1 00:00:29,760 --> 00:00:34,639 Suze: January 19, 2025. Welcome everybody to the Women and Money 2 00:00:34,639 --> 00:00:39,080 Suze: podcast as well as everybody smart enough to listen. Suze 3 00:00:39,080 --> 00:00:40,028 Suze: O here. 4 00:00:40,770 --> 00:00:46,650 Suze: And today is Suze's school, so get out your little notebooks. First, 5 00:00:47,098 --> 00:00:50,500 Suze: thank you, thank you, thank you for all the tremendous 6 00:00:50,500 --> 00:00:54,740 Suze: amount of emails that I got, thanking me for last 7 00:00:54,740 --> 00:01:00,860 Suze: Sunday's podcast and the Sunday before that's podcast, and how 8 00:01:00,860 --> 00:01:02,770 Suze: much it helped you. 9 00:01:03,450 --> 00:01:08,319 Suze: You listened to those podcasts, but did you do what 10 00:01:08,319 --> 00:01:13,440 Suze: I asked you to do in those podcasts, especially the 11 00:01:13,440 --> 00:01:17,690 Suze: 12 weeks ago? Did you go around to your home 12 00:01:17,690 --> 00:01:20,800 Suze: and photograph everything? Did you get a box? Did you 13 00:01:20,800 --> 00:01:23,400 Suze: put everything in it, blah blah blah blah blah. Did you? 14 00:01:24,330 --> 00:01:26,459 Suze: Many of you wrote me and said you did. 15 00:01:27,730 --> 00:01:34,239 Suze: However, if you didn't, my question to you is, why not? oh, oh, 16 00:01:34,290 --> 00:01:34,889 Suze: I know. 17 00:01:35,610 --> 00:01:40,739 Suze: I'm sure life's excuses got in your way. You had time, 18 00:01:40,750 --> 00:01:44,190 Suze: of course, to look at your favorite Netflix show that 19 00:01:44,190 --> 00:01:46,949 Suze: just came out or to go to movies or go 20 00:01:46,949 --> 00:01:50,069 Suze: out to eat or play with it, whatever it may be. 21 00:01:51,449 --> 00:01:55,559 Suze: Life's excuses got in the way. 22 00:01:56,559 --> 00:01:58,599 Suze: But your entire life 23 00:02:00,110 --> 00:02:02,580 Suze: is lived in that home. 24 00:02:03,660 --> 00:02:07,410 Suze: And so there should be no excuse big enough to 25 00:02:07,410 --> 00:02:11,198 Suze: keep you from doing everything I asked you to do 26 00:02:11,580 --> 00:02:13,330 Suze: two weeks ago. 27 00:02:14,020 --> 00:02:17,788 Suze: I'm sure if we could turn back the hands of time. 28 00:02:18,679 --> 00:02:22,179 Suze: That many of the people who lost their homes and 29 00:02:22,179 --> 00:02:23,000 Suze: everything in it. 30 00:02:24,399 --> 00:02:28,070 Suze: Could have listened to that podcast a long time ago. 31 00:02:29,149 --> 00:02:32,949 Suze: Would have done everything I asked them to do, and 32 00:02:32,949 --> 00:02:37,419 Suze: they'd be in a whole lot better situation right now. 33 00:02:38,460 --> 00:02:42,160 Suze: Now, when it comes to real estate, which is what 34 00:02:42,160 --> 00:02:44,690 Suze: I want this podcast to be about. 35 00:02:45,570 --> 00:02:47,539 Suze: Many of you believe 36 00:02:48,869 --> 00:02:52,820 Suze: that real estate is the absolute best investment out there. 37 00:02:53,949 --> 00:02:56,940 Suze: And when I ask you, for those of you who 38 00:02:56,940 --> 00:02:59,860 Suze: tell me that and I get to talk to you personally, well, 39 00:02:59,880 --> 00:03:03,460 Suze: what other investments do you have? I go, do you 40 00:03:03,460 --> 00:03:07,139 Suze: at least have a Roth IRA or an IRA or 41 00:03:07,139 --> 00:03:10,110 Suze: something like that? They go, Oh yeah, we have an IRA, 42 00:03:10,660 --> 00:03:13,770 Suze: but we have a real estate IRA where we bought 43 00:03:13,770 --> 00:03:18,490 Suze: a home within our IRA. So I said, wait, wait, wait, wait, 44 00:03:18,740 --> 00:03:20,139 Suze: are you telling me. 45 00:03:20,910 --> 00:03:26,360 Suze: That every penny of your investable assets are in real estate. 46 00:03:27,020 --> 00:03:29,869 Suze: Yes, isn't that great? Do you have any idea, Suze, 47 00:03:29,910 --> 00:03:33,228 Suze: how much money we're up? It has been the best 48 00:03:33,229 --> 00:03:35,949 Suze: investment out there, bar none. 49 00:03:37,339 --> 00:03:40,470 Suze: And I go, so you own no stocks or bonds 50 00:03:40,470 --> 00:03:42,050 Suze: or anything like that? 51 00:03:43,020 --> 00:03:46,970 Suze: Not even gold or even a little Bitcoin. No, we 52 00:03:46,970 --> 00:03:48,860 Suze: only own real estate. 