Comments on: 401k v Real-estate. A close call, then?

By: Antione Latassa

Antione Latassa — Sat, 25 Jun 2011 16:24:47 +0000

While I agree with the points in 401k v Real-estate. A close call, then?-
7million7years , I think the positive sentiment around today is a concequence of a false set of circumstances. The demand for consumer loans is still weak and there is no significant improvement in the housing market. The developed nations are surviving on their governments ability to just borrow and spend into their countries which is unsustainable. Regards, Antione Latassa.

By: Your employer may be stealing from you! « How to Make 7 Million in 7 Years™

Your employer may be stealing from you! « How to Make 7 Million in 7 Years™ — Mon, 08 Dec 2008 16:41:43 +0000

[...] but, first let’s take another quick look at fees [AJC: Inspired by a comment left on a post by Dustbusterz ... thanks 'Dusty'!]; in 1998 (!) the Department of Labor received and published an [...]

By: How do you manage real estate risks? « How to Make 7 Million in 7 Years™

How do you manage real estate risks? « How to Make 7 Million in 7 Years™ — Thu, 30 Oct 2008 12:27:49 +0000

[...] I encourage you to read that post and the associated comments here. The discussion culminated in a great series of comments/questions by Jeff who also asked: I agree, [...]

By: The time of your life? « How to Make 7 Million in 7 Years™

The time of your life? « How to Make 7 Million in 7 Years™ — Thu, 16 Oct 2008 09:29:27 +0000

[...] spoke about getting – or beating – average returns from either stocks or real-estate, but David points [...]

By: AJC

AJC — Wed, 10 Sep 2008 04:27:50 +0000

@ Dusterbusterz – same government department; same report, just 10 years later … same result:

http://www.dol.gov/ebsa/publications/401k_employee.html

Thanks! AJC.

By: dustbusterz

dustbusterz — Wed, 10 Sep 2008 04:04:26 +0000

WOW , all this talk about 401 K’s, I gotta post this little warning . I just read an article about 401 K’s that everybody needs to take into account here. It seems that many(perhaps not all ) banks and other 401 K account holders have been playing us for fools in the years past.

We all know that they charge a handling or management fee for attending to all this money. But , apparently, these fees were just not enough to satisfy the money hungry Bas***ds. You see, they have been charging some underground fees,that no one is supposed to know about , and ordering their managers to invest our money in some average or under performing stocks (which they were getting kick backs to recommend). So, that 8 % average return could be much much less due to the underground fees and the under performance of these stocks.

By: shaferfinancial

shaferfinancial — Mon, 08 Sep 2008 01:56:45 +0000

AJC had hit it on the head. The data for wealth in the US demonstrates that business ownership and investment real estate is the two most concentrated areas for the wealthy. It matters not which came first! But, the asset that lasts the longest (generations) is usually the real estate.

By: AJC

AJC — Sun, 07 Sep 2008 21:04:34 +0000

@ Jeff – we don’t judge anybody here! We are all trying to get each other to look outside of our comfort zones: that equally applies to you trying to make us look more analytically at risk!

And, I only say the next post will be ‘less than fulfilling’ because I won’t be answering your specific questions (well, I will answer one).

Finally, I agree with Shafer: who cares about RE per se? I just like the risk/reward profile that certain kinds of (conservative) RE investing can provide. Equally, I like value stocks, businesses, etc. … for example, your business(es). QUESTION: what will you do with the free-cashflows they will produce once off and running? ‘Business + RE’ is a winning formula!

By: Jeff

Jeff — Sun, 07 Sep 2008 17:02:43 +0000

@AJC,

…hate to dissappoint you (and everyone else), but I’m pursuing business opportunities (not traditional investments) in my area of expertise. Probably too much risk and effort (read: time) for those just trying to make their money work for them, but the potential return on both the initial investment and time is great!

Look forward to your future post.

By: AJC

AJC — Sun, 07 Sep 2008 05:23:02 +0000

@ Jeff – actually, this is great discussion and I have reserved a very slightly more detailed (but, I fear, just as unfulfilling – for you) response for a future post.

BTW: Would love (seriously!) to hear what you consider to provide a better LONG TERM (10 – 30 year time holding period) investment than reasonably leveraged RE? I am struggling to find one that matches its risk/reward ‘ratio’, as is ShaferFinancial, as is Michael Masterson, as is Lowry/Lindahl/Reed/et al …