Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : Value Investing -- Ignore unavailable to you. Want to Upgrade?

To: Fantik24 who wrote (68854)	10/11/2021 7:43:35 AM
From: bruwin	Respond to of 78777

In my part of the world we have what is known as an "ACCESS BOND" which can be linked to your cheque account. That means you can withdraw funds based on that amount of the bond that you have paid off. But another important advantage is to be able to deposit funds, such as your monthly salary, into your ACCESS BOND and then draw from it as you needs funds during the month. This one does because every night the Bank's computer does a calculation on the amount owing on the bond based on the current balance. At the end of the month all those daily interest calculations are added up for a month's total interest charge. Therefore to keep the amount owing on the bond as low as possible, on an ongoing basis, reduces the overall interest charged. Needless to say, the more that you can pay off on your bond the better it will be. Don't just pay off the minimum monthly amount that the banks asks for. By paying, say, 10% more per month will reduce the overall "life" of the bond by several years. A house bond is probably the Largest Expense one will ever have ........

To: Fantik24 who wrote (68854)	10/11/2021 8:56:19 AM
From: E_K_S	Respond to of 78777

Buying Real Estate using a 1st Deed Of Trust (typically referred to as a mortgage) may be ok but a lot depends on your age, amount borrowed (usually no more than 30% LTV Loan To Value), type of property (income or residence), your cost price/sq ft and cost of materials and amount of the fix up. Try to secure a 'fixed' rate. In times of inflation real property can be an inflation hedge since the cost of the materials to build will be higher and the land value s/d move higher. For income property you can raise rental rates higher and more often. That means that your revenue streams will increase faster than your expenses (hopefully). ----------------------------------------------- Not sure what company you referred to (or the ticker) the referenced post discussed ABBV which is a Pharma/Drug company. Other ways to participate in the Real Estate sector (other than buying a home or rental property), you can look at REITs and/or companies that provides products and services to the home owner (ie. Home Depot). Post some of the Company names you have been looking at and the board can discuss their views as a Value investment.