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Things that make me go Hmmmmm....Land Prices

Unless you are a day trader, IRA and land should be viewed as long term investments.


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I saw a report yesterday that said 60% of Americans are invested in the stock market. I would have guessed more.

I personally have not substantially been in the market since 2008/09... Yep, missed out on a lot of upside for sure....

Thinking about jumping in with some dollars. I know you can't time such things, but maybe wait until another 5-10% shaved off the market would be a prudent time to jump in if one isn't invested today? Maybe ladder in those dollars starting now, then every week or 2? Not sure the best approach. Will be buying something like VOO or FXAIX. Thoughts?
 
I saw a report yesterday that said 60% of Americans are invested in the stock market. I would have guessed more.

I personally have not substantially been in the market since 2008/09... Yep, missed out on a lot of upside for sure....

Thinking about jumping in with some dollars. I know you can't time such things, but maybe wait until another 5-10% shaved off the market would be a prudent time to jump in if one isn't invested today? Maybe ladder in those dollars starting now, then every week or 2? Not sure the best approach. Will be buying something like VOO or FXAIX. Thoughts?
I am a big fan of FXAIX. Like many index funds, the fees are so low that they don't really amount to anything. Most professional traders can't beat the SP500 on the long run

60% of americans are in the market from what I have read also BUT the amount of investment is HIGHLY slanted

93% of all stocks are owned by the wealthiest 10% of investors

The bottom 50% of Americans in terms of net worth only own 1% of stocks.
 
It might drop rec land prices some. My down payment was largely money I had invested in an individual brokerage account. For some that may have been socking money away into an account to use as a down payment on a farm and were getting close to maybe buying something this spring or this year (depending on how long it stays down) they may now be out of putting money down on something because they are now down thousands, so this might have a drop on rec land prices. Even if someone still has enough to put down on something and they just lost 10% the past couple days they may not want to pull the trigger on ground right now until they get their loses back or ride it out longer so they are not realizing a loss.

Deerdown-any sort of sp500 fund would be good, long term they do better than throwing a bunch of money at one individual fund. VTI, FSKAX are other commone good ones. You are buying a share of the top 500 us companies, if a company falls out of the top 500 the next is put in. Plus buying any of those funds like VTI for example you are buying shares of say apple, google, etc within that fund.
 
To me the hard part of buying land and not paying cash would be the amount you spend in interest payments. Even on a small parcel like 80 acres it's staggering what you pay in interest over a 20 year loan. It almost doubles the price you pay for the farm versus paying cash. Very poor investment in most cases except for the enjoyment you get out of using the land.
 
To me the hard part of buying land and not paying cash would be the amount you spend in interest payments. Even on a small parcel like 80 acres it's staggering what you pay in interest over a 20 year loan. It almost doubles the price you pay for the farm versus paying cash. Very poor investment in most cases except for the enjoyment you get out of using the land.
Def not a poor investment. You get to write off all the interest, improvements, depreciate any buildings, fences, tile, etc. If filing a schedule F there's herbicide, seed, mileage going to farm, etc.... all write offs

Enjoying it all the while it appreciates in value long term.
 
Pre pay principle. Look at your amortization schedule. Pay the current months amount (principle and interest). Look ahead to the next month and write a second check for the principle only. You can’t be charged interest on pre paid principle. If one has the funds available. Will cut the mortgage life down exponentially.
 
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