Hi WSO, this one is a little off tangent. Basically, me and my wife disagree on how I should work towards home ownership. Given the finance masters here, I wish to ask which route should I take. I'll disclose the information needed for you to make an answer. All in US$.
Home cost: $900k.
ALL my savings: $175k.
I'm thinking of having a $20k buffer so really I'm short $25k. Also, I'm 31 and earn about $100k a year. (Yeah, take your time to say how little I earn. No worries.)
Now suppose I do not wish to touch my future income streams - I wish to use them for holiday, financing the mortgage, saving for retirement, etc. From the following, which do you think is the best way to get this $25k?
1. Art Gallery curator during the weekends earning $2k / month, $24k a year
2. Freelance coding jobs though unstable and at client's mercy
3. Learning how to invest
I choose 1 my wife choose 3. If I dump ALL my $175k on S&P and get a highly optimistic 10% return, that's $17.5k. But she's not accouting a risk. What you think?
Also, feel free to input on what YOU will do at 31. I'm the type to hussle but I'm also receptive on other, presumably smarter, ideas to achieve the $25k.