Ask Paula: Feeling FOMO About Your Home Equity? Here's What to Do

Afford Anything

Paula Pant | Cumulus Podcast Network

Entrepreneurship, Business, Investing

4.6 • 3.4K Ratings

🗓️ 1 November 2023

⏱️ 53 minutes

🔗️ Recording | iTunes | RSS

🧾️ Download transcript

Summary

Lindy feels like her $300,000 of accumulated equity could be put to better use. But she doesn’t want to buy more real estate right now. What’re her options? Katie wants to become a landlord in her home state but she’s concerned about the effects of redlining. Should she look into Section 8? Claudia lives in Germany and wants to buy an apartment in Manhattan. But she knows nothing about US real estate. Where does she start? I tackle these questions in today’s episode. Enjoy! P.S. Got a question? Leave it at https://affordanything.com/voicemail For more information, visit the show notes at https://affordanything.com/episode469 Learn more about your ad choices. Visit podcastchoices.com/adchoices

Transcript

Click on a timestamp to play from that location

0:00.0	Joe, is your house paid in cash? Do you still have a mortgage on it? What's your deal?
0:04.0	We have a mortgage, but it's such a low, low, low interest rate interest rates were through the floor.
0:09.3	So it's two and three quarters nice. Do you have a lot of equity in your home for an interest rate?
0:15.2	That was that low. We borrowed more, but the answer is a fair amount. Why do you ask Paula?
0:22.4	Well, I'm asking because the first question that we're going to be addressing today is from a woman
0:28.0	who has a lot of home equity and doesn't like the fact that it's just sitting there
0:34.4	not making any money. So, we're going to answer that plus several more questions.
0:39.6	I'm just crying. I know, right? Welcome to the Afford Anything Podcast. The show that understands
0:46.2	you can afford anything, but not everything. Every choice that you make carries a trade-off,
0:51.1	which means the equity that you hold in your home is a wealth on your balance sheet that you're
0:56.2	not spending elsewhere. So what are the trade-offs that you're willing to make? And how do you
1:01.7	execute on those decisions? That is a lifetime practice, and that's what this podcast is here to
1:06.4	explore and facilitate. I'm Paula Pant. I am the host of this podcast. And every other week,
1:11.3	my buddy, Joe Salcihi, the former financial planner, joins me to help answer questions. What's up, Joe?
1:16.9	Well, I'm here. I'm reporting for duty, and I'm excited. Fantastic. Let's just dive right in. Our
1:22.1	first question comes from Lindy. Hi, Paula. Hi, Joe. I appreciate all your hard work.
1:29.3	My question is, I've got a rental house with about $300,000 in equity just sitting there,
1:36.0	and I feel like I'm missing out. I'm just frozen. I'm sitting on the sidelines. I've done
1:42.0	fix and flips before, but I'm not excited about buying houses right now. But I feel like I'm missing
1:48.8	out on opportunities with this money just sitting there. Is there any ideas that you guys have
1:55.1	where I can put this money where it's still building assets or ideally creating a little bit of cash
2:02.4	flow? Or is the best option to just like keep letting it sit there? Thank you so much.
	...

Please login to see the full transcript.

Previous episode | Next episode

Disclaimer: The podcast and artwork embedded on this page are from Paula Pant | Cumulus Podcast Network, and are the property of its owner and not affiliated with or endorsed by Tapesearch.

Generated transcripts are the property of Paula Pant | Cumulus Podcast Network and are distributed freely under the Fair Use doctrine. Transcripts generated by Tapesearch are not guaranteed to be accurate.