How’s the stock market?

gbg

Miki Dora status
Jan 22, 2006
3,870
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I am worried about my 401K. Pretty crazy run the last 5 years but am afraid its going to plunge. It's all invested in medium and large US stocks. I can move to a no risk bond fund where I will lose nothing if the market crashes. Any thoughts?
 

lruc

OTF status
Nov 10, 2016
227
271
63
I am worried about my 401K. Pretty crazy run the last 5 years but am afraid its going to plunge. It's all invested in medium and large US stocks. I can move to a no risk bond fund where I will lose nothing if the market crashes. Any thoughts?
Interest rate cycle of higher rates , you would be safer in money markets . The yield on the fund aint going to compensate for principal declines inmo .
 
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gbg

Miki Dora status
Jan 22, 2006
3,870
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I'm looking for an opinion on a financial issue. I have quite a bit of equity doing nothing for me and contemplating buying a vacation rental in Huatulco. 2 BR 2 BA places go for $125K-$150K USD. I would need $30K for down payment, legal fees and furnishings. Huatulco is full of Canadians from Novemer through April. Place would be fully booked all winter. I'm 52. I can't imagine moving elsewhere. I got in really low. $327K for a 3BR 3BA townhouse. I cant afford to move. Would you pull the trigger if you were in my financial situation?
 

grapedrink

Duke status
May 21, 2011
25,945
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A Beach
I'm looking for an opinion on a financial issue. I have quite a bit of equity doing nothing for me and contemplating buying a vacation rental in Huatulco. 2 BR 2 BA places go for $125K-$150K USD. I would need $30K for down payment, legal fees and furnishings. Huatulco is full of Canadians from Novemer through April. Place would be fully booked all winter. I'm 52. I can't imagine moving elsewhere. I got in really low. $327K for a 3BR 3BA townhouse. I cant afford to move. Would you pull the trigger if you were in my financial situation?
Absolutely I would. HELOC. No brainer. Will easily cover your down and more than enough left over for improvements and furnishings. You don’t have to even start paying it back for 15 years. APR would be prime plus around .75-1%. They’ll loan you up to 80-90% of your equity as long as it’s within the max acceptable DTI ratio. No better time than now to cash in on that :beer:
 
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Sharkbiscuit

Duke status
Aug 6, 2003
26,270
19,096
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Jacksonville Beach
I'm looking for an opinion on a financial issue. I have quite a bit of equity doing nothing for me and contemplating buying a vacation rental in Huatulco. 2 BR 2 BA places go for $125K-$150K USD. I would need $30K for down payment, legal fees and furnishings. Huatulco is full of Canadians from Novemer through April. Place would be fully booked all winter. I'm 52. I can't imagine moving elsewhere. I got in really low. $327K for a 3BR 3BA townhouse. I cant afford to move. Would you pull the trigger if you were in my financial situation?
Is this some place with an on-premise maintenance staff that deals with headaches and you pay for it, or are you your own foreman on this via phone from SD?

I mean having a place in Mainland May-October that you can rent Nov-April sounds dank. Find someplace with good surf Nov-April when that's the "down" tourist season and celebrate good times come on.

But dealing with maintenance/repairs sounds like a pain in the ass in my own place in the US.
 
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grapedrink

Duke status
May 21, 2011
25,945
14,733
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A Beach
Is this some place with an on-premise maintenance staff that deals with headaches and you pay for it, or are you your own foreman on this via phone from SD?

I mean having a place in Mainland May-October that you can rent Nov-April sounds dank. Find someplace with good surf Nov-April when that's the "down" tourist season and celebrate good times come on.

But dealing with maintenance/repairs sounds like a pain in the ass in my own place in the US.
I got the impression from the post that it’s the former. GBG aint got time for that :beer: I hear you though, only way you go with the latter is if you live there Ogro style
 
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Autoprax

Duke status
Jan 24, 2011
68,237
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Vagina Point
I am worried about my 401K. Pretty crazy run the last 5 years but am afraid its going to plunge. It's all invested in medium and large US stocks. I can move to a no risk bond fund where I will lose nothing if the market crashes. Any thoughts?
MY sister did and she would have a made a bunch of money during the boom.

But maybe now she will be saved.

I don't want to look but I bet I'm a looser.
 

gbg

Miki Dora status
Jan 22, 2006
3,870
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I got the impression from the post that it’s the former. GBG aint got time for that :beer: I hear you though, only way you go with the latter is if you live there Ogro style
Def aint got time for that. Furnish it and turn it over to a property mgt company.
 
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hammies

Duke status
Apr 8, 2006
15,587
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I got a feeling the next week or 2 will be pretty rough. Ride it out.

Stick it out till the end of the year and you'll make money, if you are in broad market index funds.
 
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