What would YOU do if you have a large sum of money?

[Jonathan Yeh]

I've been thinking what people would do (or rather, what's the best thing to do) when they receive a lump sum of money for whatever reason.

Would you...

1. Pay off your primary residence (90-100%), and invest the rest of it in rental properties.

2. Pay down payment (5-20%) to get your primary residence, and invest the rest of it in rental properties.

3. Rent your own place, and invest the rest of it in rental properties.

I'm suggesting rental properties because I'm a buy and hold investor, but do you have any other thoughts in mind? Let's hear it!

[Joe Villeneuve]

Originally posted by @Jonathan Yeh:

Originally posted by @Joe Villeneuve:

None of the above.  I would use it over and over again...and never spend it.

When you said you would use it over and over again, what are you referring to? 

 Use it like your seed money.  NEver spend it.  Use it as many times as you can.  To do this you must flip the cash.  Notice I said "cash".  Every time you flip it, it comes back to you with friends.  Reinvest (use/flip) both over and over.  It grows exponentially.  Eventually you "spend" (one use) the profits (friends)...but NEVER spend your seed money.  Once spent, it's gone forever.  Use it (many times), and it's the gift that keeps on giving.