do you have any debt?



cardine said:
I've never had debt ever. Paid for college in cash. And for cars/house, even if I were to take financing, I would only do so if I had cash (or liquid assets) of the same value of the car/house I was financing.
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epic shit man.

I don't have any debt and don't plan on every spending money I simply don't have. Do you think your college was really worth it? even thought you paid for it in cash?
 
Society is designed to reel people into debt. So much that you only get moar debt the bigger debt holder you become. Basically the bank has no problem sinking your ass as far as it can reasonably do so.

Pretty fucking ghey. I went through my month to month living off credit cards once in my life and NO fucking way will I do that again. I owe my house and nothing more for that reason. The bank even told me I'm a bad customer lol.
 
cheshire said:
Actually I am serious, and it's far from retarded. What do you OWN outright? So far, thanks to low interest loans (debt) I now own 4 rental homes outright. Which generated positive cash flow even when I was paying the mortgage payments. I took the positive cash flow and used it to pay down the mortgages. I used money I didn't have, to make money I wouldn't have, to pay off things that make me more money. How is that stupid? I now outright own 4 houses and since they are paid for now they generate somewhere in the range of $4k/mo ... or $48k/yr. Which is about equivalent to what I paid in interest for all 4. I now have cash to buy more property but I'm not going to pay with my money. I'll mortgage it again. Money is too cheap right now to be spending your own.
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+1 For this.
 
Most of you are too young to be bragging on how well you handle money.

Let me know how you are doing at 35-45.

For those of you that are 35-45 and have never had debt etc - Kudos to you.

By the way - it never ceases to amaze how often financial problems that a guy who is half capable always lead to a chick.

Get married, have kids, try a business or two or three that are unseuccessful - debt happens. Then you find something lucrative that works and it all goes away.

Who among you are 30+, married, and never had any debt problems in your life?
 
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cheshire said:
Actually I am serious, and it's far from retarded. What do you OWN outright? So far, thanks to low interest loans (debt) I now own 4 rental homes outright. Which generated positive cash flow even when I was paying the mortgage payments. I took the positive cash flow and used it to pay down the mortgages. I used money I didn't have, to make money I wouldn't have, to pay off things that make me more money. How is that stupid? I now outright own 4 houses and since they are paid for now they generate somewhere in the range of $4k/mo ... or $48k/yr. Which is about equivalent to what I paid in interest for all 4. I now have cash to buy more property but I'm not going to pay with my money. I'll mortgage it again. Money is too cheap right now to be spending your own.
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Dude, I'm not gonna argue with you but your horribly wrong. If you had an option to buy a $100,000 rental condo with cash + tax; vs. getting a loan on it with a compound rate paying something like $150k+ -- that's just fucking stupid. I own a shit ton of things; several homes, 4 cars, a boat, waverunners, dirt bikes, etc. etc. etc. but im not gonna break em all down. I bought most of these with cash. Does that make me stupid? No... If all the above combined cost me 100k for sake of argument, me paying that as opposed to 140-60k due to interest; just blah..

Its ok that you got your rental properties with loans, but that doesnt mean you need to glorify debt. That means you just couldnt afford to pay the shit off cash and had to result in loans and financing. Debt is horrible. I deal with it everyday for a living.
 
REIMktg said:
Most of you are too young to be bragging on how well you handle money.

Let me know how you are doing at 35-45.

For those of you that are 35-45 and have never had debt etc - Kudos to you.

By the way - it never ceases to amaze how often financial problems that a guy who is half capable always lead to a chick.

Get married, have kids, try a business or two or three that are unseuccessful - debt happens. Then you find something lucrative that works and it all goes away.

Who among you are 30+, married, and never had any debt problems in your life?
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Dude, i have no problem with this type of debt. Kids are expensive, taking out a loan to start a business is a risk but one that i can justify. Some debt is inevitable, but i more or less just get really pissed when i see people get thing i KNOW they can't afford and overextend themselves. It doesn't make sense to me.