53 00:03:49,690 --> 00:03:52,160 Suze: Right, I want you all to listen to me right now. 54 00:03:52,940 --> 00:03:57,279 Suze: It is really important that not all of your money 55 00:03:57,279 --> 00:04:01,250 Suze: is invested in one asset category. 56 00:04:01,839 --> 00:04:05,619 Suze: It is not OK to have 100% of your money 57 00:04:05,619 --> 00:04:09,429 Suze: invested in just real estate. It is not OK to 58 00:04:09,429 --> 00:04:13,100 Suze: have 100% of your money invested in the stock market. 59 00:04:13,309 --> 00:04:16,750 Suze: It is not OK to have 100% of your money, 60 00:04:16,950 --> 00:04:20,390 Suze: believe it or not, invested in bonds. It is not 61 00:04:20,390 --> 00:04:25,719 Suze: OK to have 100% of your money invested in gold, Bitcoin, 62 00:04:25,859 --> 00:04:29,390 Suze: and so on. Do you hear me? 63 00:04:30,779 --> 00:04:34,619 Suze: You need to make sure that you have put your 64 00:04:34,619 --> 00:04:39,820 Suze: little investment hose in almost every single one of those 65 00:04:39,820 --> 00:04:45,539 Suze: categories that make sense to you and your situation, but 66 00:04:45,540 --> 00:04:48,659 Suze: not all your money in one. 67 00:04:49,420 --> 00:04:51,808 Suze: I've told you this story before, but I'm going to 68 00:04:51,809 --> 00:04:54,850 Suze: tell it to you again. When I was actually seeing 69 00:04:54,850 --> 00:04:59,239 Suze: clients from the Suze Orman Financial Group, this woman came in. 70 00:04:59,649 --> 00:05:04,049 Suze: She had 3 homes in the San Francisco hills. That 71 00:05:04,049 --> 00:05:07,209 Suze: is all she had. She owned them outright. 72 00:05:08,040 --> 00:05:12,380 Suze: I talked to her about diversifying. These were multi-million dollar homes. 73 00:05:12,579 --> 00:05:15,959 Suze: She said, no, no, the rent, everything on them, it's 74 00:05:15,959 --> 00:05:21,459 Suze: absolutely great. No problem, Suze. I'm doing fine. 75 00:05:22,149 --> 00:05:23,880 Suze: And I said, OK. 76 00:05:24,859 --> 00:05:28,369 Suze: And of course there was torrential rains that came to 77 00:05:28,369 --> 00:05:31,890 Suze: the hills. All three of her homes actually slid down 78 00:05:31,890 --> 00:05:34,809 Suze: the hill, and they were destroyed. 79 00:05:35,660 --> 00:05:39,019 Suze: Now whether she got I don't know her insurance money 80 00:05:39,019 --> 00:05:43,019 Suze: for them or not, but she did lose during that 81 00:05:43,019 --> 00:05:48,540 Suze: time the rental income. She then didn't have access to 82 00:05:48,540 --> 00:05:53,549 Suze: any of those homes. Her whole security blanket. 83 00:05:54,329 --> 00:05:56,790 Suze: Totally came uncovered. 84 00:05:57,779 --> 00:06:01,169 Suze: And exposed her to not having at that moment in 85 00:06:01,170 --> 00:06:05,809 Suze: time any net worth at all. 86 00:06:07,019 --> 00:06:09,869 Suze: So I don't want that to happen to all of you. 87 00:06:10,570 --> 00:06:13,659 Suze: But even more so than back then when that happened 88 00:06:13,660 --> 00:06:19,928 Suze: to her, real estate is a changing everybody, and I 89 00:06:19,928 --> 00:06:22,329 Suze: think it's changing in a way that 90 00:06:23,149 --> 00:06:28,039 Suze: I never expected it to change, and how is that? 91 00:06:28,890 --> 00:06:32,190 Suze: So let's put a pin in that for a second 92 00:06:32,440 --> 00:06:37,109 Suze: and let's just go back to these fires in LA. 93 00:06:37,799 --> 00:06:42,309 Suze: Now these wildfires in LA have not been the only 94 00:06:42,799 --> 00:06:47,760 Suze: serious devastation that has happened within the United States. There 95 00:06:47,760 --> 00:06:52,480 Suze: have been many wildfires. There have been many tornadoes. There 96 00:06:52,480 --> 00:06:58,200 Suze: have been many hurricanes, and all of these things, the floods, everything. 