if You Had $1 Million to Invest Today

[David P.]

Plenty of buying and selling still going on these days, so thought I'd pose the question to the community given where we're at in the cycle.

Would you diversify the property types in your portfolio (multi family, condo, SGT, etc? 

Different markets?

Cash flow and/or appreciation? 

Long term buy and hold or short term fix and flip?

[Guy Yoes]

I often wonder when people say "I'm going to make a million dollars in RE and retire".  Do they plan to work their properties themselves (that's not retired) or pay someone to manage them? There are few people I trust to oversee my finances (rentals, stocks or investments) and who would put my interests above theirs.

 Well, I retired last summer and turned 57 last week. I have a decent pension coming in each month and a handful of debt-free SFRs and some first position notes.  This allows me time to manage my properties and to pursue other interests and take a few trips each year.

If I had a million dollars, I would move it into notes, tax liens and other lending vehicles. At 9-12 percent interest, that would gross about 100K a year. I would sell my properties (buy more notes and with the pension clear around 10K a month and never touch the principal.

Would also consider moving to a warmer climate where the US dollar has more buying power. I would not buy a new truck, boat or motorhome. I would enjoy life, play with the grandkids and try to be a blessing to others.

For me, financial freedom is the means, not the ends of a life worth living.