Debt Free Newbie- where do i fit in?

[Kristin Brancaleone]

Hi all, 

I live in Orange County, CA, own my home outright, and really want to stay debt free for the rest of my life.  We have a good amount in savings to invest in real estate, but I am not sure where we fit in or how to make our money work for us.  I'd love to one day allow my hubby to quit his job and pursue lifeguarding, which is part-time seasonal work.  So basically make enough cash flow to free him up. Some ideas in my head- moving to a smaller/cheaper home and/or building our own small/tiny home and renting out our current home (worth 600,000, can rent at about 2600 per month.)  House hacking by buying a duplex or triplex (ideally near the beach in socal!)  and renting out the other units.  Here's the catch- we need to stay in Socal to be near family, and we only want to use cash.  Not sure whether to try to live well below our means in cali, sell our current home, and invest out of state, or does it make sense to house hack in California if we can pay all cash?   Thanks in advance!  Once again, just a newbie who is brainstorming for the future.  

[David Dachtera]

@Kristin Brancaleone,

It's important to remember that money which is not earning more money is shrinking at three times the rate of inflation.

Yeah, to consumers, "debt free" sounds wonderful. Consumers don't survive very long in the business world unless they learn to become entrepreneurs.

Remember, however, that the wealthiest people on the planet (the banksters) got that way through leverage and arbitrage.