Comments on: Pay cash for your house? http://7million7years.com/2008/08/19/pay-cash-for-your-house/ How to make 7 million in 7 years ... Thu, 18 Mar 2010 14:46:04 -0700 http://wordpress.org/?v=2.9.2 hourly 1 By: AJC http://7million7years.com/2008/08/19/pay-cash-for-your-house/comment-page-1/#comment-1580 AJC Wed, 20 Aug 2008 14:54:10 +0000 http://7million7years.wordpress.com/?p=394#comment-1580 @ Trainee - Seems we agree :) Thanks for your comment. @ Trainee – Seems we agree :) Thanks for your comment.

]]> By: traineeinvestor http://7million7years.com/2008/08/19/pay-cash-for-your-house/comment-page-1/#comment-1581 traineeinvestor Wed, 20 Aug 2008 04:32:11 +0000 http://7million7years.wordpress.com/?p=394#comment-1581 If I was in retirement in the sense of not having a regular source of income from employment, I would pay cash rather than take on a mortgage and need to achieve 10% pa returns to make the payments. Sure, 10% is doable, but it involves taking on a moderate degree of risk and you will only need one or two bad years (i.e. less than 10%) to have a problem. If attractive opportunities for investment come along, you can always take out a loan against the house later to fund it, but it you have a much greater degree of flexibility (and, I suspect, less stress and worry). Cheers traineeinvestor If I was in retirement in the sense of not having a regular source of income from employment, I would pay cash rather than take on a mortgage and need to achieve 10% pa returns to make the payments. Sure, 10% is doable, but it involves taking on a moderate degree of risk and you will only need one or two bad years (i.e. less than 10%) to have a problem.

If attractive opportunities for investment come along, you can always take out a loan against the house later to fund it, but it you have a much greater degree of flexibility (and, I suspect, less stress and worry).

Cheers
traineeinvestor

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