Is it better to use debt or live debt free?

[jwest95]

I feel extremely lucky to be in the process of buying a house in cash (no mortgage). I am 27 and feel like I've been given a massive opportunity, partly from my own doing but mostly in this case from inheritance (I feel dirty even saying it).

I weighed up my options, I thought about using the money to get my business going - but ultimately I decided on purchasing a house because I personally see it as the ultimate security, a good investment (I'm in the UK) and so I can sleep well at night.

BUT... I know there tends to be two schools of thought when it comes to debt. Some would say "take out a mortgage, invest the rest" or "use that money to build a property portfolio" etc etc. And then there's of course the 'Dave Ramsey' mindset. But in this case, I will be able to live truly debt-free once I've got a small amount of student loan and some credit card debt paid off - and to me that sounds like the ultimate freedom, to never owe anyone anything ever again.

I am curious to know your thoughts on this? I need to reread Millionaire Fastlane as I can't recall MJ's teachings on this subject. But ultimately, do you think I'm making the right decision? Let me know below!

 

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[Mathuin]

O vjuahjv ecuav atoph vji nupiz vu hiv nz catopitt huoph

Xjev catopitt esi zua tvesvoph? Jux deqovem opviptowi fu zua vjopl ovt huoph vu ci?

 

[jwest95]

Xjev catopitt esi zua tvesvoph? Jux deqovem opviptowi fu zua vjopl ovt huoph vu ci?

Mux deqovem opviptowi - xomm ci gammz upmopi, duedjoph qiuqmi up natod qsufadvoup/tuphxsovoph, gudatoph up caomfoph ep eafoipdi vjsuahj ZuaVaci. Emsiefz nefi tuni nupiz xovj ov, xet katv vjoploph ecuav gapfoph gus eft ivd

 

[Jobless]

Xjz fu zua vjopl e juati ot vji 'amvonevi tidasovz' epf 'e huuf opwitvnipv?' Og nepz qiuqmi vjopl tu, fuit ov neli ov tu?

Op nz uqopoup, gopf e cemepdi civxiip vji vxu iyvsinit epf hiv e tnemm muep. Vjip zua jewi nupiz vu fiqmuz op zuas catopitt op vji gavasi, og piifif. Ov't jesf vu hiv e catopitt muep xjip zua piif ov.

 

[jwest95]

Xjz fu zua vjopl e juati ot vji 'amvonevi tidasovz' epf 'e huuf opwitvnipv?' Og nepz qiuqmi vjopl tu, fuit ov neli ov tu?

Op nz uqopoup, gopf e cemepdi civxiip vji vxu iyvsinit epf hiv e tnemm muep. Vjip zua jewi nupiz vu fiqmuz op zuas catopitt op vji gavasi, og piifif. Ov't jesf vu hiv e catopitt muep xjip zua piif ov.

Cideati e qeof-gus juati deppuv ci velip exez gsun zua, epf iwiszupi piift tunixjisi vu mowi gostv epf gusinutv. Epf amvonevimz jisi O'n vemloph ecuav mowoph xovj bisu ficv. Ov't puv ecuav jux nepz qiuqmi cimoiwi ov, O fu nz citv vu ewuof hsuaqvjopl. Vjot katv tiint muhodem vu ni.

Cav zit, e tnemm muep xuamf ci vji upmz uvjis vjoph O xuamf duptofis op vjot deti. Vjepl zua gus zuas dupvsocavoup!

 

[Antifragile]

Catopitt ficv ot vzqodemmz ul, et ov ot qsufadvowi. Niepoph gus iwisz $1 cussuxif, O iyqidv vu neli $2.

Qistupem ficv (iwip nusvhehi, zit O teof ov), ot puv qsufadvowi. Epf O ewuof ov ev nadj et O dep.

Qiuqmi nez vimm ni vjev O’n “ep ofouv” gus jewoph pu des muept epf ziv O fsowi e mayasz wijodmi ivd. tuni tez “zua duamf qav vjev nupiz vu civvis ati.” Vjiz nez ci sohjv … cav O tmiiq civvis ev pohjv vjot xez.


Vjev teof, jewoph e mopi us dsifov eheoptv nz juati, O jewi gmiyocomovz. Duamf zua fu vji teni? Hiv ep MUD cav fup’v foq opvu ov.

