So based off my initial
cash equity contribution of 15 % or $ 52,500, a 354 % return on cash (ignoring all else).
Not exact matches
Worldwide, 1950 - 2000 non-repeatable
cash flows and risk reductions made 0.6 % and 1.2 %
contributions, respectively, to the ex post annualized
equity risk premium.
If you do not have the
cash available to make the down payment, you will either need to save until you do or find another source for the
equity contribution.
Down payment is the amount you need to pay as your own
equity contribution towards the
cash value of the property you want to buy.
After the late 2016 and early 2017 run - up in
equities, I'm not selling to hold
cash by any means, but I feel like it can't be * that * bad to slow
contributions and move payments to my mortgage.
After automatic retirement investments, I use our
cash / bank account to trap excess capital, and then we make large scale purchases from that (post-tax
equities,
contributions to our charitable fund, home improvements, or travel).
HUD 4000.1 specifically states that «gifts» for FHA loan down payments refer to
cash or
equity contributions that the person giving them has no expectation to get back.
If the condo proceeds could enable you and your partner to put down a larger down payment on the house and avoid CMHC insurance premiums, or provide
cash to make an RRSP or TFSA
contribution, I think you need to be sure the
cash flow / net
equity return is enticing.
As a single family buy - and - hold model, I only care about the
cash on
cash rate, which is also the cap rate of my
equity contribution, in the first year using annual numbers.
Total
contributions of the partners to
equity in the house at the time of sale consist of $ 23,000 in
cash at purchase, plus $ 6,000 in reducing the loan balance.