Invest in you

Opportunity #4 Live in your investment

With the ups and downs in the Market today, you may be asking yourself if that is that the safest place for your nest egg to grow. Don't get me wrong: in both the housing and stock markets, what goes up may come down and what goes down may come up. However it seams to me that because I have to live somewhere, why not put my money in the investment that I have the ability to protect by living in it? Unlike stocks, I know that my home will never be worth $0.

Investing in Real Estate: If you are going to live in the home and have no plans to move in the next 3 to 5 years, now may be a good time to consider purchasing as interest rates are low and homes have traditionally shown an increase in value over time. In the mean time you are benefiting from your investment not only by realizing a potential increase in your net worth, but also by the memories you make both with family and the friendships you make with your neighbors. When the time is right to move -- either up because of a growing family or down so that you can visit your growing family as they start families of their own -- you can use the equity you've built as you need, perhaps even to make a down payment on a bigger investment. Additionally if you have held that investment long enough, you may be able to buy your retirement home with cash.
It has been hard to watch my and my husband's 401K dwindle in the face of a declining stock market. So I ask would it not be better to take advantage of the low prices and invest in a rental property? Maybe a couple? How nice will it be to set at home enjoying our grand-kids (when we get them) and know that our monthly income is not tied to the stock market (401k) but to the rent checks we receive. You got to love passive income. :-)
So if you have money to invest make sure you are living in it and if you are then make it work for you with some long term passive income (rentals). Just remember you make your money when you buy and have you seen a better market to find the deals?