Quote:
Originally Posted by Fishy Cover
In my business I get to know the financial situation of many wealthy people, and although people may have a lot of assets they usually do not keep much cash. Wealthy people become or stay wealthy by investing their money in a variety of assets such as businesses, real estate, stocks & bonds, not by accumulating cash.
So when there is a hiccup in their income from their profession or business they have to convert another asset to cash, and this can take some time in the case of real estate or business ownership interests, or be painful in the case of stocks and bonds whose prices are lower now. Or they can borrow against other assets, which can be difficult or impossible.
So selling the second home is one way to convert an asset to cash, but often a slow and painful way. In the meantime, cash from other sources musy be used to pay ownership costs for a property that is no longer used or wanted.
It can be verry difficult to be wealthy.
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Make me wealthy and I'll let you know how difficult it is
Seriously though it must be very hard to have to sell any home on our wonderful lake. If you choose to sell that is much different than having to sell. Lucky to have this simple little home and no intention of selling it.