No, you linked a townhome. Townhome and condo are two different things. But condos have a master policy too. If you're paying $6k for insurance on a condo or townhome, you're doing it wrong.
Now and days I would say no, however if someone got lucky and hit hot investment....it could turn into it.
With inflation booming, money just doesn't last like it used to.... That kind of money might last a couple generations, but it just takes one boned headed choice to ruin that....
Inflation is 2.5 But yes if you're extraordinarily stupid you can waste money but it is very hard to go broke
One moron can blow a billion dollars. Inflation's current pace isn't drastically changing the life of someone with 40mm. This thread stays dumb
im not sure what math you’re doing for a mortgage payment. 7% even with 20% down on a 1.2million home is $6387/month, nearly 77k annually before taxes/insurance. Maybe you’re not including the principal repayment, which accounting wise isn’t an expense but certainly part of a mortgage payment.
We see sports stars, movie stars, musicians...hell huge lottery winners go broke all the time....when it should have easily turn into generational wealth. Now I am not saying people cant turn that kind of money into it, but not everyone would.
Think about the rich kids you went to high school or college with, the ones who came out with zero debt and somehow had a starter home and an investment property right out of school. The ones who had a credit card in college and went out all the time. The ones who have kids now that go to private school. And realize the overwhelming likelihood is their parents had far less than $40 million in net worth. Probably closer to 5.
“Some idiot could blow $40M easily” does not invalidate the reality that $40M is generational wealth.
In my haste to look super-duper smart, I only calculated the interest on the entire principal rather than its annuity, hence the wildly inaccurate math. A thousand apologies.
lol right you’re not going to be a Vanderbilt with 40 million but your kids’ kids will be vacationing in Greece instead of pigeon forge.
yes I know, however I thinking more in the way of 5-6+ generations.......being rich is a couple generation worth of money, being wealthy is a different status all together. When you're wealthy your fuck you money, has fuck you money. That's just how I look at it....
It can be a lot less than that. I've done benefited from all that and my brother and I will not net 5mm from my mom. I feel like I'm going to acquire hella generational wealth and it's going to be around a mil or two.
Same, like at least 3 generations. The good family constitutions I've seen require trust recipients to have employment until a certain age, etc which helps keep the deadbeats from sucking the teet too long.
I can make 40mm last multiple generations easily. I can live off a mil a year and in 40 yrs when I die it's 700mm. My future spawn will be fine. It's like no one gets this and thinks the 40mm just gets drawn down
100%. Unfortunately the 30 year has become the norm and most can't afford the home they think they should have based on their income if they do a 15 year.
Just about every scenario presented here was a ~5% muni/tax free bond investment with the annual interest income used as living expenses. Show me the model on that where the $40 million grows
My child's private day care is 20k a year. He'll go to good public schools so no need for pointless private schools and he'll then just go to college debt free at quality in State schools and have a stock pile for grad/masters/etc. My wealth with compound with the addition of my parent's and our sub 40mm net worth and the benefit form it will be passed forward
Just bc you do some dumbass investment strategy doesn't mean shit. You have that much money you can handle swings and aren't putting all of that in some low risk bond funds. That's awful allocation and I'm not shocked anothrr dumbass post by you. Go to Excel and learn the FV function and creatr whatever the fuck you want
What exactly is the definition of generational wealth? I was under the assumption it covers my family and my kids family, for 2 generations. How many generations are we talking?
It will last several generations unless one custodian is an alcoholic gambler then it's not generational wealth anymore
Parents, their kids, and their kids' kids. So I would say that's 3 generations. Somewhere in the average of 8ish families total
Right, that's what I'm saying. Me, my wife, and our kid live a nice life. My kid and their family live a nice life. My grandkids are on their own.
Okay webster, you win. Most dumbfucks with money don't make it last past the 2nd generation. That's why I'd consider that not generational wealth (sounds like you'd fall into this category, but with kids with public school diplomas and an undergrad from Bama (shit school)
Imvestopedia defines it as Generational wealth refers to assets passed from one generation of a family to the next. So just my lifetime and my kids timetime.
Just looked up what it takes to be considered Ultra High Net Worth at brokerages and it's $30 million