Should I Take a Loan From My 401k When Buying a Home?
Вставка
- Опубліковано 5 сер 2024
- The thought of that much interest going to a mortgage company, why not take a 401(k) loan to buy the house…then the interest you’ll be paying to yourself instead of to a bank. Sounds enticing right? Well, it may not be something you want to do.
Have a question you want to be answered on the show? Call or text 574-222-2000 or leave a comment!
Want to speak with a Certified Financial Planner™? Visit www.korhorn.com/ or call 574-247-5898.
Find more information about the Wise Money Show™ at www.korhorn.com/wise-money-show
Be sure to stay up to date by following us!
Facebook - / wisemoneyshow
Instagram - /
Twitter - / wisemoneyshow
Want more Wise Money™?
Read our blog! www.korhorn.com/wise-money-blog
Listen on Podcast: link.chtbl.com/WiseMoney
Subscribe on UA-cam: / wisemoneyshow
Mike Bernard, CFP® offers advisory services through KFG Wealth Management, LLC dba Korhorn Financial Group. This information is for general financial education and is not intended to provide specific investment advice or recommendations. All investing and investment strategies involve risk including the potential loss of principal. Asset allocation & diversification do not ensure a profit or prevent a loss in a declining market. Past performance is not a guarantee of future results.
Funny how everybody that don't want you to take out a loan from your 401k are the same people that make money from your 401k
This has been very insightful. I wish more UA-camrs take the time to create quality content like this. Thank you for sharing your knowledge and advice on 401k loan. We never stop learning.
Great information
Thank you
The answer I think depends on the part of your portfolio the loan comes from. If you have a $1M portfolio and take a $50K loan (5%) from a low-risk, low-yield part of your allocation, then taking the loan instead of paying a bank a 7% interest rate is a slam-dunk decision. Just as risk-free, at a reasonable return. If you have a $100K portfolio and the $50K loan (50%) takes money from a potentially high-return part of the allocation, different story. But even then, with today’s interest rates on purchases being so high, the loans can be a good idea.
You cash out refinance and OG off the debt in a matter of months of buying the house. Am I missing something? Then no mortgage so you paid a total of like 4% interest. Drawing loan from 401k is stealing money
7:44 mines does both
can you pay off your 401K loan early, say before you quit your job?
Can pay it off whenever you want
Use vanguard. You can do all that
what if an opportunity comes in to double a a 20k but you don't have it in cash?
You should probably avoid that "opportunity" because anyone that says they can double your money is probably full of shit.