Talk of The Villages Florida - View Single Post - If you pulled 250k out of the stock market....where would you put it?
Thread: If you pulled 250k out of the stock market....where would you put it?
View Single Post
 
Old 09-28-2011, 11:51 AM
rjm1cc's Avatar
rjm1cc rjm1cc is offline
Soaring Eagle member
Join Date: Apr 2010
Posts: 2,470
Thanks: 268
Thanked 583 Times in 283 Posts
Default
Quote:
Originally Posted by ricthemic View Post
Looking at existing houses now in TV. Does it make sense to buy the house cash by taking out of stock market? Planning on six months in TV. Have existing house up north paid off. Leaves us with a decent pension, SS and some cash.
Remember capital gains taxes when you run the numbers. I would also assume that inflation will increase so having a fixed monthly mortgage payment for 30 years might be a good thing. I would consider a mortgage and putting trailing stop loss orders on the stock I would have sold to buy the property. You will have to put the stop 5% to 10% under the market to avoid getting sold out too soon. Maybe 10% now and if the market calms down move it to 5%. This is not risk free as you could end up selling the stock for less than you could get now.