What’s going to happen to your buyout or pension?
Well, one thing is for sure - if your pension is cut (which is probably a certainty at this point), your buyout money will be gone eventually. Even if you were the best planner ever, nobody can avoid drawing down from savings when the pension they thought would be forever in retirement is cut in half. Nobody. It’s not your fault that you worked every day for so many years and may get treated this way. It will be your fault if you sit at home, watch the news, and allow yourself to become another victim.
So what else are you supposed to do with what is left? Invest it before it’s gone. In the stock market? You could, but it won’t be alongside any more of my money. You may as well take that cruise around the world and at least get something out of it. Or…
Invest in real estate. I must be crazy for even suggesting that, right? No. Look – two years ago, how many of our houses were worth 40-50% more than they are today? The majority of us. But why is that? Because of greed. I won’t go into the details here, but we all know about the straw buyers, bogus appraisals, designer and ARM loans, unethical loan officers, and greedy banks that walked away laughing with loaded pockets. It’s all well documented. But again, why be victims? It has already happened. Our house values are plummeting because there are three (or five, or twenty) houses on our block that were foreclosed and sold for 50-60 cents on the dollar. And it may get slightly worse before it gets better.
If someone told you two years ago you could buy that house down the street for what it just sold for last month – wouldn’t you have done it? Of course. So why not now? Run some numbers (or call us and we will help), and see what your monthly payment would be at the discounted sales price. Now ask yourself what that house will rent for. Yeah, there it is. If you aren’t getting a 20% return on your investment, you may have hit the wrong button on your calculator. If you got more, then great! The beauty is, the money it cost to obtain the house was spent once, but now it’s bringing in monthly cash flow every month for as long as you hold it. You just replaced your missing pension.
The point is this: do not let other people’s mistakes ruin a lifetime of your hard work. Take advantage of the opportunity now because it really will not last forever. Trust me, rich people and banks are only going to get richer and we are funding it with our tax-funded bailouts. If you are OK with that, then I am happy for you. If you want to actually take a piece of the pie (and maybe even stick it to the bank in the meantime), then don’t sit there and let the news ruin another day for you.
If you are ready to take action, want to find out more, or just want to tell us we’re crazy – please do it today. E-mail us at investors@realdetroithomes.com or call 313-653-1173. You can get started with much less that you probably think.
Don’t put another shoeprint on your backside. This kind of opportunity to take control of your future will not come along again. Be on the smiling side at the end of the game.
Best Wishes for the Retirement You Deserve,
The Staff at Real Detroit Homes