Search found 6477 matches

by KyleAAA
Tue Jul 17, 2018 11:56 am
Forum: Investing - Theory, News & General
Topic: Why is leveraging property good but leveraging stocks bad?
Replies: 162
Views: 10123

Re: Why is leveraging property good but leveraging stocks bad?

I'm a private banker, and I find this discussion very thought provoking. In my view, it is not the thing or investment being purchased that makes leverage "good" or "bad" - or more advantageous or more risky. It's the loan structure. If the only way to borrow to buy a home was on a high interest ra...
by KyleAAA
Tue Jul 17, 2018 12:03 am
Forum: Personal Consumer Issues
Topic: Amazon Prime Day 2018
Replies: 85
Views: 8882

Re: Amazon Prime Day 2018

Not many decent deals this year IMO. I wouldn’t want to be the engineer who accidentally brought the site down earlier today...
by KyleAAA
Sun Jul 15, 2018 4:01 pm
Forum: Personal Consumer Issues
Topic: Surface Pro(2017) vs 9.7" iPad 2018 (edited)
Replies: 35
Views: 2408

Re: Surface Pro(2017) vs 9.7" iPad 2018 (edited)

Surface is better for producing content whereas the iPad tends to be better for consuming. Since it sounds like you’ll be doing more producing, I’d say go with the surface.
by KyleAAA
Sun Jul 15, 2018 1:17 pm
Forum: Investing - Theory, News & General
Topic: Direct Real Estate Returns
Replies: 88
Views: 4810

Re: Direct Real Estate Returns

Kyle has been the only person to date on 3 different forums that has fervently pointed out that the returns are "undefined", not infinite. I also have 2 properties where I pulled out all the money I had in the deal through a cash out refinance, having $0.00 in the properties, yet still getting mont...
by KyleAAA
Sun Jul 15, 2018 1:15 pm
Forum: Investing - Help with Personal Investments
Topic: Should I simplify my portfolio and switch from 3 fund to 2 fund portfolio?
Replies: 45
Views: 2028

Re: Should I simplify my portfolio and switch from 3 fund to 2 fund portfolio?

I don’t see how 2 funds is simpler than 3 funds in a meaningful way. Is it taking you too much time to manage?
by KyleAAA
Sun Jul 15, 2018 1:20 am
Forum: Investing - Theory, News & General
Topic: Direct Real Estate Returns
Replies: 88
Views: 4810

Re: Direct Real Estate Returns

Kyle has been the only person to date on 3 different forums that has fervently pointed out that the returns are "undefined", not infinite. I also have 2 properties where I pulled out all the money I had in the deal through a cash out refinance, having $0.00 in the properties, yet still getting mont...
by KyleAAA
Sun Jul 15, 2018 1:15 am
Forum: Investing - Theory, News & General
Topic: Direct Real Estate Returns
Replies: 88
Views: 4810

Re: Direct Real Estate Returns

Kyle has been the only person to date on 3 different forums that has fervently pointed out that the returns are "undefined", not infinite. I also have 2 properties where I pulled out all the money I had in the deal through a cash out refinance, having $0.00 in the properties, yet still getting mont...
by KyleAAA
Sat Jul 14, 2018 9:15 pm
Forum: Investing - Theory, News & General
Topic: Direct Real Estate Returns
Replies: 88
Views: 4810

Re: Direct Real Estate Returns

Can I get 10 loans for $150k with 20% down? I have only held one mortgage at a time and it's always been a VA loan with 0% down. Seems I could get infinite returns on one rental with that setup. Yes you can. I have done a "nothing down" deal but used private money. So I earn cash flow and did not i...
by KyleAAA
Sat Jul 14, 2018 8:53 pm
Forum: Investing - Help with Personal Investments
Topic: Received $1m windfall with additional upside; looking for feedback on plan to hedge against market correction
Replies: 36
Views: 5316

Re: Received $1m windfall with additional upside; looking for feedback on plan to hedge against market correction

I think your idea to take less equity risk in light of your situation is reasonable. Your idea to buy puts on the market as a hedge is not.
by KyleAAA
Sat Jul 14, 2018 6:02 pm
Forum: Investing - Theory, News & General
Topic: Why is leveraging property good but leveraging stocks bad?
Replies: 162
Views: 10123

Re: Why is leveraging property good but leveraging stocks bad?