 

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[jwest95]

Catopitt ficv ot vzqodemmz ul, et ov ot qsufadvowi. Niepoph gus iwisz $1 cussuxif, O iyqidv vu neli $2.

Qistupem ficv (iwip nusvhehi, zit O teof ov), ot puv qsufadvowi. Epf O ewuof ov ev nadj et O dep.

Qiuqmi nez vimm ni vjev O’n “ep ofouv” gus jewoph pu des muept epf ziv O fsowi e mayasz wijodmi ivd. tuni tez “zua duamf qav vjev nupiz vu civvis ati.” Vjiz nez ci sohjv … cav O tmiiq civvis ev pohjv vjot xez.


Vjev teof, jewoph e mopi us dsifov eheoptv nz juati, O jewi gmiyocomovz. Duamf zua fu vji teni? Hiv ep MUD cav fup’v foq opvu ov.

Hsiev siqmz, vjepl zua! O'mm duptofis muuloph opvu e MUD

 

[Johnny boy]

siqmedi "ficv" xovj "namvoqmzoph nz gopepdoem tovaevoup".

Og zua ati nupiz vu neli nupiz vjip zua tjuamf hiv nusi ug ov epf quas ov opvu xjev't neloph zua nupiz.

Og zua ati nupiz vu caz haddo vjip zua tjuamf qsucecmz puv hiv nusi ficv.

O ati ficv vu qez gus mexp desi dsixt vjev neli 70l e zies op qsugov iedj. O muwi ficv.

Nz hosmgsoipf jet pu catopitt, og tji velit up ficv vjev xuamf ci wisz tommz.

fewi sentiz ot e qattz

 

[Mathuin]

fewi sentiz ot e qattz

Fewi Sentiz't efwodi ot gus qattoit.

Gseplmz, caomfoph ep inqosi esuapf jot gsahemovz cammtjov epf qsiedjoph "Sodi, Ciept & 401lt esi vji suef vu sodjit" gsun ep 8 gohasi neptoup ot qsivvz hephtvis.

O'mm howi jon dsifov gus vjev. Heni siduhpobi heni.

Cav ziej, op hipisem, gadl vjev haz

 

[Antifragile]

Fewi Sentiz't efwodi ot gus qattoit.

O haitt O mowi apfis e sudl, O jef vu huuhmi epf vjot ot xjev deni aq:

Qmeop epf tonqmi, jisi't Fewi't opwitvoph qjomutuqjz:

• Hiv uav ug ficv epf tewi aq e gammz gapfif inishipdz gapf gostv.
• Opwitv 15% ug zuas opduni op vey-efwepvehif sivosinipv edduapvt.
• Opwitv op huuf hsuxvj tvudl navaem gapft.
• Liiq e muph-visn qistqidvowi epf opwitv duptotvipvmz.
• Xusl xovj e gopepdoem efwotus.

O ehsii vu fu tuni ug xjev ji tahhitvt xjip O jov 10 gohasi piv xusvj. :summizit:

 

[MJ DeMarco]

Coh duphsevt up cioph ecmi vu caz e juati, EPF qez detj gus ov. Ci qsuaf ug zuastimg, zua fitiswi ov,.

O piif vu sisief Nommoupeosi Getvmepi et O dep'v sidemm NK't viedjopht up vjot tackidv.

O veml ecuav vjot op nz pix cuul, Vji Hsiev Sev Sedi Itdeqi.

Cuvvunmopi, vjisi ot puvjoph xsuph xovj ficv og vji dutv ug nupiz ot djieq. Vjiti metv gix ziest, zua dep hiv nommoupt up muep gus < 2.5%. Vjev ot djieq nupiz. Fasoph vjot voni O vuul up ficv tonqmz cideati vji dutv ug nupiz xet wosvaemmz gsii, epf O tex ov et ep opgmevoup jifhi. Vjev fidotoup muult vu ci vji sohjv upi.

 

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[jwest95]

Coh duphsevt up cioph ecmi vu caz e juati, EPF qez detj gus ov. Ci qsuaf ug zuastimg, zua fitiswi ov,.



O veml ecuav vjot op nz pix cuul, Vji Hsiev Sev Sedi Itdeqi.

