slickrick

R-. why am i trying to recoup my 5 million? i still own 5 million in property, which is building equity. point is moot.

A- You hope it's building equity, this is all hypothetical and speculative. Very naive if you think the point is moot.

R- Sure I could rent the condos. buy properties that already have tenants. very common.

A- This is not your first recommendation. You stated buy them and then rent them.

R- headaches if i dont sell the property? why, I dont have a mortgage payment and i am surely not strapped for cash. My property manager handles that crap anyway. it is a paper investment for me.

A- You still have taxes, your 5mil is fully invested unless you have another 5 mil we don't know about? Cool paper investment $5 mill worth of paper.

R- risk is minimal in real estate when the economy is down. 20K is less per month not to mention the profit lost on built equity. I will take the 10-15K a month extra over your plan and put it in a high yeild money market account if it makes you happy. modest 5% return though? doubtful in this world at this time.

A- Risk is minimal don't you live in florida. Have you not seen what has gone on with the real estate in that state. I don't know who you invested with but mine returns 6%. Regardless your speculating on you gains.

R- the dropping dollar bills was a joke. that was implied.

A- tasteless.

You wanted a debate don't be a child. Have a nice night.

v_therussian

you just got spanked, Craig bwahahahaaa

craigm1841

my money market used to return 6%. not now. I do live in florida, but i own property in GA. taxes and insurance was covered. i did mention that. if NONE of my property was rented, i would have no money, but how likely is it that NONE of the property would be rented? however, since i am not managing the property i can keep my great full time job that i already have. i will make my money back in real estate when buying low. simple laws of supply and demand. your view of the tastefullness of my joke really holds no bearing in this discussion. you were the first one to resort to name calling. good job!

craigm1841

it needs to encompass the logic beyond his point of view to hold any real weight in the argument. they are good points, but not the end all be all. i think the idea of a debate sucked him in before he could really think about the long term though. thanks for the 2 cents, but you can have it back.

slickrick

Hey Graigm I've been a member for a long time and name calling is not my thing. My apologies if you feel i've offended you in any way. I did like your topic and it had a lot of people wondering and thinking. It was good for debate and I enjoyed it. On another note you can not contradict an answer to a remark by stating that it has no bearing on the discussion. The remark was met with a response, so it is.

craigm1841

no hard feelings. if you ever have 5 million, invest it how you see fit, i will do the same. capitalism is great. i have no doubt that with some thought, anyone can be quite successful with that amount of money. many people would blow it right away on poor investments. this was just an attempt to see what people would do given the opportunity to spend/invest 5 million.

I was going off of my idea because i do in fact have a real estate background and that is what i am comfortable with. if mutual funds/money market is your thing, go at it. that is a great place to store excess funds, in my opinon. but again, god bless capitalism. everyone makes their money in their own right

slickrick

Like I said before, great topic.. Have a good night...

v_therussian

BTW Slickrick, I know that you've been a member here for a very long time and you've actually helped me out a few times, but - respectfully - I have to disagree on the Money Market investment. And at the same time agree, but let me explain:

To me it appears that in today's conditions investing in money market does not work the way it used to - today, you have to be able to withdraw your funds. And with some banks out there, it might be easier to actually sell a real property. I understand that I speaking figuratively - not factually, but to me, this is a high risk investment, just based on the fact that too many things can go wrong, while you might not be able to withdraw your money fast enough.

Here's how I think MM could actually work. A friend of mine put a few grand into a MM account in a Moscow bank. As opposed to the low single digit rates offered in the States, in Moscow, interest rates are in high teens, which nets a MM account returning 12% plus GUARANTEED!!! There's still the element of risk - more so, now that the money is abroad and in a nearly lawless country, like Russia. Over there, your 5 mil WILL get noticed and eventually someone WILL make a play for it, if you're not moving around enough - just the way things are there. But IMO it is still a better risk-return situation than a single digit interest account domestically. As an added benefit to a Moscow account, it is denominated in Euros, so over the past two years that my friend's had his acc, he's also played the FX market by withdrawing and re-inserting the money, effectively netting a return of about 20% annually. This is documented, btw.

Above being all good and true, there's still no way to avoid spreading the 5 mil around without taking too much risk. I'd never put all the money into one investment - just my nature.

v_therussian

Craig, what if I start a topic "what would you do with 10 million?" - you think it'd get more hits?

craigm1841

how about the topic "what is the craziest thing you would do for 5 million dollars"