Talk of The Villages Florida - View Single Post - Dropping Home Prices in TV is a Good Thing
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Old 10-09-2023, 06:52 AM
jimbomaybe jimbomaybe is offline
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Quote:
Originally Posted by MrChip72 View Post
Most people that are even moderately savvy with with finances would consider that a misguided take to be honest especially if their mortgage rate is 3-4%. You can beat that rate moderately with a variety of extremely safe investments currently, and beat it by a lot long term invested in index funds.

It's better to optimize your money than have it 100% tied up in real estate making you zero returns. Many of the world's billionaires don't own most of their homes outright.
I don't know how anyone could argue with your logic , I have no qualifications as a financial planner but I think anyone so qualified would advise anyone buying a home to take advantage of the dramatically low 30 year interest rates , risk is unavoidable, home ownership has been historically a low risk proposition, that's why mortgage rates are lower than most other types of credit, when you take a mortgage at a 2 to 3% area the entity providing the funds are taking all the risk, anyone one would be much better off taking as large a mortgage as their cash would allow