Dresden14 said:
Dude, I'm not gonna argue with you but your horribly wrong. If you had an option to buy a $100,000 rental condo with cash + tax; vs. getting a loan on it with a compound rate paying something like $150k+ -- that's just fucking stupid. I own a shit ton of things; several homes, 4 cars, a boat, waverunners, dirt bikes, etc. etc. etc. but im not gonna break em all down. I bought most of these with cash. Does that make me stupid? No... If all the above combined cost me 100k for sake of argument, me paying that as opposed to 140-60k due to interest; just blah..

Its ok that you got your rental properties with loans, but that doesnt mean you need to glorify debt. That means you just couldnt afford to pay the shit off cash and had to result in loans and financing. Debt is horrible. I deal with it everyday for a living.
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Dresdens right, especially if you plan on buying foreclosures below market value, you have to use cash.

But in Chesires case, if you can make the numbers work in your favor, and can get 4 loans and yeild a positive income then there's nothing wrong with that either.
 
Can relate to the OPs post 100% besides the 9-5 part. It felt great when I got the letter confirming payment of my student loan in full.

Leveraging with debt can be a good move if you know what you are doing. Personally, I have more peace of mind when my credit card balances go back to zero. To each their own.
 
REIMktg said:
Most of you are too young to be bragging on how well you handle money.

Let me know how you are doing at 35-45.

For those of you that are 35-45 and have never had debt etc - Kudos to you.

By the way - it never ceases to amaze how often financial problems that a guy who is half capable always lead to a chick.

Get married, have kids, try a business or two or three that are unseuccessful - debt happens. Then you find something lucrative that works and it all goes away.

Who among you are 30+, married, and never had any debt problems in your life?
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^^ This a thousand times.

Plus Fucking Rep.
 
efeezy said:
Hell yeah I've got debt. I live in California and unless you are already fairly wealthy, paying cash for a decent house is next to impossible. I don't know anyone under the age of 60 out here that owns their home outright. If you live in bum fuck Iowa (no offense to any Iowaians), you can probably get a 4000 sq ft home for $200k and pay cash if you have a successful career.

Shit I could probably sell a couple of my websites and pay off nearly the rest of my mortgage, but where would that leave me. No mortgage, but back to building my empire from square one.

Aside from the mortgage, I have one car payment, but it's at 0% apr so that's smart borrowing. Any credit cards that are used for rewards points are paid off monthly.
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You know me and I live in San Diego and could own my house for cash. But that makes little sense. It's the only decent personal tax deduction I have. And rates are so low that the utilization of the cash is worth much more then the 4% interest I pay.
 
I own everything in sight on my 30 acres in bum fuck. I'm just waiting for all the debt lovers to finish fucking up California so I can pick up a vineyard for cash in Sonoma.
 
REIMktg said:
Most of you are too young to be bragging on how well you handle money.

Let me know how you are doing at 35-45.

For those of you that are 35-45 and have never had debt etc - Kudos to you.

By the way - it never ceases to amaze how often financial problems that a guy who is half capable always lead to a chick.

Get married, have kids, try a business or two or three that are unseuccessful - debt happens. Then you find something lucrative that works and it all goes away.

Who among you are 30+, married, and never had any debt problems in your life?
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I don't think that's true. I made over $400,000 last year (some shady FB stuff) and my JV partner made the same amount, a bit more with his personal stuff. I was 26 at the time, he was 18 (excellent coder, it's why I worked with him).

Now, guess who's broke? Me, the 26 year old. He still has much of his money. I'm still renting an apartment, whereas he owns his.

There are people younger than me that make much more than I did, and it's consistant. I don't think age really has much to do with how well you handle money.

If you work a regular 9-5 all your life, than maybe. I mean my mom and stepdad both work every hour god sends they are in their early 40's, live in a nice house, drive a nice car, but are in debt. It's just the way the life is for ordinary people.

But, you know I sort of envy those that work a 9-5. They enjoy life. Anyone who's successful around here in IM knows the number of hours it takes, and the number of failures you put in before you hit a big number. I don't get to enjoy life like they do.

Debt though, in terms of loaning money from a bank, is kinda criminal what they do if you believe what's discussed in the video I posted above.
 
