Financial question...

On Wed, 20 Aug 2008 16:16:32 -0400, John H.
<salmonremovebait@gmaildotcom> wrote:

>Would it be a wise move to take out a loan on your home to buy stocks?
>
>Would it be a wise move to sell stocks to pay off a loan on your home?

A lot has to do with your personal view on risk and holding debt.
Personally I hate any debt.
Since *nobody* can accurately predict what the stocks will do, it
comes down to that.
Well, I guess that was no help at all.

--Vic
 >> Stay informed about: Financial question... 

On Aug 20, 6:39 pm, BAR <sc....DeleteThis@you.com> wrote:
> John H. wrote:
> > On Wed, 20 Aug 2008 17:30:52 -0400, "D.Duck" <D....DeleteThis@ld.duck> wrote:
>
> >> "John H." <salmonremovebait@gmaildotcom> wrote in message
> >>news:jq2pa4d8shpinknirv7n8a5n1ji9itv7j4@4ax.com...
> >>> On Wed, 20 Aug 2008 17:11:53 -0400, "Eisboch" <noth....DeleteThis@nowhere.com> wrote:
>
> >>>> "Vic Smith" <thismailautodele....DeleteThis@comcast.net> wrote in message
> >>>>news:o90pa4hc4t59oemqokugo5i2imt73tll51@4ax.com...
> >>>>> On Wed, 20 Aug 2008 16:33:11 -0400, John H.
> >>>>> <salmonremovebait@gmaildotcom> wrote:
>
> >>>>>> On Wed, 20 Aug 2008 15:28:48 -0500, Vic Smith
> >>>>>> <thismailautodele....DeleteThis@comcast.net> wrote:
>
> >>>>>>> On Wed, 20 Aug 2008 16:16:32 -0400, John H.
> >>>>>>> <salmonremovebait@gmaildotcom> wrote:
>
> >>>>>>>> Would it be a wise move to take out a loan on your home to buy stocks?
>
> >>>>>>>> Would it be a wise move to sell stocks to pay off a loan on your home?
> >>>>>>> A lot has to do with your personal view on risk and holding debt.
> >>>>>>> Personally I hate any debt.
> >>>>>>> Since *nobody* can accurately predict what the stocks will do, it
> >>>>>>> comes down to that.
> >>>>>>> Well, I guess that was no help at all.
>
> >>>>>>> --Vic
> >>>>>> When I bought the house, I was holding a lot of debt. I'm still holding
> >>>>>> some debt on the house.
> >>>>> Taxes are tricky.  I'd love to knock off the rest of my house debt,
> >>>>> but the tax hit in cashing in a CD doesn't give advantage.
> >>>>> If it was less than a grand costs I'd do it anyway, just to clear the
> >>>>> debt.  Like I said, personal view.
>
> >>>>> --Vic
>
> >>>> Having spent most of my life in debt,  I don't understand why anyone wants
> >>>> or needs it (except banks) once they are in a position of paying it off.
>
> >>>> We own three houses and hold a mortgage for a forth (sold it and are
> >>>> acting
> >>>> as the "bank").
>
> >>>> We don't have any mortgage payments or debt.  We pay credit card balances
> >>>> off every month.
>
> >>>> I've been advised that's bad because we don't get any tax advantages..
>
> >>>> But, to me, it isn't worth it.  Why pay somebody interest,  just to get a
> >>>> write off on income taxes that does not equal the interest paid?
>
> >>>> Eisboch
>
> >>> I've never understood the advice to pay interest for the tax break. Where
> >>> is the break in giving away $1 to get 30 cents back? Seems like 70 cents
> >>> got lost there somewhere.
>
> >>> I can understand holding debt while building a savings account, but once
> >>> the cushion exists, I can't see the reason for it.
> >>> --
> >>> ** Good Day! **
>
> >>>    John H
> >> You're on the right track.  When your nest egg is secured payoff all debt as
> >> soon as possible.
>
> >> The only debt I have now is to Circuit City for the HDTV we recently
> >> purchased.  Reason, interest free for two years.  The money stays in the
> >> money market account (earning interest) and is extracted 100 bux at a time
> >> each month.
>
> > That's the way to do it. Hell, I put our travel trailer on VISA because I
> > get a 1.25% rebate on the purchases. The dealer didn't like it a bit,
> > 'cause I didn't tell him until after we'd negotiated a price, signed the
> > papers, and he said, "How would you like to finance this?"
>
> I have a credit card that has a 5.5% interest rate. Same rate as my home
> equity line of credit.

Get a card that provides cash back (BP gas in my case), charge most
everything you purchase on that credit card then pay it off in full
every month.

Free money for up to 60 days from the date of purchase plus cash back.
 >> Stay informed about: Financial question... 

"John H." <salmonremovebait@gmaildotcom> wrote in message
news:4quoa41puuqbj994ku7odcagectau76o3n@4ax.com...
> Would it be a wise move to take out a loan on your home to buy stocks?
>
> Would it be a wise move to sell stocks to pay off a loan on your home?
> --
> ** Good Day! **
>
> John H

Not enough information. Lots of variables.
 >> Stay informed about: Financial question... 

