Quote:
Originally Posted by PeanutButter
@rymack Are you going to take a loss on the condo if you sell? A lot of people are concerned about taking a loss on real estate, but it's just like any investment, sometimes they just don't work out. Taking a loss and moving the capital to another investment is common.
I can't imagine anyone with real estate bought in the last five years is positive cash flow, unless you put a huge down payment, which wouldn't make sense for an investment property. I would say if your real estate is cash flowing $0, I would for sure keep that. At least all your expenses are covered. Even if you're a couple hundred negative a month, I could argue it's still worth keeping.
The important thing is to have a plan for the capital if you sell. If you just sit on cash, I would rather just keep the real estate as long as your cash flow can support the monthly loss. If you don't have real estate then your only real option is the stock market. How comfortable are you with the stock market?
For the majority of equity investors I would suggest ETF's only. Buying individual stocks is a losing battle on average. TSLA for example can swing 40%, not for the faint of heart (even though I'm a long term believer).
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Not taking a loss at all. I bought this in 2010 lived in for a few years and then when my wife and I got together we bought our first house around 2013. A bit disappointed the market dropped but it is what it is
Where we really screwed up in hindsight is when we sold our first house and moved to our second in 2015 was that we didn't sell the condo and keep both houses. I considered it but we were about 25k short to make it comfortable.