I think the distinction most people are making here is between personal debt for consumer crap (cars, luxury items, luxury accomadation that they cant afford) and business debt.

But leveraging debt to make more money is what all the big boys do, Richard Branson used hundreds of millions of dollars worth of debt to get virgin atlantic off the ground in the 80s. Property investors and developers routinely use debt by calculating it into their business plan, if they had to buy everything cash they wouldn't be able to grow.
 
JayDon said:
I don't think that's true. I made over $400,000 last year (some shady FB stuff) and my JV partner made the same amount, a bit more with his personal stuff. I was 26 at the time, he was 18 (excellent coder, it's why I worked with him).

Now, guess who's broke? Me, the 26 year old. He still has much of his money. I'm still renting an apartment, whereas he owns his.

There are people younger than me that make much more than I did, and it's consistant. I don't think age really has much to do with how well you handle money..
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How did you manage to spend 400,000 since last year?
 
Dresden14 said:
Dude, I'm not gonna argue with you but your horribly wrong. If you had an option to buy a $100,000 rental condo with cash + tax; vs. getting a loan on it with a compound rate paying something like $150k+ -- that's just fucking stupid. I own a shit ton of things; several homes, 4 cars, a boat, waverunners, dirt bikes, etc. etc. etc. but im not gonna break em all down. I bought most of these with cash. Does that make me stupid? No... If all the above combined cost me 100k for sake of argument, me paying that as opposed to 140-60k due to interest; just blah..

Its ok that you got your rental properties with loans, but that doesnt mean you need to glorify debt. That means you just couldnt afford to pay the shit off cash and had to result in loans and financing. Debt is horrible. I deal with it everyday for a living.
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I wasn't trying to get in a pissing match. Awesome that you've been able to pay cash for everything. I'm just saying if you leverage debt to buy things that make money it's not a bad thing. Wracking up your credit cards to buy Margaritaville Margarita makers is a stupid idea. Debt is only bad when used irresponsibly. I agree if you take out a 30 year mortgage and take 30 years to pay it you're screwing yourself, but if you reinvest your profit you don't pay all that interest.

My point was a mortgage is about 4% nowadays. I can take $150k and make far more than the 4% I pay on a mortgage.
 
JayDon said:
I don't think that's true. I made over $400,000 last year (some shady FB stuff) and my JV partner made the same amount, a bit more with his personal stuff. I was 26 at the time, he was 18 (excellent coder, it's why I worked with him).

Now, guess who's broke? Me, the 26 year old. He still has much of his money. I'm still renting an apartment, whereas he owns his.

There are people younger than me that make much more than I did, and it's consistant. I don't think age really has much to do with how well you handle money.

If you work a regular 9-5 all your life, than maybe. I mean my mom and stepdad both work every hour god sends they are in their early 40's, live in a nice house, drive a nice car, but are in debt. It's just the way the life is for ordinary people.

But, you know I sort of envy those that work a 9-5. They enjoy life. Anyone who's successful around here in IM knows the number of hours it takes, and the number of failures you put in before you hit a big number. I don't get to enjoy life like they do.

Debt though, in terms of loaning money from a bank, is kinda criminal what they do if you believe what's discussed in the video I posted above.
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sorry, but if you made 400K last year, and you are broke now ... you area FUCKING IDIOT and i have no sympathy for you.If you invested that 400K into Real Estate, Stocks, Businesses, Investments and lost it ... then it wouldn't be as bad, but i'm guessing you didn'teither way ... earning 400k and being broke now is laughable - seriously
 
REIMktg said:
Most of you are too young to be bragging on how well you handle money.

Let me know how you are doing at 35-45.

For those of you that are 35-45 and have never had debt etc - Kudos to you.

By the way - it never ceases to amaze how often financial problems that a guy who is half capable always lead to a chick.

Get married, have kids, try a business or two or three that are unseuccessful - debt happens. Then you find something lucrative that works and it all goes away.

Who among you are 30+, married, and never had any debt problems in your life?
Click to expand...

Then maybe you should wait until you have some financial stability before starting a family?
 
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