You can leverage real estate more cheaply and on much more favorable terms than stocks. Fixed rates and no margin calls are big advantages compared to adjustable margin rates that are aggressively called when the market turns down.
by KyleAAA
Sat Jul 14, 2018 4:25 pm
Forum: Investing - Theory, News & General
Topic: Direct Real Estate Returns
Replies: 88
Views: 4810

Re: Direct Real Estate Returns

20% is extremely doable with leveraged rentals and perhaps even if you use property manager, if you buy well. Real estate isn't for everyone, but 20-30% is realistic. Ignore the "Real estate pays you 5 ways instead of just 1 way" people. The number of ways an investment pays is irrelevant. There is ...
by KyleAAA
Sat Jul 14, 2018 2:04 pm
Forum: Personal Finance (Not Investing)
Topic: Affording a $1.8-2M house
Replies: 54
Views: 9112

Re: Affording a $1.8-2M house

We ended up just buying in Seattle itself. Dumps sell for $1mm on the east side but deals can still be had outside the trendy in town neighborhoods. I disagree there is a bubble either in Seattle real estate or tech compensation. The fundamentals are sound and secular trends like the transition to ...
by KyleAAA
Fri Jul 13, 2018 12:36 pm
Forum: Personal Finance (Not Investing)
Topic: Logging out 20 acre lot?
Replies: 37
Views: 2460

Re: Logging out 20 acre lot?

If you cut the trees, it will decrease the value of the property. So it's a long-term play, since if you can't sell it for enough to pay off the loan today, after logging it will take you even longer. You can cash out a pretty nice lump sum in the meantime, though. Could you try renting the house in...
by KyleAAA
Fri Jul 13, 2018 12:08 am
Forum: Personal Consumer Issues
Topic: When does frugal cross the line to cheapskate?
Replies: 136
Views: 9432

Re: When does frugal cross the line to cheapskate?

When someone else does it.
by KyleAAA
Thu Jul 12, 2018 1:44 pm
Forum: Personal Finance (Not Investing)
Topic: What rate of return are you using for retirement projections?
Replies: 99
Views: 8863

Re: What rate of return are you using for retirement projections?

I'm using 4% real for a heavily tilted 70/30 portfolio. I plan to have so much money it won't matter if I end up getting 2%.
by KyleAAA
Thu Jul 12, 2018 12:00 pm
Forum: Investing - Theory, News & General
Topic: Six stocks make up 98% of S&P 500 gains in 2018
Replies: 76
Views: 9972

Re: Six stocks make up 98% of S&P 500 gains in 2018

The stock price of Netflix is quite mystery to me. From value investor point of view, the company financial is quite garbage with regard to its near 300 P/E ratio, 15+ years after IPO, still negative free cash flow, still heavy in debt and depends on borrowing for growth instead of internal cash fl...
by KyleAAA
Wed Jul 11, 2018 6:41 pm
Forum: Personal Consumer Issues
Topic: Relocation to Atlanta
Replies: 16
Views: 1670

Re: Relocation to Atlanta

We lived in the Grant Park area before moving to Seattle. HIGHLY, HIGHLY recommend. RE values should do very well over the next decade as the beltline continues to build up, and you can get to the airport in less than 15 minutes even in traffic. Also, it's right off 20 and full of charming victorian...
by KyleAAA
Wed Jul 11, 2018 5:44 pm
Forum: Investing - Theory, News & General
Topic: Six stocks make up 98% of S&P 500 gains in 2018
Replies: 76
Views: 9972

Re: Six stocks make up 98% of S&P 500 gains in 2018

It's been a very good year indeed for those of us with very large stakes in one of those companies. I share your concerns about what the lack of breadth may imply, but I don't get the sense this situation is as unusual as we might guess. I wonder how often gains are this concentrated.
by KyleAAA
Wed Jul 11, 2018 1:28 pm
Forum: Investing - Theory, News & General
Topic: Disappointed with Fidelity's Online Interface
Replies: 19
Views: 1548

Re: Disappointed with Fidelity's Online Interface

These all seem very minor, but if you liked your old brokerage better you should vote with your feet.
by KyleAAA
Tue Jul 10, 2018 11:33 am
Forum: Investing - Theory, News & General
Topic: Dow 40000 prediction for 2025
Replies: 44
Views: 3866

Re: Dow 40000 prediction for 2025

That's only a 7% CAGR. Seems reasonable but, of course, you shouldn't count on it.
by KyleAAA
Sun Jul 08, 2018 12:22 pm
Forum: Investing - Help with Personal Investments
Topic: Do you count pension contributions as a portion of your overall retirement contributions.
Replies: 47
Views: 3503

Re: Do you count pension contributions as a portion of your overall retirement contributions.