97 00:06:59,040 --> 00:07:04,399 Suze: Have really put insurance companies under pressure and a lot 98 00:07:04,399 --> 00:07:07,909 Suze: of you tend to think well didn't happen to me. 99 00:07:08,200 --> 00:07:11,559 Suze: I'm fine. My house is fine, doesn't matter. 100 00:07:12,440 --> 00:07:17,299 Suze: The cost of these losses from insurance companies you in 101 00:07:17,299 --> 00:07:21,329 Suze: my opinion, are going to feel them no matter what, 102 00:07:21,459 --> 00:07:25,019 Suze: whether you were close to those fires, not close to 103 00:07:25,019 --> 00:07:29,980 Suze: those fires, we're all going to feel it. So let 104 00:07:29,980 --> 00:07:33,540 Suze: me just give you an example of what's happening in LA. 105 00:07:34,420 --> 00:07:38,100 Suze: As you know, over the past years there, because of 106 00:07:38,100 --> 00:07:42,929 Suze: many of the wildfires and the devastations that they've had many, 107 00:07:43,049 --> 00:07:49,540 Suze: many insurance companies have absolutely pulled out of insuring people 108 00:07:49,540 --> 00:07:54,179 Suze: in the Pacific Palisades in many areas in Los Angeles 109 00:07:54,179 --> 00:07:56,100 Suze: and really throughout California. 110 00:07:56,940 --> 00:08:01,079 Suze: The hurricanes in Florida have done the same to insuring 111 00:08:01,079 --> 00:08:06,239 Suze: people in Florida here, so they have either done two things. 112 00:08:06,489 --> 00:08:09,649 Suze: They have totally pulled out, and they no longer will 113 00:08:09,649 --> 00:08:15,410 Suze: insure here. Or if they do insure here, premiums have 114 00:08:15,410 --> 00:08:20,649 Suze: gone up anywhere from 35% to 50%, so high. 115 00:08:21,059 --> 00:08:26,079 Suze: That many people who own their homes outright can't afford 116 00:08:26,079 --> 00:08:30,079 Suze: to live in their homes anymore because of the increase 117 00:08:30,079 --> 00:08:31,500 Suze: in insurance. 118 00:08:32,539 --> 00:08:37,390 Suze: It is true that when insurance companies refuse to insure you, 119 00:08:37,429 --> 00:08:39,880 Suze: you can't get insurance anywhere. 120 00:08:40,908 --> 00:08:45,739 Suze: I told you about the fair access to insurance requirements, 121 00:08:45,749 --> 00:08:50,789 Suze: which happens to be the fair FAIR insurance for those 122 00:08:50,789 --> 00:08:54,348 Suze: of you who cannot get insurance anywhere. 123 00:08:55,820 --> 00:09:01,179 Suze: Now this phenomenon that's happening and happened in LA, Florida, 124 00:09:01,299 --> 00:09:07,059 Suze: all kinds of places is something that really affects us all. 125 00:09:07,979 --> 00:09:11,520 Suze: When it comes to purchasing or owning real estate. 126 00:09:12,359 --> 00:09:15,010 Suze: So for those of you now, and let's just go 127 00:09:15,010 --> 00:09:17,530 Suze: straight to real estate, let's get off insurance for a 128 00:09:17,530 --> 00:09:20,809 Suze: second here. For those of you who want to buy 129 00:09:20,809 --> 00:09:24,719 Suze: a home, you want to get into the real estate market, 130 00:09:24,890 --> 00:09:28,929 Suze: whatever it may be, you have two things right now 131 00:09:28,929 --> 00:09:33,739 Suze: in my opinion that are really working against you. Number 1, 132 00:09:34,169 --> 00:09:38,598 Suze: mortgage rates are back above 7%. 133 00:09:39,489 --> 00:09:43,289 Suze: I really, really believed that I was going to be 134 00:09:43,289 --> 00:09:45,489 Suze: able to tell you sometime this year, guess what, you 135 00:09:45,489 --> 00:09:51,919 Suze: could get a 30 year mortgage for 5.5%. We're above 7% again. 136 00:09:52,010 --> 00:09:58,640 Suze: That's number one. Number 2, when insurance companies have losses 137 00:09:58,640 --> 00:10:02,209 Suze: like we see with reinsurance and everything that has gone 138 00:10:02,210 --> 00:10:05,809 Suze: on with the change and how insurance can bill their 139 00:10:05,809 --> 00:10:08,969 Suze: customers now for their losses, believe it or not. 140 00:10:10,190 --> 00:10:14,179 Suze: Your insurance premiums are not only going to be high, 141 00:10:14,669 --> 00:10:20,020 Suze: they're going to be seriously higher as time goes on, 142 00:10:20,030 --> 00:10:21,340 Suze: in my opinion. 