rely on these hypothetical videos on YT
@Dell7788
11 ай бұрын
I did it the wtong way. I put 100k in stocks and roth then paid my credit cards and loans off. Now i wish i paid debt then invested bevause i would have bought stocks at a cheaper price. Now with no debt, no car payment. Im no longer investing and paying extra to pay my home off.
@concernedcitizen4579
2 жыл бұрын
the bank can't call and pull the rug from under your feet when you have paid off your house and car(s).
@royallgood8574
2 жыл бұрын
I agree! My wif and I owe 80,000 on the mortgage. We decided to pay 10,000 a mo for the next 8 months.
@TheTurdballs420
2 жыл бұрын
The teachers mafia, I mean teachers union called. They can and will pull the rug from under your feet if you don’t pay them. You don’t own that house, you just rent it from the teachers mafia. Don’t pay your property taxes and see what happens
@nothingtoseehere1097
2 жыл бұрын
They can if you don’t pay your property taxes.
@Abraham.Lincoln22
2 жыл бұрын
@@royallgood8574 I plan on paying $20k per month for the next year. Is that a good idea?
@cyliarabothata8857
2 жыл бұрын
EXACTLY 👌
@jim2376
Жыл бұрын
Mortgage debt: 0, credit card debt: 0, car loan debt: 0 (no car), student loan debt: 0, debt of any kind: 0. Debt sucks.
@temoentertainingendeavors9730
Жыл бұрын
Not sure why you would subtract the interest when the money calculated is earned in spite of the interest paid. You still end with the money you don’t pay the $2xx,xxx twice
@wmp3346
Жыл бұрын
Get a 15 year mortgage. To many people keep borrowing against their equity to dig out of other debt. Vicious cycle
@robertalexandro2162
Жыл бұрын
Brilliant analysis of the different things to watch for on the different time< frames. Good to see everyone feels the same way when they lose money, everyone thinks they could do this or that with that money which is as good as gone, instead people refuse to seek help from professionals, Michael Allen Hawkins set to be different and unique, I have made about $470k already from his day tradng, all i did was to copy his daily signals, am done having heart breaks hodling and trading myself lol
@JuanCarlos-ln2xt
Жыл бұрын
The way the market is now, no one need to be advised before going into trading with a professional like DOROTHY DONNA TAGLIENTE
@alexbradbury5967
Жыл бұрын
@@JuanCarlos-ln2xt She is currently helping me get back all that i have lost from this creepy market.
@richardbryan9434
Жыл бұрын
@@alexbradbury5967 HOW CAN I GET Her PLS ?
@lucaseverett99
Жыл бұрын
@@richardbryan9434 You can communicate with her on her website, just use her full name to search for her
@richardbryan9434
Жыл бұрын
@@lucaseverett99 Thanks You just made my day, I've lost so much trying to trade on my own.
@raze5346
Жыл бұрын
I rather pay off the mortgage. Investing with debt any debt such as mortgage debt is a gamble. I would rather know I owe nothing to no one.
@onehorsetoomany8006
2 жыл бұрын
Not considered here, likely because is it complicated and situation specific, is how taxes play into the picture. In my high tax state, that investment return could easily be reduces over 33% marginal rate, and I might be able to write off mortgage interest to save 33% instead. Your mileage may vary. (Note that the tax rate on investment income will typically be lower, but conventional IRA/401K returns get taxed at the full ordinary income rate). PMI, which has no benefit for the mortgage holder, was also not accounted for. Mortgage rates will always be higher than inflation at the time the loan is made. They will only be the same as inflation if inflation has risen since the loan was originated. If you anticipate higher inflation, though, a not paying off fixed rate mortgage early definitely makes sense. In fact, some people who bought houses just before the high inflation years in the 70s ended up paying less than the purchase price once inflation was taken into account. That is, the total of the principal and interest over the life of the mortgage was, after inflation, less than the purchase price of the home. Disclaimer: I am not a professional so don't construe this as advice. I don't expect to see that kind of brutal inflation again.
@ChrisInvests
2 жыл бұрын
What about over the past couple of months? Inflation is 8%+ and interest rates were 3%, 4%, 5%, 6% etc.
@onehorsetoomany8006
2 жыл бұрын
@@ChrisInvests You are correct. I stand corrected. Interest rates have not caught up to inflation. It would have been more accurate to say that mortgage rates will always be above the prime rate, which is affected more by policy than by inflation.
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