I include the match in both the numerator and denominator. It's savings, but it's also income.
by KyleAAA
Sun Jul 08, 2018 12:54 am
Forum: Personal Finance (Not Investing)
Topic: Affording a $1.8-2M house
Replies: 54
Views: 9112

Re: Affording a $1.8-2M house

We ended up just buying in Seattle itself. Dumps sell for $1mm on the east side but deals can still be had outside the trendy in town neighborhoods. I disagree there is a bubble either in Seattle real estate or tech compensation. The fundamentals are sound and secular trends like the transition to t...
by KyleAAA
Sat Jul 07, 2018 2:10 pm
Forum: Personal Finance (Not Investing)
Topic: Retirement Destination - are you happy with your choice?
Replies: 127
Views: 15166

Re: Retirement Destination - are you happy with your choice?

Agree with other posters who state the summer weather will not be materially better in the places you mentioned vs Georgia and Florida unless you live right on the coast or at elevation a la Asheville, NC. Raleigh is a bit further north than Atlanta but at much lower elevation, for example. And if y...
by KyleAAA
Thu Jul 05, 2018 9:56 pm
Forum: Personal Consumer Issues
Topic: How come voice command on Garmin GPS is so lousy compared to Google Maps?
Replies: 22
Views: 1576

Re: How come voice command on Garmin GPS is so lousy compared to Google Maps?

GPS and voice recognition are very different fields. AI is google’s biggest strength, so of course they excel at it.
by KyleAAA
Thu Jul 05, 2018 7:34 pm
Forum: Investing - Help with Personal Investments
Topic: Anyone hear of or invest in Rich Uncles?
Replies: 18
Views: 3444

Re: Anyone hear of or invest in Rich Uncles?

8% seems really low for that kind of risk and lack of liquidity. Even if I knew for a fact it wasn't some sort of scam, I don't think I'd be tempted.
by KyleAAA
Thu Jul 05, 2018 1:10 pm
Forum: Personal Consumer Issues
Topic: Anyone Tried Youtube TV Yet?
Replies: 42
Views: 3952

Re: Anyone Tried Youtube TV Yet?

Don't use Youtube TV but Hulu TV is great now that you can get sports channels. In general they work great so long as your internet connection is decent.
by KyleAAA
Thu Jul 05, 2018 10:33 am
Forum: Investing - Theory, News & General
Topic: Morningstar: prepare for a lost decade for U.S. stocks
Replies: 198
Views: 18054

Re: Morningstar: prepare for a lost decade for U.S. stocks

I'm globally diversified so this doesn't particularly alarm me either way, but remember that nobody knows nothing. Morningstar can't predict the future any better than you can, and I think they'd be the first to admit it. The last decade was very good to me so if I have to make due on 1-2% real over...
by KyleAAA
Sat Jun 30, 2018 11:17 pm
Forum: Personal Finance (Not Investing)
Topic: Business valuation opinions
Replies: 17
Views: 1233

Re: Business valuation opinions

What personal headaches do you think would be involved in staffing up? I think you'd find the opposite.

But $4-5mm is a nice chunk of change in addition to what you've hopefully already saved.
by KyleAAA
Fri Jun 29, 2018 7:11 pm
Forum: Personal Finance (Not Investing)
Topic: $1 million house--- sanity check
Replies: 96
Views: 10396

Re: $1 million house--- sanity check

I would say you could afford it, but you likely need much more than $30k cash on-hand for such a purchase to be successful. It sounds like you haven't yet started having conversations with a real estate agent or lender who can help you sort this out. I live in Seattle; my understanding is that the ...
by KyleAAA
Thu Jun 28, 2018 4:22 pm
Forum: Personal Finance (Not Investing)
Topic: $1 million house--- sanity check
Replies: 96
Views: 10396

