Do we have to deduct money owing from that amount as well? bummerThis quote is hidden because you are ignoring this member. Show Quote
Do we have to deduct money owing from that amount as well? bummerThis quote is hidden because you are ignoring this member. Show Quote
balance sheet is balance sheet. You also have to sell stocks if you want to realize your paper gains.This quote is hidden because you are ignoring this member. Show Quote
Isn't it off-brand for a realtor(tm) to be arguing against using property value in a discussion of wealth? 'coupe you feeling okay bud?
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If I buy a property that’s underwater 5 years later what is my net worth?
Asking for SKR
Originally posted by Thales of Miletus
If you think I have been trying to present myself as intellectually superior, then you truly are a dimwit.
Originally posted by Toma
fact.This quote is hidden because you are ignoring this member. Show Quote
sshhhh.This quote is hidden because you are ignoring this member. Show Quote
You just ruined it.
I can sell stocks and have cash in hand within a day.This quote is hidden because you are ignoring this member. Show Quote
My house even fully paid off is not liquid. Takes time to sell, etc.
I can borrow money against it, sure, but that’s borrowed money.
If I do sell it, in this scenario a primary residence, I still need a place to live.
It’s an asset for sure, but it’s definitely not liquid.
Not sure why I am even saying this lol, I’m bored.
Most people I know don't include their house equity when determining their net worth as they don't consider the equity in the house to be liquid and only count money that is invested in other markets. I agree with this logic. I guess these days one could argue the house is an investment. It's typically money managers that hate it when someone claims "I've got a net worth of $2M" only to find out they only have $500k of cash to invest with them and the rest is tied up in the house and not accessible for them to earn commissions from.This quote is hidden because you are ignoring this member. Show Quote
If you hire a top notch real estate agent you can have your house sold in ~24 hours (above asking of course). At 30 day closing you have cash in 1 month.This quote is hidden because you are ignoring this member. Show Quote
Not liquid, but not like you're waiting for years to realize your gainz.
I don't want to direct it at new immigrants. I want to direct it at fucksticks migrating from OntarioThis quote is hidden because you are ignoring this member. Show Quote
Why wouldn't you consider your house in net worth? Just because it's not liquid doesn't mean it's not an asset. Someone that owns a ~2M house paid off and someone that owns a condo are in very different financial situations even if they have the same amount of cash invested otherwise.
But your guys definition if I have a few million in a bonds that money doesn't exist because I can't withdraw it today.
You still need a place to live.This quote is hidden because you are ignoring this member. Show Quote
At retirement you sell your home and then what?
If a bank is willing to extend credit based completely on if you do or do not own something… it’s part of your net worth
You should also not selling any asset if you still believe if the growth of that asset. If you need cash, leverage the assets.
I can get you spendable funds into your bank account with a loan secured to a home faster than it takes for a stock sale to actually settle. Is there a cost? Of course. There is also an opportunity cost to liquidating easily liquidated assets.
Your logic is sound. I suspect it might be because it's get complicated with money owing on the house, HELOC's etc. If you have a $2M house paid off, I think it's reasonable to include a significant percentage of that in a net worth calculation for retirement etc as you can sell the house, start renting for $2,500/month and all of a sudden your net worth jumps by $2M. I think it's the stock brokers/financial advisors that don't like to include clients houses in net worth calculations as it's money they won't get to control and they simply want to know the amount of investible cash someone has.This quote is hidden because you are ignoring this member. Show Quote
I say don't include it as it's better to think you have less money than you do more. Then you have an nice little extra buffer once you retire.
You move into assisted living. It’s a much better experience if you sold a $2m home than if you did notThis quote is hidden because you are ignoring this member. Show Quote
Thailand bro.This quote is hidden because you are ignoring this member. Show Quote
LOL, you will need assisted living when you retire?This quote is hidden because you are ignoring this member. Show Quote
Jesus fuck, our Country is screwed.
suspect he means assistance with healthcare, daily living vs financial assistance.This quote is hidden because you are ignoring this member. Show Quote
That’s what would trigger a sale, yes.This quote is hidden because you are ignoring this member. Show Quote
If you had a free and clear house and were unable to amass enough capital for a passive income stream to support you at a younger age then there are lending products that will unlock your equity earlier… again, something completely dependent on if you do or do not own said asset
So put them up at cactus clubs?This quote is hidden because you are ignoring this member. Show Quote
Two pages of arguing over a joke, peak Beyond.
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