143 00:10:22,229 --> 00:10:26,840 Suze: So in order to own a home where you can't 144 00:10:26,840 --> 00:10:30,640 Suze: afford to pay for it outright, which is like 99.5% 145 00:10:30,640 --> 00:10:31,619 Suze: of everybody. 146 00:10:32,849 --> 00:10:36,809 Suze: In order to get a mortgage you're only gonna be 147 00:10:36,809 --> 00:10:39,848 Suze: able to get a mortgage if in fact you can 148 00:10:39,849 --> 00:10:44,890 Suze: get insurance so in figuring out what it's gonna cost 149 00:10:44,890 --> 00:10:49,489 Suze: you to own a home, you now can't look at 150 00:10:49,489 --> 00:10:52,609 Suze: what the insurance is currently costing maybe the people who 151 00:10:52,609 --> 00:10:57,010 Suze: own that home you need to look at what it's 152 00:10:57,010 --> 00:10:59,890 Suze: going to cost you if you bought it today. 153 00:11:00,719 --> 00:11:04,869 Suze: In your situation, and I would only buy a home 154 00:11:05,239 --> 00:11:09,239 Suze: if I knew I could afford at least a 30 155 00:11:09,239 --> 00:11:15,429 Suze: to 50% increase in my insurance premiums over time. That 156 00:11:15,429 --> 00:11:16,919 Suze: is number one. 157 00:11:17,869 --> 00:11:23,909 Suze: Number 2, remember when you buy a home, property taxes 158 00:11:23,909 --> 00:11:29,070 Suze: can go up any time, and if the state happens 159 00:11:29,070 --> 00:11:33,179 Suze: to start being responsible for paying some of the losses 160 00:11:33,179 --> 00:11:37,229 Suze: and coming up with money when there is insurance shortfalls 161 00:11:37,229 --> 00:11:39,909 Suze: to be able to repair a community. 162 00:11:40,729 --> 00:11:45,969 Suze: Don't be surprised if you don't see your property taxes 163 00:11:45,969 --> 00:11:48,880 Suze: increased tremendously as well. 164 00:11:49,700 --> 00:11:51,209 Suze: And number 3. 165 00:11:52,190 --> 00:11:56,099 Suze: Your mortgage interest rate has to be figured into it 166 00:11:56,590 --> 00:12:00,348 Suze: now when all of these things are put together. 167 00:12:01,039 --> 00:12:04,070 Suze: It may mean for many people. 168 00:12:04,770 --> 00:12:08,570 Suze: That renting is going to be more affordable and a 169 00:12:08,570 --> 00:12:12,760 Suze: better choice, believe it or not, than owning a home 170 00:12:12,760 --> 00:12:15,520 Suze: because people can't afford to own a home. 171 00:12:16,909 --> 00:12:20,770 Suze: I just want you to know that these are things 172 00:12:21,020 --> 00:12:24,179 Suze: that you need to take in consideration before you're just 173 00:12:24,179 --> 00:12:26,780 Suze: somebody who goes, I need to buy a home. I 174 00:12:26,780 --> 00:12:29,299 Suze: have to buy a home. Oh my God, I can't rent. 175 00:12:29,299 --> 00:12:31,789 Suze: If I'm renting, I'm gonna be a renter for my 176 00:12:31,789 --> 00:12:34,140 Suze: entire life and I'm just gonna throw all that money 177 00:12:34,140 --> 00:12:37,299 Suze: away and stop, just stop. 178 00:12:38,820 --> 00:12:45,530 Suze: Depending on what happens with natural disasters, the insurance companies, 179 00:12:45,580 --> 00:12:47,260 Suze: and interest rates. 180 00:12:48,609 --> 00:12:52,010 Suze: If you need to rent, then rent. 181 00:12:52,799 --> 00:12:58,520 Suze: Owning a home is not the key to absolutely being 182 00:12:58,520 --> 00:12:59,789 Suze: financially secure. 183 00:13:00,690 --> 00:13:04,939 Suze: Now I get that many of you think it's the key. 184 00:13:04,950 --> 00:13:09,709 Suze: In fact, not so long ago I was interviewed on 185 00:13:09,710 --> 00:13:14,069 Suze: a podcast that most likely will never air because I 186 00:13:14,070 --> 00:13:17,590 Suze: kind of disagreed with the interviewer on almost everything. 