Should I sell some investments to make payments easier for a new mortgage?
I am about to purchase a condo from someone in my family. They are selling it to me for 78% of the appraised value so that I do not have to pay mortgage insurance. So, even if I sold it the day after I bought it, I could potentially make about 50,000. I am certain that my boyfriend and I will be able to make the mortgage payments on the house, but it will be tight. I have some money in investments, I was planning on not using any of the money until retirement, but should I use some of the investment money to go towards the home purchase so I don’t have to pay so much in the loan? Or should I just take out a certain amount, say $ 1,000 to have in a quick cushion account, in case I need to use 1 or $ 200 to help pay for mortgage? Over the past 12 years I have been getting a 12% return on my investments, which is GREAT. I’m not sure I will get anything close to this by putting the money into this house, except for the fact that I am getting the place for 78% of the apprised value. Thoughts?