QUESTION: Barbara in Huntsville is retired, and her husband has several years left to work. They have $130,000 in savings accounts and a rental property. The rental property has a $150,000 mortgage, but everything else is paid for. Should they sell the rental and reinvest in the stock market?
ANSWER: I’d be investing in mutual funds, then I’d be paying the rental property off as fast as I could. That would be my game plan. But don’t get into mutual funds and then jump in and out. You pick good mutual funds with a long track record and you stay in them, no matter what it does. Then get the rental paid off as fast as possible.
These are general guidelines. Your situation may be unique. If you have questions, connect with a SmartVestor Pro.