Gilligan's Account Talk

[Spartan]

Also beware of biased advice from members of bulletin boards

 

[Wizard]

Also beware of biased advice from members of bulletin boards

Poor guy died broke. If he would of got a cut of the syndication rights he would of died very rich.

Heck, that show is on 5 times a day on Vegas cable. If if he only got $50 a repeat or something. Worldwide it is probably on 200 or more times a day between all the cable providers.

 

[Gilligan]

The Gilligan nickname goes back a long way, long story. As Pyriel says, this TSP account is only play money. I'm building my net worth faster in Real Estate.

 

[Wizard]

this TSP account is only play money. I'm building my net worth faster in Real Estate.

This TSP account is a carry trade account for me. I got two TSP loans now. One at 4.2% and the other at 4.85%. The loan before that was around 2%.

With that said, real estate, Little Buddy? :blink:

 

[pyriel]

This TSP account is a carry trade account for me. I got two TSP loans now. One at 4.2% and the other at 4.85%. The loan before that was around 2%. With that said, real estate, Little Buddy? :blink:

I don't know what to make of this one. What does your loan has to do with real estate except that you now have a higher interest rate for your loan. With real estate investing higher or lower interest rate is factored in the computation for cash on cash return. Of course the lower the interest rate the higher the return. But if the return % is still high even with a higher interest rate loan, wouldn't you want to get that as well.

I will agree that real estate gold mine is not as many as it used to be. But there are still one or two out there that pops out once in a while. Those are the things that we watch for. Just like precious metal, real estate is seasonality. You just have to be ready to jump in once an opportunity comes around..;-)
P

 

[Wizard]

I don't know what to make of this one. What does your loan has to do with real estate except that you now have a higher interest rate for your loan. With real estate investing higher or lower interest rate is factored in the computation for cash on cash return. Of course the lower the interest rate the higher the return. But if the return % is still high even with a higher interest rate loan, wouldn't you want to get that as well.

I will agree that real estate gold mine is not as many as it used to be. But there are still one or two out there that pops out once in a while. Those are the things that we watch for. Just like precious metal, real estate is seasonality. You just have to be ready to jump in once an opportunity comes around..;-)
P

I used my TSP loan to buy commodities/foreign currency and stocks. Investing in real estate when rates are raising is scary to me. I want to get all my assets out of USDs. This is how I got my TSP out of USDs.

 

[Fivetears]

Well, my good friend from Kerrville... I think your account talk has officially been hi-jacked. :nuts: I think you've become the guy who's house we all go to... to play football.

 

[pyriel]

Well, my good friend from Kerrville... I think your account talk has officially been hi-jacked. :nuts: I think you've become the guy who's house we all go to... to play football.

hehehehe.... There is alot of truth to this... lol

 

[Gilligan]

This TSP account is a carry trade account for me. I got two TSP loans now. One at 4.2% and the other at 4.85%. The loan before that was around 2%.

With that said, real estate, Little Buddy? :blink:

OK, so I jumped into the S fund too soon. Wizard, with your ? mark behind real estate don’t tell me that you disagree. As the Wizard I'm sure that you know that 8 out of 10 millionaires made their millions in real estate. The founder of Mc Donalds, Ray Kroc once asked a college assembly if they knew how he became a millionaire. One student raised his hand and said, "by selling hamburgers". Kroc replied, "Its true that I have sold millions of hamburgers but I became a millionaire thru real estate". The audience looked stunned. Kroc went on to explain that he owns several prime property corners in large cities all over the United States.

I have had two TSP loans that were both for real estate. I did not use a TSP loan for the income property that I bought in April, only $500 out of my pocket and yes its has a nice positive cash flow. What kind of cash flow do your metals provide?

Well, my good friend from Kerrville... I think your account talk has officially been hi-jacked. I think you've become the guy who's house we all go to... to play football. :blink:

Fivetears, we will have to put that football game on hold. I have a half acre in Kerrville, but the back yard slopes down. However I am looking at other acreage around here, my wife wants to have some cabins for a Bed&Breakfast for our retirement (appox 12 years away). We set on a ridge overlooking a nice hill country valley. At my back property line there is a drop off steep enough that if you tried to climb it in your EC that you might roll. BTW, where is the EC, it didn't sink to the bottom of the I-bog did it?

 

[Wizard]

Talking to the 2006 real estate bubble "speculators" is worse then talking to the 2000 tech bubble "speculators".

Some folks bounce from bubble to bubble and you just can not help them.

