Thread: My sig explained (finally..and it's a fricken' novel)

Originally Posted by wizardPC

Aha! Now I see your point.

Damn! That was easy. Most people look at you like you've got two heads when you try to tell them that multiple mortgages are good.

oh, i didnt say they were good. Cause what happens when your tenant moves out and now you still have to pay the mortgage only now without that extra income from renters. And there's the part where I think your math only works if you've got an interest only mortgage (read: renting from the bank)

but, if you're Donald Trump I guess it wouldnt matter much.

Discover Card is PAID OFF!

Originally Posted by wizardPC

oh, i didnt say they were good. Cause what happens when your tenant moves out and now you still have to pay the mortgage only now without that extra income from renters.

We're not living check to check anymore, so that's not a concern. That does cost money. The cost can be minimized, of course. And every penny it costs improves our tax situation...

Originally Posted by wizardPC

And there's the part where I think your math only works if you've got an interest only mortgage (read: renting from the bank).

Uh-huh. You're goal isn't to ever own the properties. If you own them, they can be taken away from you. If the bank owns them, if someone tries to sue you for the property, they get the mortgage that's attached to it. Therefore it acts as a form of an insurance policy. And most importantly it keeps your cash liquid.

Originally Posted by wizardPC

but, if you're Donald Trump I guess it wouldnt matter much.

He's the most famous example of how the "game" works.

Originally Posted by wizardPC

Discover Card is PAID OFF!

Congrats!

well done. keep it up. only $32k to go...

congrats on the progress. the lower the number, the less interest burns you.

Good luck.
drew