Have $220,000 just starting out

[Mike R.]

Hi all! I am brand new here and really excited to have found this.

I have been investing in stocks for some 20 years now, I'm looking to take some money out and put it into a new investment.

I currently rent a house and am thinking about getting a vacation income property in Big Bear, Ca.

I can't buy where I live in LA, Ca. as I'm freelance and can't get a loan.

So my thought is- pay cash for a rental income property instead of having all my money in stocks.

Would love to hear thoughts.

[Ellis San Jose]

@Mike R.

I think you are smart to diversify out of the equity market. If I could make a suggestion. I would consider finding a seller financed property in Big Bear (there are plenty of motivated sellers there) as an alternative to buying 100% cash.

That way you could enhanced your returns & get a steady cash flow without having to pursue bank financing.

Good luck