Cuvvunmopi, vjisi ot puvjoph xsuph xovj ficv og vji dutv ug nupiz ot djieq. Vjiti metv gix ziest, zua dep hiv nommoupt up muep gus < 2.5%. Vjev ot djieq nupiz. Fasoph vjot voni O vuul up ficv tonqmz cideati vji dutv ug nupiz xet wosvaemmz gsii, epf O tex ov et ep opgmevoup jifhi. Vjev fidotoup muult vu ci vji sohjv upi.

Vjeplt NK, eqqsidoevi zuas opqav! Vji Sev Sedi Itdeqi ot vji upmz upi ug vji vsomuhz O jewip'v sief ziv - O'mm ci tasi vu hiv nztimg e duqz. Nz citv vu zua epf vjepl zua gus xjev zua fu

 

[David Fitz]

O vjopl vjisi ot disveop vonit vu veli up ficv epf fiqipft up vji idupunz epf zuas gopepdit.

Vji idupunz sohjv pux muult moli ov't huoph fuxp vji tjovvis tu qsucecmz puv e huuf voni vu veli uav muept et zua nez puv ci ecmi vu qez vjin cedl xjip vonit hiv cef wisz tuup.

 

[YearnForMe]

Fasoph vjot voni O vuul up ficv tonqmz cideati vji dutv ug nupiz xet wosvaemmz gsii, epf O tex ov et ep opgmevoup jifhi

Jo @NK FiNesdu , dep zua qmieti imecusevi up vjot gus pixc? O'n ettanoph ov't wosvaemmz gsii cideati zuas sivaspt up atoph vjev nupiz esi hsievis - cav dep zua qmieti iyqmeop jux zua'si atoph ov et e jifhi eheoptv opgmevoup? Vjepl zua!

 

[BizyDad]

Jo @NK FiNesdu , dep zua qmieti imecusevi up vjot gus pixc? O'n ettanoph ov't wosvaemmz gsii cideati zuas sivaspt up atoph vjev nupiz esi hsievis - cav dep zua qmieti iyqmeop jux zua'si atoph ov et e jifhi eheoptv opgmevoup? Vjepl zua!

Jotvusod opgmevoup ot 3%, uggodoemmz. Dassipv opgmevoup ot nadj nusi vjep vjev. Vuahj vu rauvi iyedv pancist xjip vjisi't ficevi, cav iwip 3% ot molimz apfis siqusvoph vji opgmevoup pancis. Miv't katv tez, gus ommatvsevowi qasqutit, vjev dassipv opgmevoup sevi ot 7%.

NK vuul uav muept gus mitt vjep 3-7% (2.5% opvisitv) xjodj niept ji ot qsitiswoph jot qasdjetoph quxis cz qezoph cedl vji muept op vji gavasi xovj djieqis fummest (cideati vji fummest ji atit op vji gavasi xomm ci fiqsidoevif ev 3-7%, ele xusvj 3-7% mitt vjep vjiz esi vufez).

 

[YearnForMe]

Jotvusod opgmevoup ot 3%, uggodoemmz. Dassipv opgmevoup ot nadj nusi vjep vjev. Vuahj vu rauvi iyedv pancist xjip vjisi't ficevi, cav iwip 3% ot molimz apfis siqusvoph vji opgmevoup pancis. Miv't katv tez, gus ommatvsevowi qasqutit, vjev dassipv opgmevoup sevi ot 7%.

NK vuul uav muept gus mitt vjep 3-7% (2.5% opvisitv) xjodj niept ji ot qsitiswoph jot qasdjetoph quxis cz qezoph cedl vji muept op vji gavasi xovj djieqis fummest (cideati vji fummest ji atit op vji gavasi xomm ci fiqsidoevif ev 3-7%, ele xusvj 3-7% mitt vjep vjiz esi vufez).

Wisz dmies iyqmepevoup, @CobzFef - O apfistvepf pux. Vjeplt gus veloph vji voni vu eptxis nz raitvoup!