187 00:13:18,419 --> 00:13:23,669 Suze: But she was asking me about younger people today and 188 00:13:23,669 --> 00:13:26,739 Suze: how they'll never be able to afford to buy a home, 189 00:13:26,909 --> 00:13:27,909 Suze: and I said, yeah. 190 00:13:28,690 --> 00:13:31,429 Suze: And she said, well, what can they do? And then 191 00:13:31,429 --> 00:13:34,549 Suze: I gave her my typical example that you've heard me 192 00:13:34,549 --> 00:13:37,429 Suze: say a million times, where they could open up a 193 00:13:37,429 --> 00:13:42,069 Suze: Roth IRA when they're in their 20s, put $100 a 194 00:13:42,070 --> 00:13:43,059 Suze: month away. 195 00:13:43,559 --> 00:13:48,640 Suze: Every single month from like 25 to 65 and with 12% 196 00:13:48,640 --> 00:13:52,200 Suze: annual average rate of return in the stock market which 197 00:13:52,200 --> 00:13:57,159 Suze: is absolutely possible over all that period of time remember 198 00:13:57,679 --> 00:14:01,000 Suze: an annual average rate of return everybody is not. 199 00:14:01,354 --> 00:14:04,875 Suze: Interest rate, not like you lock in 12%. Markets go 200 00:14:04,875 --> 00:14:08,554 Suze: up 30% 1 year, down 40%, whatever it is, but 201 00:14:08,554 --> 00:14:11,473 Suze: over a long period of time it can average, let's 202 00:14:11,474 --> 00:14:16,744 Suze: say 12% annually when you average it over 40 years. 203 00:14:17,034 --> 00:14:18,755 Suze: I said they'd have a million dollars. 204 00:14:19,530 --> 00:14:22,940 Suze: And in a Roth IRA that's tax free. If they 205 00:14:22,940 --> 00:14:24,820 Suze: put in more than that, I think if they were 206 00:14:24,820 --> 00:14:27,859 Suze: able to put in $300 a month or $500 a 207 00:14:27,859 --> 00:14:31,669 Suze: month or whatever it may be, and she says to me, 208 00:14:32,020 --> 00:14:34,559 Suze: but Suze, what good's that gonna do them if they 209 00:14:34,559 --> 00:14:35,570 Suze: don't have a home? 210 00:14:36,599 --> 00:14:40,989 Suze: And that's where our disagreement started, which was, are you 211 00:14:40,989 --> 00:14:45,070 Suze: telling me you rather have them own a home than 212 00:14:45,070 --> 00:14:48,979 Suze: have a million dollars or $5 million in a retirement account? 213 00:14:49,320 --> 00:14:52,260 Suze: And she essentially was like, yeah, without owning a home, 214 00:14:52,390 --> 00:14:55,299 Suze: what good is that money going to do them? She 215 00:14:55,299 --> 00:14:59,900 Suze: actually said that to me, OK, she actually said that 216 00:14:59,900 --> 00:15:00,270 Suze: to me. 217 00:15:00,719 --> 00:15:04,630 Suze: Well, the interview was totally downhill from that point on. 218 00:15:04,840 --> 00:15:08,520 Suze: The point of why I'm telling you this is I 219 00:15:08,520 --> 00:15:12,799 Suze: don't want your dream to be you have to be 220 00:15:12,799 --> 00:15:18,559 Suze: a homeowner in order to be financially independent. You do not. 221 00:15:19,330 --> 00:15:23,969 Suze: You simply have to live a life where you have 222 00:15:23,969 --> 00:15:27,830 Suze: an emergency account. You have a big retirement account, you 223 00:15:27,830 --> 00:15:32,169 Suze: have things you're totally out of debt. You're living below 224 00:15:32,169 --> 00:15:36,049 Suze: your means but within your needs, and you may be 225 00:15:36,049 --> 00:15:36,849 Suze: a renter. 226 00:15:37,669 --> 00:15:41,340 Suze: Now when you're a renter, there's really nothing wrong with that, 227 00:15:41,590 --> 00:15:44,989 Suze: and that may become the wave of the future. I 228 00:15:44,989 --> 00:15:47,299 Suze: don't know if it will or it won't. 229 00:15:48,090 --> 00:15:52,419 Suze: But the truth of the matter is before you buy 230 00:15:52,419 --> 00:15:54,570 Suze: a piece of real estate today. 