Question by Sean L: mortgage refinancing to increase my investment portfolio?
I am in mid twenties and have a house that is fully paid up.
The rental income is around 5%/annum.
I read a few articles about stocks, and as we all know, this is the best time to invest in stocks.
As the return is always higher for stock and they are cheap nowadays.
Should I sell my house and go for it? Or refinance the house?
Or stay the same??
And of course, I am still optimistic about the stocks in long term.
Answer by ~Laura and Scott
If you take a look at the history of gains in the stock market and the history of gains in the real estate, you will be far better to pull money out and keep buying rental properties. At your early age, get about 10 rentals and in 20 years, you will never have to work again with money coming in every month, forever! You could never do that in the stock market!
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