Re: $1 million house--- sanity check

You could easily afford a $2mm house on that income. Go for it and don't think twice. You could easily afford that house and still save 30%+ if not 45%+ of your gross income. This isn't even close to being borderline. You can clearly unambiguously and easily afford that house. I am puzzled why anybo...
by KyleAAA
Thu Jun 28, 2018 11:32 am
Forum: Personal Consumer Issues
Topic: New car dealer pricing
Replies: 44
Views: 2503

Re: New car dealer pricing

There are some dealers who don't haggle (Carmax is a famous example) but most will, even if they say they won't. Or maybe the internet price actually is their lowest price, in which case they won't. Impossible to know without talking to them, which is what they want.
by KyleAAA
Tue Jun 26, 2018 12:18 pm
Forum: Investing - Help with Personal Investments
Topic: Inflation Rate, isn't it personal?
Replies: 46
Views: 3259

Re: Inflation, isn't it personal?

Inflation isn't personal. It IMPACTS individuals in different ways, but the definition of inflation is "...a sustained increase in the general level of prices for goods and services in a county, and is measured as an annual percentage change..." By definition, inflation is an aggregate measure. That...
by KyleAAA
Mon Jun 25, 2018 7:49 pm
Forum: Personal Consumer Issues
Topic: Contractor - Threatening Lien/Lawsuit
Replies: 55
Views: 6541

Re: Contractor - Threatening Lien/Lawsuit

You almost certainly did have a legally binding contract but it appears as though he didn't follow through in good faith. You're probably in the clear, but it couldn't hurt to ask a lawyer. As for how you get your initial $200 back, no idea on that.
by KyleAAA
Mon Jun 25, 2018 3:43 pm
Forum: Personal Finance (Not Investing)
Topic: Sudden appearance of multiple buyers real or negotiation tactic?
Replies: 61
Views: 4024

Re: Sudden appearance of multiple buyers real or negotiation tactic?

It's possible this is a negotiation tactic, but I've seen almost this exact scenario happen for real and the property ended up selling for more than the initial asking price.
by KyleAAA
Mon Jun 25, 2018 1:52 pm
Forum: Investing - Help with Personal Investments
Topic: views on "Empower Retirement" as a 401k provider? fees? ease of use etc?
Replies: 40
Views: 4843

Re: views on "Empower Retirement" as a 401k provider? fees? ease of use etc?

I’m so glad I came upon this thread. My wife had worked for a company that had empower retirement plan around 10years ago. She was with that company for just a couple of years. We would get statements but there was never a transaction history, just a total account value in that statement. Well, I f...
by KyleAAA
Mon Jun 25, 2018 1:35 pm
Forum: Investing - Help with Personal Investments
Topic: views on "Empower Retirement" as a 401k provider? fees? ease of use etc?
Replies: 40
Views: 4843

Re: views on "Empower Retirement" as a 401k provider? fees? ease of use etc?

They put on the hard sell when I tried to roll my 401k over to Vanguard. Not enjoyable.
by KyleAAA
Mon Jun 25, 2018 10:59 am
Forum: Investing - Help with Personal Investments
Topic: Why not go 100% stocks?
Replies: 116
Views: 11435

Re: Why not go 100% stocks?

Some do. You can, too.
by KyleAAA
Sun Jun 24, 2018 10:01 pm
Forum: Personal Finance (Not Investing)
Topic: What is/ was your career and would you recommend it now?
Replies: 345
Views: 32183

Re: What is/ was your career and would you recommend it now?

Also a couple of questions: for the software engineers, are they usually software engineering graduates, or does it include computer science degrees as well? And for the accountants, what would you recommend to someone that doesn't really want to work in a tax firm? Are there many other areas to mo...
by KyleAAA
Sun Jun 24, 2018 9:57 pm
Forum: Personal Consumer Issues
Topic: Computer Security
Replies: 62
Views: 4780

Re: Computer Security

Turn on Windows Defender or switch to *nix. Don’t open attachments from Nigerian princes or long lost great grand nieces who claim to need you to send them bail money. Nothing special need be done. You might look into some sort of Adblocker but the ethics of those are murky.
by KyleAAA
Sat Jun 23, 2018 12:00 pm
Forum: Personal Finance (Not Investing)
Topic: What is/ was your career and would you recommend it now?
Replies: 345
Views: 32183

Re: What is/ was your career and would you recommend it now?