On Wed, 20 Aug 2008 16:18:32 -0400, "D.Duck" <Don.RemoveThis@ld.duck> wrote:

>
>"John H." <salmonremovebait@gmaildotcom> wrote in message
>news:4quoa41puuqbj994ku7odcagectau76o3n@4ax.com...
>> Would it be a wise move to take out a loan on your home to buy stocks?
>>
>> Would it be a wise move to sell stocks to pay off a loan on your home?
>> --
>> ** Good Day! **
>>
>> John H
>
>Not enough information. Lots of variables.
>

Current stock market. Interest rate on house - 5 1/8 %
--
** Good Day! **

John H
 >> Stay informed about: Financial question... 

On Wed, 20 Aug 2008 15:28:48 -0500, Vic Smith
<thismailautodeleted DeleteThis @comcast.net> wrote:

>On Wed, 20 Aug 2008 16:16:32 -0400, John H.
><salmonremovebait@gmaildotcom> wrote:
>
>>Would it be a wise move to take out a loan on your home to buy stocks?
>>
>>Would it be a wise move to sell stocks to pay off a loan on your home?
>
>A lot has to do with your personal view on risk and holding debt.
>Personally I hate any debt.
>Since *nobody* can accurately predict what the stocks will do, it
>comes down to that.
>Well, I guess that was no help at all.
>
>--Vic

When I bought the house, I was holding a lot of debt. I'm still holding
some debt on the house.
--
** Good Day! **

John H
 >> Stay informed about: Financial question... 

On Wed, 20 Aug 2008 16:33:11 -0400, John H.
<salmonremovebait@gmaildotcom> wrote:

>On Wed, 20 Aug 2008 15:28:48 -0500, Vic Smith
><thismailautodeleted.RemoveThis@comcast.net> wrote:
>
>>On Wed, 20 Aug 2008 16:16:32 -0400, John H.
>><salmonremovebait@gmaildotcom> wrote:
>>
>>>Would it be a wise move to take out a loan on your home to buy stocks?
>>>
>>>Would it be a wise move to sell stocks to pay off a loan on your home?
>>
>>A lot has to do with your personal view on risk and holding debt.
>>Personally I hate any debt.
>>Since *nobody* can accurately predict what the stocks will do, it
>>comes down to that.
>>Well, I guess that was no help at all.
>>
>>--Vic
>
>When I bought the house, I was holding a lot of debt. I'm still holding
>some debt on the house.

Taxes are tricky. I'd love to knock off the rest of my house debt,
but the tax hit in cashing in a CD doesn't give advantage.
If it was less than a grand costs I'd do it anyway, just to clear the
debt. Like I said, personal view.

--Vic
 >> Stay informed about: Financial question... 

"John H." <salmonremovebait@gmaildotcom> wrote in message
news:4quoa41puuqbj994ku7odcagectau76o3n@4ax.com...



> Would it be a wise move to take out a loan on your home to buy stocks?

Hell no!

> Would it be a wise move to sell stocks to pay off a loan on your home?

Possibly. Depends on the details of your situation.

Eisboch
 >> Stay informed about: Financial question... 

On Aug 20, 4:42 pm, John H. <salmonremovebait@gmaildotcom> wrote:
> On Wed, 20 Aug 2008 16:34:07 -0400, "Eisboch" <noth....TakeThisOut@nowhere.com> wrote:
>
> >"John H." <salmonremovebait@gmaildotcom> wrote in message
> >news:4quoa41puuqbj994ku7odcagectau76o3n@4ax.com...
>
> >> Would it be a wise move to take out a loan on your home to buy stocks?
>
> >Hell no!
>
> >> Would it be a wise move to sell stocks to pay off a loan on your home?
>
> >Possibly.  Depends on the details of your situation.
>
> >Eisboch
>
> What details would be necessary? Perhaps a better idea of the details to
> consider would be of big help.
>
> --
> ** Good Day! **
>
>     John H

Those are questions a 20 some year old would ask.

I find it amusing that you are asking these questions at a boating NG
to folks you do not know and are not financial advisors.

I suggest you find a good financial advisor.
 >> Stay informed about: Financial question... 

On Aug 20, 4:43 pm, JimH <osu....DeleteThis@oh.rr.com> wrote:
> On Aug 20, 4:42 pm, John H. <salmonremovebait@gmaildotcom> wrote:
>
>
>
>
>
> > On Wed, 20 Aug 2008 16:34:07 -0400, "Eisboch" <noth....DeleteThis@nowhere.com> wrote:
>
> > >"John H." <salmonremovebait@gmaildotcom> wrote in message
> > >news:4quoa41puuqbj994ku7odcagectau76o3n@4ax.com...
>
> > >> Would it be a wise move to take out a loan on your home to buy stocks?
>
> > >Hell no!
>
> > >> Would it be a wise move to sell stocks to pay off a loan on your home?
>
> > >Possibly.  Depends on the details of your situation.
>
> > >Eisboch
>
> > What details would be necessary? Perhaps a better idea of the details to
> > consider would be of big help.
>
> > --
> > ** Good Day! **
>
> >     John H
>
> Those are questions a 20 some year old would ask.
>
> I find it amusing that you are asking these questions at a boating NG
> to folks you do not know and are not financial advisors.
>
> I suggest you find a good financial advisor.- Hide quoted text -
>
> - Show quoted text -

And then JimH the Harry clone shows up to what? Dump a decen thread
right into the toilet with insults.
How do you know someone here isn't a "financial advisor" and/or could
give decent feedback?
 >> Stay informed about: Financial question... 

