Posted by BigJohn on July 21, 2006 at 21:39:05:
I WAS JUST TRYING TO GET A RISE OUT OF YA BABY THATS ALL.
Social Security - I can’t wait - Posted by jeff-oh
Posted by jeff-oh on July 20, 2006 at 07:27:44:
I just got my yearly Social Security Statement.
If I continue to work for the next 24 years I will receive the grand sum of $1300.00 a month!!!
Let’s see the deals I put to gether in the last 8 weeks.
$305/ month
$250/ month
$225/ month
$250/ month
$236/ month
$278/ month
=$ 1,544/ month
Re: Social Security - I can’t wait - Posted by bigjohn
Posted by bigjohn on July 20, 2006 at 20:37:23:
Yes you are taking in 1,544 per month. Ok now. that is probaly only good for 2-5 years then it ends. You also had to invest $$$ into the house to buy em, fix em up and maybe pay some rent What happens when the people move out, trash the house and owe lot rent? Dont mis lead and make it sound like it is all free and clear with no expenses.
Re: Social Security - I can’t wait - Posted by Jeff-oh
Posted by Jeff-oh on July 21, 2006 at 11:54:19:
John,
There are two points here: 1: Don’t count on SS to live on.
2: In 8 weeks I created a cash flow equivelent to what has taken me over 20 years of working and over 60K in SS taxes. (learn to do it once… Repeat, repeat, repeat)
You want the story?: Cost to me ~$15K. (costs - dwn pmt) (1 home was a repo) I created ~$76K in notes. This averages to a $1,544 income for 70 months (6 years and 10 months.) (Note you cannot just divide 1544 into 76000. There is the industry standard interest on this)
The shortest note runs out in 18 months but I have the $305 on a 10+ year note.
I do hope I get them back. That means another dwn pmt and restarting the payment clock.
Even if they bugger the home up, Fix-up averages less than $1000 (carpet, paint & repair). (i.e. that cost is covered by the new dwn pmt.)
Also, SS is not free:
How much does SS cost you??? A $40,300K salary pays $2500 a year in SS taxes. Thus, over a working life of 40 years you will pay $100,000.00 in SS taxes. (assumes no inflation, or salary increases)
What is the SS benifit? $1,300 month for 12 years (assumes: average life span of 72 years) or 144 pmt * $1,300 = $187,200 for 40 years of labor.
Lonnie deals: $1,544 for 70 months = $108,080.00 for 8 weeks of labor.
You choose the path you want to take. I am on my path.
Re: Social Security - I can’t wait - Posted by Tony Colella
Posted by Tony Colella on July 21, 2006 at 10:20:12:
Actually John brings up a good point. Those deals will run out in a matter of years. Yes, some of them will continue to come back, be re-sold time and time again.
But John, let’s not forget that Jeff also wrote he would have to work an additional 24 years to receive that social security benefit.
Are there costs involved in Jeff’s deals? Sure. Is that necessarily a net figure? No. (I am also not entirely certain if social security income is tax free but that is another possible point).
But Jeff has learned in a few months how to create an equal income stream with very little time and labor. What would he create in 2 years, 5 years or 24 years?
I suspect he will continue to create income streams through notes and like many of us move on to other investments such as land/home, small parks, single family homes, commercial properties and no doubt move into investments outside the real estate arena.
It is amazing what you can accomplish in this game if you actively stay in the game and do not quit or bounce around from one flavor of the month to the next.
John, I respect that you see the bottom line as Net Income. But time is a whole lot more important to me in this scenario. Having been full time myself for several years (I call it semi-retirement) I can tell you that life, money and time all take on entirely new meanings.
Tony
bigjohn - Posted by Invester-Mo-Lester
Posted by Invester-Mo-Lester on July 21, 2006 at 09:56:52:
You are an idiot.
lets just suffice it to say… - Posted by Adam (IN)
Posted by Adam (IN) on July 20, 2006 at 21:11:41:
that you totally missed his point my friend…you do know there was a basic point don’t you?? ah nevermind…