Lux Investing

my house is paid for how can i invest that money to give me monthy income?

this house is worth 600k can i buy apartments or buy two in vegas or something

Public Comments

1. money market
2. I don't think you can do anything with the money in your house; however, you can take the mortgage money not in use for the mortgage anymore and invest that. Call a broker.
3. There is a program called reverse mortgage that will pay you monthly just like you would pay a mortgage. This is a new option so I dont know all the details but it makes sense. The other way is a traditional home equity loan that you would need to work out the rate you would pay versus the rate you could earn. Right now you may be able to net a fair amount. The nice thing about this is you set it all up to be automatic and you just monitor it
4. You would have to take out a mortgage (i.e., borrow) which would largely negate the value of investing. If you are over 65, you might consider a reverse mortgage.
5. first off, your technically not allowed to invest the equity in your home. any ethical broker would not allow you to do that. with that disclosure, take out an equity line on your home, not a loan. the line works like a credit card, but a much more reasonable rate. depending on your credit score, you should ge something like 7%, they are based on Prime which the Federal Reserve has been dropping. Right now its 7.25%. If your credit is excellet, you may get Prime - 1 (currently would be 6.25%). This will allow you to pay interest only instead of a fixed payment for money you might not need. then you can put it into a bond fund or something else to get you income.
6. Bank savings account? Certificate of Deposit? Money Market Account? Money Market Mutual Fund? Other?
7. I suppose that depends on what amount of monthly income you mean. The safest way is to find a money market account with a high apy. Investing does not promise monthly income. 67 percent of investments under five years lose money compared to 95 percent of investments over five years. So unless you are willing to leave that money alone for five years or more then do not invest in stocks or mutual funds.
8. Your question is a bit unclear. I'm assuming you mean you want to monitize some equity in your home. You can do a reverse mortgage for monthly income if you are at least 62 years old, although the longer you wait before initiating that, the more dollars you'd get, as the payout is based on life expectancy. A reverse mortgage is really just a specialized kind of home equity loan; as an alternative you can take some money out as a home equity loan. As mentioned above you are not supposed to invest those funds. But, you can LIVE off those funds while investing all of your other income (if any). Or you can sell the home and invest the proceeds while moving into an apartment!
9. You mean the money that had been going to your mortgage, but is now in your budget with nothing to spend it on? Stock markets, IRA, etc. Or, you want to use the house itself to make money? Rent it out to someone.