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Should I stay or should I go?


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a pal of mine sold up at the last recession (90)s, sold his house and had 250,000 in his fist .

since then despite working as a teacher he has spent most of it .

he thought he would be set up for a long time but now he is low on funds .

it can go very quickly .


stickman covered this fairly recently . on how much you need now considering the low exchange rates etc


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Banking on capital appreciation on your house is a big risk. When you plan for retirement, you should systematically remove risk from your portfolio. That means if your house is a huge chunk of your portfolio, you are rolling the dice. Also, a rent payment isn't the same as an interest coupon as there are other costs associated with a house like taxes, maintenance, and the occasional disaster.


If you are planning to retire in LOS, you should be converting your holdings into thai baht generating assets. Or else you roll the dice with exchange rates. There is an awful lot of sterling printed that hasn't made it into the public yet (still being hoarded by banks). The Bank of England will have to reverse all those actions when the market turns around but if it cannot mop up that extra liquidity, or takes a permanent loss on their direct purchases, it will mean domestic inflation. What it boils down to is that if the BOE's recent actions prove to be over aggressive in retrospect, we would expect continued depreciation pressure against all currencies.

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