231 00:15:55,429 --> 00:16:00,369 Suze: You seriously need to think twice about it if you 232 00:16:00,369 --> 00:16:04,140 Suze: can afford it. I went back and I just thought 233 00:16:04,140 --> 00:16:06,549 Suze: it would be interesting to see. 234 00:16:07,580 --> 00:16:12,219 Suze: If people are happy that they bought a house a 235 00:16:12,219 --> 00:16:16,349 Suze: year or two ago and there is a house power 236 00:16:16,349 --> 00:16:20,140 Suze: report which is a survey of US homeowners that has 237 00:16:20,140 --> 00:16:26,150 Suze: a very revealing insight to the challenges of home ownerships 238 00:16:26,419 --> 00:16:29,570 Suze: as well as their priorities in the years to come. 239 00:16:29,820 --> 00:16:32,500 Suze: I just want to read you this because it's important 240 00:16:32,500 --> 00:16:33,859 Suze: that you understand. 241 00:16:34,309 --> 00:16:37,429 Suze: You can always do something, but once you've done it, 242 00:16:38,059 --> 00:16:40,000 Suze: all right, are you gonna be happy you did it 243 00:16:40,000 --> 00:16:40,710 Suze: or not? 244 00:16:42,059 --> 00:16:42,650 Suze: So 245 00:16:43,390 --> 00:16:51,909 Suze: 83% of the homeowners had to deal with unexpected repairs 246 00:16:51,909 --> 00:16:52,859 Suze: last year. 247 00:16:53,539 --> 00:16:59,309 Suze: And that is up from 46% in the year 2023. 248 00:17:00,419 --> 00:17:07,389 Suze: What were those unexpected repairs, water damage, roof damage, window 249 00:17:07,390 --> 00:17:11,040 Suze: or door issues were the most common everybody of all 250 00:17:11,040 --> 00:17:17,310 Suze: the problems. Now about half of that 83% of homeowners 251 00:17:17,719 --> 00:17:27,630 Suze: spent $5000 out of pocket on unexpected home repairs in 2024. 252 00:17:28,319 --> 00:17:33,219 Suze: And obviously I want you to pay attention to that 253 00:17:33,680 --> 00:17:38,869 Suze: because the other thing is if something happens you have 254 00:17:38,869 --> 00:17:42,270 Suze: water damage you have roof damage and you make a 255 00:17:42,270 --> 00:17:47,000 Suze: claim to your insurance company if you make a claim, 256 00:17:47,349 --> 00:17:51,218 Suze: chances are your insurance company is going to drop you. 257 00:17:51,959 --> 00:17:56,310 Suze: I was told because we had water damage in our 258 00:17:56,310 --> 00:18:00,270 Suze: condo from a leak in a pipe that if I 259 00:18:00,270 --> 00:18:03,030 Suze: made a claim they would cover the claim but they 260 00:18:03,030 --> 00:18:06,310 Suze: would absolutely drop me and if they drop you good 261 00:18:06,310 --> 00:18:10,069 Suze: luck getting insurance anywhere. I just want you to think 262 00:18:10,069 --> 00:18:10,899 Suze: about that. 263 00:18:11,479 --> 00:18:15,290 Suze: So why am I telling you? Because you have to 264 00:18:15,290 --> 00:18:18,909 Suze: have now when you buy a home, given what's happened 265 00:18:18,910 --> 00:18:23,979 Suze: with insurance that you have to have a maintenance fund 266 00:18:23,979 --> 00:18:27,510 Suze: for your home besides an emergency account for yourself, you 267 00:18:27,510 --> 00:18:33,150 Suze: need one for your home for unexpected damages, so you 268 00:18:33,150 --> 00:18:36,109 Suze: better at least when you buy a home, be able 269 00:18:36,109 --> 00:18:39,020 Suze: to put $300 to $400 a month. 270 00:18:39,589 --> 00:18:43,729 Suze: In a maintenance fund for repairs when something goes wrong 271 00:18:43,729 --> 00:18:46,040 Suze: with that home so you don't have to make a 272 00:18:46,040 --> 00:18:51,149 Suze: claim on your insurance just saying everybody, then it's always 273 00:18:51,150 --> 00:18:55,300 Suze: interesting to me when somebody buys a home, do they 274 00:18:55,300 --> 00:18:56,939 Suze: have regrets? 275 00:18:57,810 --> 00:19:05,030 Suze: The study found out that 73% of homeowners expressed regret 276 00:19:05,469 --> 00:19:09,800 Suze: about their home purchase in 2024. 277 00:19:10,619 --> 00:19:13,979 Suze: Did you hear what I just said, and what was 278 00:19:13,979 --> 00:19:20,010 Suze: their number one regret? Unexpected maintenance issues. 279 00:19:21,790 --> 00:19:22,489 Suze: All right. 