<p>Not a bad idea Venado. But, is it difficult to transfer as a junior?</p>
<p>Little cricket, you make too much noise. Do you not see that owning is better than renting. Owning gives you the ability to charge rent and thereby making what you own even more valuable. </p>
<p>My story is that with the same amount of money; You can either buy a piece of the bank or you and lend to the bank, or spend it. </p>
<p>The second part of the story is more hidden. What ever decision you make in the sentence above, will have very, significant affect later on. This decision is analogous to the decision the kids are making today, for college next year, their career after college, where they will live, how will they live, who they will live with, and all the other rest of college baggage. </p>
<p>So looking at year 2000. If you invested the money, today, you may be even or behind or even ahead of what you started with. Doesn't matter since you'd have some money to answer the OP. And if you lost all the money in a bad investment, you'd be one more person looking for scarce merit aid and increased borrowing costs. </p>
<p>If you spent the money in 2000, what do you show for it today? </p>
<p>Perhaps even an better question for the OP to ask: What would happen if I, don't go to college? Maybe its better to make an investment today for the future. And even if the future does not come to pass with a college degree, at least you tried. </p>
<p>Unfortunately, most people don't try.</p>
<p>Audiophile: I too got too greedy in 2000. In 2000, I sold off my elderly Mom's MF but not mine, wife or kid's. Now, I probably have swung too much the other way. But it has worked out in the last 5 years, and all is nearly well.</p>
<p>Unfortunately, 10% and 12% rates of return are probably a thing of the past despite the fact that they are still constantly cited. Probably 4% would be more accurate. And given the fact that we've allegedly had average rates of return of 10% historically, we had a run of years with 20+% of return which would mean we might actually have negative rates of return over the next 20 years.</p>
<p>You can do better than 4% with treasuries and munis right now at little to no risk if held to maturity. MFs and ETFs remain to be seen, but unlikely for the average investor to get 10-12% long term.</p>
<p>Hell, ING will give you almost 5% on a CD.</p>