Dear Dave,
What is your opinion of buying a vacation home, then renting it out when you’re not there?
J.P.
Dear J.P.,
I see nothing wrong with it, as long as you’re buying with cash and you’re also debt-free. A vacation home is a wonderful “extra” as you start building wealth. Remember though, it’s still basically a very large, very expensive toy. In most cases it will go up in value, and if you rent it, it might become something of a money maker for you.