A property a year will make you a millionaire
After a lot of positive response from my post last week The tortoise wins every time I decided to see what other theories we could test out. My business partner Stephen Smith suggested we look at something simple like a $100,000 property purchased every year for ten years. At first I thought that this would cost more money than my slow and steady approach of buying a new property every five years. But there are some added benefits to buying this way. We will have to put more money down, but we will speed up the buying process which might make us a millionaire sooner than we expect.
So here is the plan. We buy a $100,000 home every January. We put 20% down so we can avoid paying PMI. Because we are
Comments (2)
Great post @Ed Neuhaus
Some new investors focus too much on making money in the short term. Your example is a good reminder that real estate is a long term play. Investors who make a simple plan and diligently follow it over a decade are able to create considerable wealth.
Best regards, Nathan
Nathan Carter, about 9 years ago
That's a nice strategy, but yes, a bit expensive for some. However, the long-term gains are commendable, and if you are willing to save aggressively during this period, you will be well off throughout your retirement. Thanks for Sharing Ed!
Dmitriy Fomichenko, about 9 years ago