I own a place which doubled its value.. the bank is offering me to invrease my existing mortgage by 500k and pay Sarom (i.e. 350-400 chf return a month).
While this is a cheap money source, I’m struggling to have an investment strategy; for sure, I can’t risk my caputal and end in a debth situatiom (so “put ot on the SnP” is not an option). I rhought about buying a small place and renting it, but it gives me 2.5% net return..or US honds (but then I’m exposed to forex).
Any idea is more than welcome.
Thank you
I would not take debt you don’t need. Esp. short term debt that can increase in rate at any time.
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I’ll assume if you’ve owned a place long enough for the value to double, you are close enough to retirement that you need to reduce both debt and capital risk exposure.
Why not open something like an IB account and invest what you would additionally pay in mortgage into ETFs? You could even do CHF Bond ETFs like CSGBC0 for fixed income.