280 00:19:23,510 --> 00:19:27,119 Suze: Think about that. What's interesting is that. 281 00:19:28,010 --> 00:19:34,689 Suze: 59% of those homeowners who expressed regrets are saying they 282 00:19:34,689 --> 00:19:38,238 Suze: plan to move in 2025 and just get out of it. 283 00:19:39,050 --> 00:19:43,889 Suze: There's a saying of learn from other people's mistakes rather 284 00:19:43,890 --> 00:19:46,439 Suze: than you experience it on your own. 285 00:19:47,319 --> 00:19:50,770 Suze: Obviously I'm still an advocate of home ownership. 286 00:19:51,540 --> 00:19:59,459 Suze: But only, only if you can afford it, just that simple, everybody. 287 00:20:00,209 --> 00:20:04,010 Suze: Let's talk a little bit about the stock market and 288 00:20:04,010 --> 00:20:07,969 Suze: really what I hoped you learned the past week or two. 289 00:20:08,829 --> 00:20:13,400 Suze: It is very, very important that when you are investing 290 00:20:13,400 --> 00:20:15,030 Suze: in the stock market. 291 00:20:16,000 --> 00:20:21,310 Suze: That you absolutely are doing it with dollar cost averaging 292 00:20:21,310 --> 00:20:26,270 Suze: doing little by little over time and taking advantage of 293 00:20:26,270 --> 00:20:30,959 Suze: when a stock that's a great stock happens to tank. 294 00:20:31,390 --> 00:20:36,879 Suze: Now one of my favorite stocks out there is IONQ, 295 00:20:37,069 --> 00:20:40,310 Suze: which is a quantum computing company. 296 00:20:41,040 --> 00:20:44,389 Suze: And I gave you that stock a week or so 297 00:20:44,390 --> 00:20:47,589 Suze: ago for a long term hold, and I said to 298 00:20:47,589 --> 00:20:50,420 Suze: everybody when I gave you a list of the stocks 299 00:20:50,750 --> 00:20:55,420 Suze: that when they go down you need to buy more. 300 00:20:56,300 --> 00:21:01,300 Suze: So news came out by the CEO of NVIDIA where 301 00:21:01,300 --> 00:21:05,979 Suze: he said people have quantum computing wrong and it's gonna 302 00:21:05,979 --> 00:21:10,099 Suze: be 30 years before you can see profits with quantum 303 00:21:10,099 --> 00:21:17,530 Suze: computing and when he said that IONQ immediately went down 304 00:21:17,530 --> 00:21:23,390 Suze: almost 50%. It tanked on January 6th it was at 305 00:21:23,390 --> 00:21:25,829 Suze: about $51 a share. 306 00:21:26,390 --> 00:21:30,050 Suze: And then before you knew it on January 8th, it 307 00:21:30,050 --> 00:21:34,930 Suze: was at like $30 a share. It went down bam. 308 00:21:35,880 --> 00:21:40,000 Suze: Just on that news, I, on the other hand, as 309 00:21:40,000 --> 00:21:43,439 Suze: soon as it went down, what did I do? I 310 00:21:43,439 --> 00:21:47,959 Suze: went in and I bought more. Since that time, it 311 00:21:47,959 --> 00:21:51,920 Suze: has come back to about $40 a share, but for 312 00:21:51,920 --> 00:21:55,198 Suze: many of you you wrote me and you said, Suze, 313 00:21:55,280 --> 00:21:59,829 Suze: this stock is down almost 50%. Now what do I do? 314 00:22:00,040 --> 00:22:03,599 Suze: You are not to be paralyzed like that, people, if 315 00:22:03,599 --> 00:22:05,439 Suze: you do own a stock. 316 00:22:05,989 --> 00:22:09,310 Suze: That's a good quality stock and it happens to go 317 00:22:09,310 --> 00:22:11,869 Suze: down on the news of others. 318 00:22:13,099 --> 00:22:17,979 Suze: Guess what? Just buy more. So I felt like I 319 00:22:17,979 --> 00:22:21,579 Suze: was given a gift by being able to get into 320 00:22:21,579 --> 00:22:26,300 Suze: that stock again when it was down so much. So 321 00:22:26,300 --> 00:22:31,209 Suze: even the indexes, everybody at one point last week or 322 00:22:31,209 --> 00:22:35,859 Suze: whenever it was now went down significantly hundreds and hundreds 323 00:22:35,859 --> 00:22:40,420 Suze: of points. Then the next day, the day after, it 324 00:22:40,420 --> 00:22:41,698 Suze: went back up again. 