Software Engineer. It used to be a great gig. It was like getting paid to play. Lately, not so much. :( Wage busting, glass ceiling, ageism, offshoring, deteriorating working conditions ... now its a meh job. :( :( Some software work is cutting edge, glamorous, and exciting. It is even rumored to b...
by KyleAAA
Fri Jun 22, 2018 6:06 pm
Forum: Personal Finance (Not Investing)
Topic: What is/ was your career and would you recommend it now?
Replies: 345
Views: 32183

Re: What is/ was your career and would you recommend it now?

Software Engineer. It used to be a great gig. It was like getting paid to play. Lately, not so much. :( Wage busting, glass ceiling, ageism, offshoring, deteriorating working conditions ... now its a meh job. :( :( Some software work is cutting edge, glamorous, and exciting. It is even rumored to b...
by KyleAAA
Fri Jun 22, 2018 10:58 am
Forum: Personal Finance (Not Investing)
Topic: What do we mean when we say "HCOL vs LCOL" location?
Replies: 34
Views: 2358

Re: What do we mean when we say "HCOL vs LCOL" location?

For me I guess it's mostly about real estate. If an unrenovated 1950s ranch in a just-okay location in a just-okay school district sells for $1mm, you're in a HCOL area. That federal locality calculator strikes me as borderline ridiculous. I moved from a MCOL to a HCOL area recently and they are sho...
by KyleAAA
Thu Jun 21, 2018 9:57 am
Forum: Personal Finance (Not Investing)
Topic: What is/ was your career and would you recommend it now?
Replies: 345
Views: 32183

Re: What is/ was your career and would you recommend it now?

Software engineering/management. Highly recommend if you enjoy it, but don't go into it just for the money or you might be miserable.
by KyleAAA
Wed Jun 20, 2018 2:57 pm
Forum: Investing - Theory, News & General
Topic: Oh my! Cardone says we need $10m net worth
Replies: 104
Views: 13906

Re: Oh my! Cardone says we need $10m net worth

It's not judgement, it's statistics. 68% of Americans live paycheck to paycheck. 65% can't come up with $1000 right away (without borrowing it or putting it on a credit card) in the event of an emergency. Half don't have any retirement savings. And NONE of that applies to a person pulling $60k from...
by KyleAAA
Wed Jun 20, 2018 2:54 pm
Forum: Investing - Help with Personal Investments
Topic: Dollar cost averaging small cap value in taxable
Replies: 3
Views: 371

Re: Dollar cost averaging small cap value in taxable

IJS has been quite tax efficient in the past and will probably continue to do so. I would feel comfortable holding it in taxable. VTI might be slightly better in taxable but not by a significant amount.
by KyleAAA
Tue Jun 19, 2018 1:26 pm
Forum: Investing - Help with Personal Investments
Topic: Shorting Amazon
Replies: 44
Views: 4361

Re: Shorting Amazon

Bad idea IMO. So long as Amazon's cloud division continues to grow at an insane rate, the stock will continue to over-index on that. And we are in inning 1 or 2 at most in the cloud transformation game, so it isn't going to slow down anytime soon.
by KyleAAA
Mon Jun 18, 2018 7:03 pm
Forum: Personal Finance (Not Investing)
Topic: Why pay cash for a car?
Replies: 248
Views: 30097

Re: Why pay cash for a car?

If the rate is low enough to be attractive, it is being subsidized by the auto maker. If you go all cash, you can get some of that subsidy in the form of a price reduction. This is a very accurate statement. Anything less than a 4% offer on financing from a dealer is “probably” subsidized. I have a...
by KyleAAA
Mon Jun 18, 2018 3:25 pm
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: The Battle Of Passive Strategies
Replies: 71
Views: 7325

Re: Larry Swedroe: The Battle Of Passive Strategies

I agree with the article's conclusion that so far, results have supported his book's contention that: 1) passive beats active; and 2) tilting towards size and/or value is superior to Total Stock Market. What I'm unclear about in his article is that he also pushes the case that using DFA funds to ti...
by KyleAAA
Fri Jun 15, 2018 2:49 pm
Forum: Investing - Theory, News & General
Topic: Oh my! Cardone says we need $10m net worth
Replies: 104
Views: 13906

Re: Oh my! Cardone says we need $10m net worth

What exactly about his advice is wrong? Indeed, this article could be described as fairly bogleheadish even though he advocates a much less traditional investment strategy. He doesn't say anyone NEEDS $10 million, he says thereabouts is the threshold that most people can live a life of financial ind...