steady saver
Recycles dryer sheets
- Joined
- Apr 10, 2013
- Messages
- 499
Everything on the list is true. Unfortunately, so is the fear of deflation. And another recession.
I lost plenty in the latest crash. And in 2000 and in 2008. I decided to move more towards rental property, something I could control. And I have more income diversification.
If the fed raises rates, it will absolutely kill the economy and make last weeks rout look like a great week. I lost a year+ worth of expenses, easily. Likely two years. Yet, I am still in. I am also paying off rental mortgages again (5.375%), in addition to investing my monthly allocation.
Senator, my DH and I have been considering rental property for a while now b/c, like you, we want more diversification (and tax benefits for now). We are planning on retirement between Jan. 2017 and Sept. of 2018. Like everyone else here, we took a 25K+ hit this past couple of days. I need to do some AA (that will be a different post) but had wanted to ask here about diversifying into rental property.
I'd read an article that quoted rental property as having a rate of return averaging roughly 3%. Is that your experience? And do you do your own maintenance? We're limited in our capabilities on that end. Thoughts on commercial vs. residential?
Thanks!