Today, I want to talk about something critical to your financial future: the time value of money. What this means is that a dollar today is more important than a dollar in your future. A dollar today can help you purchase what you need right now, as opposed to the dollar coming later.
Most people rarely think about the time value of money, which is why seller financing is actually possible. This way we can schedule out our payments for ten, twenty, even thirty years out, and the dollar will actually be worthless as the value continues to fall.
But why would someone opt to take payments over thirty, forty, or fifty years? Well, the buyer will have smaller payments, which means more interest. For someone like me with a large family and grandchildren, this works well for me personally so my family continues to receive income in the future when I’m gone.
I would recommend that you purchase a financial calculator app, specifically the Hewlett Packard 10bii. Keep that on your phone at all times so you never have to carry another bulky piece of technology.
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Good Luck and Happy Investing!