Good morning.
I'm trying to determine how one would go about figuring out which option is better...
1.* Take NET INCOME and purchase the MOST EXPENSIVE home one can realistically afford, hoping that appreciation is favorable.
2.* Determine the MINIMUM INCREMENTAL AMOUNT of dollars you would have to save on top of your existing investments that would offer the same NET RETURN.
So...*bare with me here...** *
Investments * return = Option 1
Home * return = Option 2
How do I compare the incremental investment required in Option 1 to be >/= the net gain realized from B?