How I’ll Spend $2 Million Dollars
After selling my primary residence in California for almost $1 million over asking price, I received over $2 million in cash from the sale. I can’t let that amount of cash just sit around idly; it’s always best to put money to work so it continues to earn more on your behalf. In this blog post, I will share what my plans are for the $2 million. And no. I’m not going to gamble it all away in crypto!
What's A Better Investment: Primary Residence or Stocks?
Normally, a primary residence should not be considered an investment unless you house hack and rent out part of the home while you live in it or you end up selling the home. In the house hacking scenario, your primary residence acts like an investment because renting out a portion of your home could certainly reduce your housing costs. Better yet, if done right, it could even net you a profit!
If you end up selling your primary residence, the home acts like an investment because you will hopefully yield some capital gains after building equity for many years. Plus, selling your primary residence has a nice tax perk where you can exclude up to $250K (single) or $500K (married) of the capital gains from taxes! The latter scenario is what my partner and I recently did when we sold our home in California for nearly $1 million over asking. So how does our primary residence as an investment compare with, say, the stock market? Let’s dive into the numbers today and find out!
Selling My Silicon Valley Home For Nearly $1 Million Over Asking
In 2015, my partner and I bought our first home together in Silicon Valley, California. Our home was zoned for some of the best schools in the country, so the plan was to live in the house at least until our (future) child would finish high school. Never in our dreams did we even think of selling our home just 7 years later and relocating to another state. But plans change and my partner and I are the type of people who know how to pivot when it makes sense. So today, I will share how we sold our home for nearly $1 million over the asking price!
What It's Like Living in Texas as a California Native
Moving from California to Texas was not an easy decision. After all, my entire family is California-native. Nevertheless, after much research and planning, we firmly believe we made the right decision to relocate to Dallas at the end of last year. After living in Dallas for about 2 months now, I wanted to share some of my observations about the area and how it contrasts with California. Many of them were expected, but not everything!