On Wed, 20 Aug 2008 16:34:07 -0400, "Eisboch" <nothere.DeleteThis@nowhere.com> wrote:

>
>"John H." <salmonremovebait@gmaildotcom> wrote in message
>news:4quoa41puuqbj994ku7odcagectau76o3n@4ax.com...
>
>
>
>> Would it be a wise move to take out a loan on your home to buy stocks?
>
>Hell no!
>
>> Would it be a wise move to sell stocks to pay off a loan on your home?
>
>Possibly. Depends on the details of your situation.
>
>Eisboch
>

What details would be necessary? Perhaps a better idea of the details to
consider would be of big help.


--
** Good Day! **

John H
 >> Stay informed about: Financial question... 

JimH wrote:
> On Aug 20, 4:42 pm, John H. <salmonremovebait@gmaildotcom> wrote:
>> On Wed, 20 Aug 2008 16:34:07 -0400, "Eisboch" <noth... DeleteThis @nowhere.com> wrote:
>>
>>> "John H." <salmonremovebait@gmaildotcom> wrote in message
>>> news:4quoa41puuqbj994ku7odcagectau76o3n@4ax.com...
>>>> Would it be a wise move to take out a loan on your home to buy stocks?
>>> Hell no!
>>>> Would it be a wise move to sell stocks to pay off a loan on your home?
>>> Possibly. Depends on the details of your situation.
>>> Eisboch
>> What details would be necessary? Perhaps a better idea of the details to
>> consider would be of big help.
>>
>> --
>> ** Good Day! **
>>
>> John H
>
> Those are questions a 20 some year old would ask.
>
> I find it amusing that you are asking these questions at a boating NG
> to folks you do not know and are not financial advisors.
>
> I suggest you find a good financial advisor.



Nah. I think Herring ought to take out a big second on his house and use
the proceeds to buy shares. I suggest buying Ford and GM, and other
corporate stocks in companies with ossified management and shrinking
markets. :>)
 >> Stay informed about: Financial question... 

"John H." <salmonremovebait@gmaildotcom> wrote in message
news:fb0pa49gljs7ocoo6p2bkpiahsadeam4f5@4ax.com...
> On Wed, 20 Aug 2008 16:34:07 -0400, "Eisboch" <nothere.DeleteThis@nowhere.com> wrote:
>
>>
>>"John H." <salmonremovebait@gmaildotcom> wrote in message
>>news:4quoa41puuqbj994ku7odcagectau76o3n@4ax.com...
>>
>>
>>
>>> Would it be a wise move to take out a loan on your home to buy stocks?
>>
>>Hell no!
>>
>>> Would it be a wise move to sell stocks to pay off a loan on your home?
>>
>>Possibly. Depends on the details of your situation.
>>
>>Eisboch
>>
>
> What details would be necessary? Perhaps a better idea of the details to
> consider would be of big help.
>

Other than the cursory opinion I offered, I am in no position to advise
anybody on their personal finances.

If you are serious, you should talk to a certified financial planner.

Me? I avoid them at all "costs".

Eisboch
 >> Stay informed about: Financial question... 

On Wed, 20 Aug 2008 15:45:17 -0500, Vic Smith
<thismailautodeleted.RemoveThis@comcast.net> wrote:

>On Wed, 20 Aug 2008 16:33:11 -0400, John H.
><salmonremovebait@gmaildotcom> wrote:
>
>>On Wed, 20 Aug 2008 15:28:48 -0500, Vic Smith
>><thismailautodeleted.RemoveThis@comcast.net> wrote:
>>
>>>On Wed, 20 Aug 2008 16:16:32 -0400, John H.
>>><salmonremovebait@gmaildotcom> wrote:
>>>
>>>>Would it be a wise move to take out a loan on your home to buy stocks?
>>>>
>>>>Would it be a wise move to sell stocks to pay off a loan on your home?
>>>
>>>A lot has to do with your personal view on risk and holding debt.
>>>Personally I hate any debt.
>>>Since *nobody* can accurately predict what the stocks will do, it
>>>comes down to that.
>>>Well, I guess that was no help at all.
>>>
>>>--Vic
>>
>>When I bought the house, I was holding a lot of debt. I'm still holding
>>some debt on the house.
>
>Taxes are tricky. I'd love to knock off the rest of my house debt,
>but the tax hit in cashing in a CD doesn't give advantage.
>If it was less than a grand costs I'd do it anyway, just to clear the
>debt. Like I said, personal view.
>
>--Vic

I'm not talking about taking money out of savings (CDs), but about selling
stocks. I believe the interest earned on CDs is taxable in the year earned,
not when the CD matures.
--
** Good Day! **

John H
 >> Stay informed about: Financial question...