I wish ya all the best. But I know how this ends. I seen this movie before. :blink:

 

[Fivetears]

Fivetears, we will have to put that football game on hold. I have a half acre in Kerrville, but the back yard slopes down. However I am looking at other acreage around here, my wife wants to have some cabins for a Bed&Breakfast for our retirement (appox 12 years away). We set on a ridge overlooking a nice hill country valley. At my back property line there is a drop off steep enough that if you tried to climb it in your EC that you might roll. BTW, where is the EC, it didn't sink to the bottom of the I-bog did it?

The B&B sounds like a great idea Gilligan! Kerrville reminds me of my old stompin' grounds in Placerville, Ca; during High School. The EC is still running well. Just received my new Lokar e-brake cables from JEGS (2 eight-foot rear sections & 1 six-foot front section; gotta tear down the Corporate 14 Bolt hubs and axles again to install them. I've been camped out in the "G;" meditating on the 4-year cycle low. According to my Tracker, and after all this recent activity... I'm beating every fund except the I; it has me by 2.99%. Barring any sustained major market activity in the upward direction, I'll remain sitting here cross-legged in my Tee Pee until the 4th quarter of 2006. We'll see how disciplined I am. :blink: :nuts:

 

[Gilligan]

Talking to the 2006 real estate bubble "speculators" is worse then talking to the 2000 tech bubble "speculators".


Some folks bounce from bubble to bubble and you just can not help them.

I wish ya all the best. But I know how this ends. I seen this movie before. :blink:

Wizard,
I hate to bust your Bubble, but the real estate market has already turned south in many areas like California. According to Warren Buffet the metals bubble is next to pop!

http://www.marketwatch.com/News/Sto...-4F1B-B532-66B44374D2C9}&dist=rss&siteid=mktw

Investors can lose money in any market. In real estate, one can buy high, expecting prices to continue only to have them drop. On the income property that I bought last month I was able to buy it way under the appraised value. I used $500 from proceeds of a workshop I have rented out as a deposit and had the rest financed. The rents that we have collected so far are about $500 in excess of the mortgage payment. So right now I don’t have any money invested in it. I plan to keep this property well into my retirement. Real estate has its ups and downs, but over all it appreciates about 7% annually, varying from one part of the country to the next. But unlike metals you can buy real estate with 10% down or less. So, with 10% down, a cash on cash return would be 70% annually on the appreciation . BTW, I do have some silver coins but I don’t look at that as an investment, just a hobby.

 

[Gilligan]

The B&B sounds like a great idea Gilligan! Kerrville reminds me of my old stompin' grounds in Placerville, Ca; during High School. The EC is still running well. Just received my new Lokar e-brake cables from JEGS (2 eight-foot rear sections & 1 six-foot front section; gotta tear down the Corporate 14 Bolt hubs and axles again to install them. I've been camped out in the "G;" meditating on the 4-year cycle low. According to my Tracker, and after all this recent activity... I'm beating every fund except the I; it has me by 2.99%. Barring any sustained major market activity in the upward direction, I'll remain sitting here cross-legged in my Tee Pee until the 4th quarter of 2006. We'll see how disciplined I am. :blink: :nuts:

I might need your truck to pull me out of the S-fund, I am going to stay put for a couple more days to see what happens.

 

[Wizard]

Wizard,

When there is a highly rated TV show called "Flip This House" - that is a signal of a TOP.

 

[Gilligan]

When there is a highly rated TV show called "Flip This House" - that is a signal of a TOP.

That's funny, I don't remember seeing that show during the top of the previous real estate bubbles.

 

[Gilligan]

Birchy,
I will be back in the C when it goes on sale. I am watching for it to dip down below $13.75.

Back in February I told Birchtree that I would buy some C-fund when it dipped below $13.75 which it did Tuesday.

 

[Birchtree]

The C fund would be a good investment - especially if the economy starts to slow the way the Fed is hoping. I think a Fed pause remains on the table.

 

[Gilligan]

Moving to 100% S cob 5/30/06. The S looks to be falling the most today so I an hope that it will bounce the most. The international stocks are lower today but the dollar is also falling, that coupled with the 5 cents from yesterday should make the I fund break even today. With the US markets down today, the internationals might be down more tomorrow.

 

[Gilligan]

I've been away from a computer for a few days, looks like I missed a small rally and a dip.

 

[Gilligan]

100% G cob 6-23-06 due the FED rate hike next week.