9 things that seem like a good investment but are actually losing you a ton of money by Talia Lakritz on Jul 5, 2018, 10:14 AM Advertisement
 - Don't dabble in cryptocurrency if you're not already maximizing your retirement accounts.
- Boats and timeshares will cost more than they're worth in the long run.
- Buying a home that puts you in too much debt isn't a good property investment.
Whether you're new to investing or have been at it for decades, deciding where to put your money requires careful consideration. What appears to be a promising investment could actually turn out to cost more money than it's worth — or even cause significant financial losses. INSIDER asked certified financial planners what things people invest in that aren't doing them any favors. Here are nine things that you might think will make you rich, but experts say could end up costing you. SEE ALSO: Here's how much 10 of your favorite childhood toys are actually worth today DON'T MISS: 18 things you should always throw away before you move Cryptocurrency  Some crypto enthusiasts like venture capitalist Tim Draper believe that cryptocurrencies could replace cash in 10 years. Other experts say the market is approaching a "death cross." However trendy Bitcoin becomes at any given moment, your priority should be making concrete plans to save for retirement — especially if you're not exactly sure what cryptocurrency is and are just looking for a piece of the pie. As Sophia Bera, CFP and founder of Gen Y Planning, told Business Insider: "Simple first, sexy later." "Stop throwing money at cryptocurrencies when you're not maximizing your retirement accounts," she said.
A boat  With docking fees, gas, insurance, and constant repairs, boats cost an enormous amount of money to maintain. "A boat is never a good investment! But they are fun," said Linda Robertson, CFP and Director of Planner Operations at Financial Finesse.
Timeshares  Roberton said you might be tempted to buy a timeshare or hotel points to "lock in today's prices," but the annual fees don't make it a wise investment. It will also be hard to resell when you get tired of it. "I have talked to hundreds of people with the same story," said Doug Spencer, CFP and Senior Resident Financial Planner at Financial Finesse. "'Oh we love this place and it will be so much cheaper than paying for a hotel every year.' Until four years later you're tired of that location, or you need to use your vacation to go to friends' weddings and family events or you have kids and can't afford a vacation. Then you're just paying a bill every month for a place you never get to use and you really only get to use at off peak times when you do use."
See the rest of the story at Business Insider
| 
0 comments:
Post a Comment