04-09-2019, 04:11 PM
(04-09-2019, 03:58 PM)Apoc Wrote:(04-09-2019, 02:13 PM)Kaan Wrote: housing market stuff is so weird. if it were paid off today we could probably get $400k for our home... maybe that sees 500k later or more... but I'm going to have to spend some of that to live somewhere else. so I just don't do the math with that "guess" of a number in 22 years.
I'm quickly arriving at excluding it from consideration at all because it's hard to model out.
Assume you had been in seattle 15 years and your house is paid off and sells for $1M. I know none of these things are reality but I'm throwing a dart here to make a point. You cash out that equity and stick it in some investment vehicle that earns you 5% per year, or $50k, or $4167/mo. Now the house isnt worth that much and the rent isnt that high, but, compared to just living in the paid off house where you only owe the taxes & upkeep I guess thats an audible down the line on whether you want lower costs or more flexibility.