BILL CHERRY'S GREATEST DALLAS PARK CITIES REAL ESTATE BLOG: DADDY'S RULES FOR SECURING HIS FAMILY'S FUTURE

DADDY'S RULES FOR SECURING HIS FAMILY'S FUTURE

PART 1 - THE PREFACE AND PRINCIPALS

This coming Friday, we all have the opportunity to correct our financial indiscretions and begin methodically securing our financial futures.  Friday is the beginning of the New Year of 2010.

My daddy, William W. Cherry, passed away unexpectedly twenty-nine years ago; in fact on December 19th.  He would have been 72-years old the following February 7th.

I'm telling you that because it will put this into prospective: 1) my daddy was always a salaried employee, 2) he became a millionaire, and 3) starting from scratch, he accomplished his financial goal by following these rather uncomplicated rules:

  1. Save at least 10% of your gross income
  2. Know about, understand, and use the principal of Dollar Cost Averaging
  3. Intellectually know that you don't have a profit or a loss in an investment until you sell it.
  4. Secure your family's well-being and your retirement income stream with life insurance annuities
  5. Pay off the mortgage on your home as quickly as you can
  6. Accumulate a portfolio of income producing real estate
  7. Diversify

Over the next few days, I'm going to take each of these seven "rules" and explain why Daddy made them his rules.  Interestingly, it is empirical that his formula works, and that it can work without taking extraordinary risks.

BILL CHERRY, REALTORS

DALLAS - HIGHLAND PARK

Our 45th Year

214 503-8563

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6 comments • BILL CHERRY • December 28 2009 07:05AM

Comments

Good advice in this list. Number three is a difficult one for most.

Posted by Gary L Waters PLLC-Realtor Viera Suntree Melbourne Rockledge Brevard County FL (Century 21 Baytree Realty, 1211 Admiralty Blvd, Rockledge) 7 months ago

This is solid advice for any man to follow. Great stuff

Posted by Harry F. D'Elia, Investor , Mentor, CSSN Radio Coach, REOs, Networker, ePRO (HomeSmart International) 7 months ago

Thanks, Gary and Harry --

I personally followed the "New Breed" investment strategy rather than Daddy's.  The "New Breed" investment strategy is what most of these "financial planners" preach.

It was a dumb decision, and I now understand why.

Posted by BILL CHERRY (BILL CHERRY, REALTORS - DALLAS) 7 months ago

Bill,

Your dad was a very wise man.  Great list and look forward to you breaking down each of the seven points.

Posted by Richard Weeks, REALTOR®, Broker Associate, GRI, ePRO, eAgent (Bill Griffin Real Estate) 7 months ago

Bill, your Dad is a smart and wise man. There are some good lessons to be learned here. Thanks and Happy New Year!

Posted by Michael Setunsky (Michael's Commercial LLC) 7 months ago

Hi Bill... it sounds like your dad was a smart man.  I guess the apple didn't fall far from the tree!

Posted by Steve Shatsky, SFR - Dallas Real Estate & Short Sale Specialist (469)449-9840 (Prudential Texas Properties) 7 months ago

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