Re: Read Estate: Never pay off land?
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The problem with borrowing on your home at ~6% to invest at a higher rate (say 12%) is that you're taking on the risk of a 12% investment for the return of a 6% investment. It's not just about your tolerance for risk, it's your tolerance for risk at a given return.
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Exactly. This point is too often brushed under the rug in these discussions.
eastbay
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