MRBXXXFVVS1
Brilliant_Rock
- Joined
- Dec 5, 2019
- Messages
- 1,450
I've been thinking about this more lately. While I prefer to pay cash to not have any payments and own outright, I am beginning to wonder if it's better to finance from an economic perspective. What are your preferences and rationale?
Ex: The stock I sold to buy my car has more than doubled since I sold it. I could have instead gotten a very low interest rate and doubled my stock/cash.
Some of my very financially savvy friends (that work at hedge funds) actually do interest only mortgages and lease cars even though they could afford to pay cash, because the opportunity cost of investing the money is significant. Of course, there is market and other risks associated with this strategy. Thoughts?
Ex: The stock I sold to buy my car has more than doubled since I sold it. I could have instead gotten a very low interest rate and doubled my stock/cash.
Some of my very financially savvy friends (that work at hedge funds) actually do interest only mortgages and lease cars even though they could afford to pay cash, because the opportunity cost of investing the money is significant. Of course, there is market and other risks associated with this strategy. Thoughts?
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