325 00:22:42,060 --> 00:22:45,420 Suze: So what did I tell all of you? I told 326 00:22:45,420 --> 00:22:48,569 Suze: you that this year is going to be a year 327 00:22:48,569 --> 00:22:54,290 Suze: of extremes up and extremes down, and your job is 328 00:22:54,540 --> 00:22:58,540 Suze: to take advantage of the extreme downs, not to sell. 329 00:22:59,260 --> 00:23:03,930 Suze: But to take advantage of the extreme downs by having 330 00:23:03,930 --> 00:23:07,569 Suze: enough cash on hand so you don't put all your 331 00:23:07,569 --> 00:23:10,569 Suze: money to work at once that you have to invest 332 00:23:10,569 --> 00:23:14,729 Suze: in the market, including your retirement accounts you have enough 333 00:23:14,729 --> 00:23:18,329 Suze: on the sidelines so when you have these extreme downs 334 00:23:18,329 --> 00:23:21,000 Suze: you're able to go in and pick up a little more. 335 00:23:22,180 --> 00:23:24,959 Suze: Not a whole lot more, but a little more because 336 00:23:24,959 --> 00:23:28,040 Suze: you never know it could continue to go down up 337 00:23:28,040 --> 00:23:31,800 Suze: down up down. So this is the year that you 338 00:23:31,800 --> 00:23:38,459 Suze: are to buckle in and expect extreme ups and extreme downs, 339 00:23:38,469 --> 00:23:43,310 Suze: and that's even true with Bitcoin. Now, as I told you, 340 00:23:43,439 --> 00:23:46,119 Suze: I thought it was very possible that Bitcoin could go 341 00:23:46,119 --> 00:23:49,989 Suze: back down support level of 87, so it went down 342 00:23:49,989 --> 00:23:51,719 Suze: to about 90,000. 343 00:23:52,140 --> 00:23:54,060 Suze: All right, you could have picked up a little bit there. 344 00:23:54,140 --> 00:23:58,780 Suze: It's back up like at 104,000, but even Bitcoin and 345 00:23:58,780 --> 00:24:02,629 Suze: everything is going to be going up and down, just 346 00:24:02,630 --> 00:24:05,900 Suze: so you know. Now gold. 347 00:24:06,699 --> 00:24:09,800 Suze: Gal looks like it is all staged and ready to 348 00:24:09,800 --> 00:24:15,540 Suze: possibly break out to go up to about 3000 and beyond, 349 00:24:15,859 --> 00:24:18,979 Suze: so we'll have to see what that happens. But the 350 00:24:18,979 --> 00:24:23,139 Suze: point of me telling you all this is that everything 351 00:24:23,140 --> 00:24:28,500 Suze: has a cycle where it goes up, down, up, down, up, down. 352 00:24:29,479 --> 00:24:33,060 Suze: Your job when it comes to investing and things you 353 00:24:33,060 --> 00:24:34,109 Suze: need to do. 354 00:24:34,770 --> 00:24:37,640 Suze: Is to know what you want to own. 355 00:24:38,540 --> 00:24:41,420 Suze: Know why you want to own it. 356 00:24:42,229 --> 00:24:47,780 Suze: And then stick with it, just stick with it. Don't 357 00:24:47,780 --> 00:24:51,859 Suze: get afraid just stick with it, but take advantage of 358 00:24:51,859 --> 00:24:58,290 Suze: it when it goes down by $1 cost averaging, OK, 359 00:24:59,020 --> 00:25:03,780 Suze: so this podcast today is really about. 360 00:25:04,689 --> 00:25:06,739 Suze: Just take your time right now. 361 00:25:07,750 --> 00:25:11,890 Suze: Before you buy anything from real estate to stocks to 362 00:25:11,890 --> 00:25:18,399 Suze: exchange traded funds, understand how these markets are working now 363 00:25:18,400 --> 00:25:21,930 Suze: understand how real estate and the cost of owning real 364 00:25:21,930 --> 00:25:27,969 Suze: estate is seriously changing, seriously changing everybody. 365 00:25:28,699 --> 00:25:33,099 Suze: And understanding why you wanna do what you wanna do, 366 00:25:33,449 --> 00:25:39,530 Suze: please do not let emotions rule what you do. 367 00:25:40,599 --> 00:25:45,159 Suze: Got that everybody just think about that. All right, so 368 00:25:45,160 --> 00:25:48,790 Suze: until Thursday when Ms. Travis joins us again on another 369 00:25:49,079 --> 00:25:53,959 Suze: Ask KT and Suze anything. There's just a few things 370 00:25:53,959 --> 00:25:57,239 Suze: that I want you to remember. The overall theme of 371 00:25:57,239 --> 00:26:02,439 Suze: this podcast this year is to make your money, make 372 00:26:02,439 --> 00:26:03,280 Suze: more money. 373 00:26:04,739 --> 00:26:10,619 Suze: As well as never forget that if we work together 374 00:26:11,270 --> 00:26:14,619 Suze: we will rise bye bye now.