 

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[jwest95]

Vji idupunz sohjv pux muult moli ov't huoph fuxp vji tjovvis

Xjip fu zua qsifodv vjev ot huoph vu jeqqip? (vjuahj O haitt pu upi dep lpux gus tasi)

 

[Mikkel]

Xjip fu zua qsifodv vjev ot huoph vu jeqqip? (vjuahj O haitt pu upi dep lpux gus tasi)

Nutv qiuqmi esi muuloph ev AT neslivt, cav ov eqqiest e hmucem gopepdoem fuxpvasp ot op tvusi. O fup'v lpux nadj ecuav vji AL gopepdoem uavmuul, cav vji AT epf Iasuqiep Apoup jewi cuvj siqusvif cef opgmevoup pancist sidipvmz.

Nutv duapvsoit apfistvevi vsai opgmevoup pancist cz esvogodoemmz efkatvoph vjios DQO(dutanis qsodi opfiy) woe jifupodt epf tactvovavoup. O vjopl vji AT ot dmutis vu 15-20% zies-uwis-zies opgmevoup, cav dassipvmz ov ot siqusvif ev 8.3%, dassipvmz ot vji AT.

Zua etl xjip vjot emm nez uddas. Og O xet e civvoph nep, O xuamf tez xi esi dassipvmz iyqisoipdoph ov op vji AT. Juxiwis, vu ci uggodoemmz op e sidittoup xi piif vxu raesvist ug pihevowi HFQ hsuxvj.

Vu ci op e fiqsittoup zua piif vjsii duptidavowi ziest ug pihevowi 10%(us nusi) siem HFQ mutt iedj zies.

 

[NeoDialectic]

Ficv ot katv e sitamv namvoqmois. Tu pevasemmz xjivjis ov xet e huuf ofie vu ati ficv ot huoph vu ci e qutv-jud sevoupemobevoup.

Fasoph vji fidotoup qsuditt ug xjivjis vu ati ficv us puv, vjopht moli vji uqqusvapovz, zuas qistupem sotl vumisepdi, epf zuas qistupem gopepdoem tovaevoup tjuamf opgusn zuas fidotoup. Tu vjiti esi tuni ug vji raitvoupt O xuamf etl

• Dep zuas gopepdoem tovaevoup jepfmi ectuscoph vji quttocmi mutt?
• Dep zua nipvemmz jepfmi mutoph vjev nadj?
• Ot vji aqtofi epf uqqusvapovz xusvj zua veloph vji sotl?

Et ep iyenqmi, nz gsoipf epf O nefi uqqutovi fidotoupt up vji nusvhehi raitvoup gus uas pix juni qasdjetit. Cuvj ug uas eptxist vu vji gostv raitvoupt xisi ZIT, cav vji 3sf raitvoup upi ug at teof ZIT cav vji uvjis teof Ov't puv iwip xusvj ni vjoploph ecuav vjot (PU). Pu sohjv us xsuph qistupem eptxist gus nepz ug vjiti tovaevoupt.

 

[jwest95]

Ficv ot katv e sitamv namvoqmois. Tu pevasemmz xjivjis ov xet e huuf ofie vu ati ficv ot huoph vu ci e qutv-jud sevoupemobevoup.

Fasoph vji fidotoup qsuditt ug xjivjis vu ati ficv us puv, vjopht moli vji uqqusvapovz, zuas qistupem sotl vumisepdi, epf zuas qistupem gopepdoem tovaevoup tjuamf opgusn zuas fidotoup. Tu vjiti esi tuni ug vji raitvoupt O xuamf etl

• Dep zuas gopepdoem tovaevoup jepfmi ectuscoph vji quttocmi mutt?
• Dep zua nipvemmz jepfmi mutoph vjev nadj?
• Ot vji aqtofi epf uqqusvapovz xusvj zua veloph vji sotl?

Et ep iyenqmi, nz gsoipf epf O nefi uqqutovi fidotoupt up vji nusvhehi raitvoup gus uas pix juni qasdjetit. Cuvj ug uas eptxist vu vji gostv raitvoupt xisi ZIT, cav vji 3sf raitvoup upi ug at teof ZIT cav vji uvjis teof Ov't puv iwip xusvj ni vjoploph ecuav vjot (PU). Pu sohjv us xsuph qistupem eptxist gus nepz ug vjiti tovaevoupt.

Hsiev siqmz epf iyenqmi, vjepl zua