Stock Market Bankroll
 

How much cash do you need to make some decent money in the stock market? If I have $400 to invest, would it be wise to get into the stock market, or is that just a waste of my time/money. Do you need like $10,000 to make it worth while?

And another question, say you had $5,000, would you invest in the Stock Market or would you invest in Real Estate?

Re: Stock Market Bankroll
 

$400= waste of time and money

What real estate will you be buying with $5,000?

Re: Stock Market Bankroll
 

im no authority in stock market investing whatsoever, but its apparent to me that you need at least 20k before considering investing in stocks. if you can sustain a 20% ROI over the course of a year you are one of the best investors on the planet, which means that if you have a 20k bankroll you would be earning 4k a year. unless you are investing other people's money, you need alot of money before you can begin earning a decent living.

take your 5k and invest in real estate. i wish you luck.

Re: Stock Market Bankroll
 

If you only have $5,000 you should probably invest it in something that will increase your yearly income such as education. Nothing has a higher ROI than a good book. Either that or just stick it in a low-risk interest bearing account, etc..., until you have enough to buy some property or start a business.

Re: Stock Market Bankroll
 

I'd use it as a poker bankroll and play until you have enough to make some decent money in the market.

Re: Stock Market Bankroll
 

[ QUOTE ]
What real estate will you be buying with $5,000?

[/ QUOTE ]

I'm talking about buying a condo, either a.) renting it out. or b.) fixing it up and trying to resell for a quick profit.

Re: Stock Market Bankroll
 

[ QUOTE ]
[ QUOTE ]
What real estate will you be buying with $5,000?

[/ QUOTE ]

I'm talking about buying a condo, either a.) renting it out. or b.) fixing it up and trying to resell for a quick profit.

[/ QUOTE ]

So would you try to do something like this with 5k or put it in the stock market?

In this example I would hope to make about $200 profit per month via renting a condo. Plus a property value increase per year of about 4% a year. So you could make a profit at about $3000 per year. (Yes I am not counting any refurbishing/upgrade costs.)

If you invest the 5k in the stock market and get a nice10% return you'd make only $500.

Agree? Disagree?

Re: Stock Market Bankroll
 

Let's say you had 500K instead of 5K. If you can make 3K per year buying a 5K condo, why not just buy 100 of these 5K condos and make 300K?

Re: Stock Market Bankroll
 

If you buy the condo I will bet you a drink your expenses will be about 2X what you planned. It might work out great. But figure on higher expenes and less profit than you have been.

Re: Stock Market Bankroll
 

Where can you buy a condo for $5,000?

Down the street from me a 1 bedroom is advertised in the "Mid 300's". Of course I dont live in the cheapest area...