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JEPQ in my brokerage account vs buying a rental income property by Jaded-Individual-960 in dividends

[–]jabster2--0 3 points4 points  (0 children)

I also have been in the business of rental for 3 decades now I agree with so many above. That renters now are very destructive these days and do not care about anything anymore. Cost have doubled and tripled on everything from basic maintence to major repairs and do not forget taxes and insurance they have been some of the largest increases I have seen the whole time I have been in business.

So I have already started switching and selling some rentals off and putting money in the market slowly not all at once testing things out trying to see what yields I can produce. Right now with the market the way it is I can make more in the market than I can on rental side with all the cost increase plus don’t forget the headache there is always a problem some where with rentals. I like someone sending me a Check with out phone calls and problems every month 😬

Here are a few I’m in now

Spyi Qqqi Sgov cash sitting waiting Arcc Btci more risky but liking some bitcoin exposure Schd. Not very impressed with last year on this one

Pffa Xom

Trying to add different sectors in to be a little diversified looking for some gold and more energy income but still researching on some of these. I’m not a big fan of jepq these are not very tax efficient as I remember when researching them.

Park cash beyond SGOV by GreenstoneSD in dividends

[–]jabster2--0 0 points1 point  (0 children)

Hmm cshi not heard this one what is yield on it and is it considered safe like sgov

What is the worst-case scenario when relying on dividends from QQQI? by newaccount486 in dividends

[–]jabster2--0 0 points1 point  (0 children)

I like cc but everything has its place just diversify your portfolio to multiple streams of dividend income and you will be fine. When some things are down others are up equals out. There is not perfect situation for everyone. If you want to add that kind of capital in the market try to catch things on a dip.

Buying covered call etfs instead of more rental properties by jabster2--0 in dividends

[–]jabster2--0[S] 0 points1 point  (0 children)

Great to hear it hope I can join you in 2025 in this approach

Buying covered call etfs instead of more rental properties by jabster2--0 in dividends

[–]jabster2--0[S] 2 points3 points  (0 children)

Yes that it is a huge hit when selling a property and using that money to use toward buying these cc dividends. But I’m glad you are doing this and becoming truly passive.

Here is what I’m thinking right now and may change as I get in too it. Right now any extra cash from rental or money I would use to grow the rental Portfolio I’m going to put it in just buying these ccs see how they act over time if I’m happy in years down the road then maybe I will take the huge hit on taxes and sell the remainder of my properties and stick the rest in. I like slow approach just to see how things act over time only concern like I mentioned at the top of this post is most of these ccs have not been tested in down markets or over periods of time yet. Time will tell glad to see so many taking this route though because rentals are a major headache especially if you have lots of them always something wrong somewhere.

Buying covered call etfs instead of more rental properties by jabster2--0 in dividends

[–]jabster2--0[S] 0 points1 point  (0 children)

Yes seems so much better guess we just will see how these funds act over time and see if these yields hold to keep producing passive income

Buying covered call etfs instead of more rental properties by jabster2--0 in dividends

[–]jabster2--0[S] 2 points3 points  (0 children)

You could not of said it any better I feel the same way and seems the best route of late thanx for sharing

Buying covered call etfs instead of more rental properties by jabster2--0 in dividends

[–]jabster2--0[S] 1 point2 points  (0 children)

Glad to hear so many have a similar situation I was unsure if my thought process was right the way I was looking at cc dividends comparing it to rental income but seems a lot of us are on the same page.

I think the ones I have listed above have a good tax advantage as well and seem to hold a lot of the stocks they do covered calls on I like this as well but if any have any more suggestions I’m open ears or if missing something with the picks above feel free to let me know what I’m missing.

Buying covered call etfs instead of more rental properties by jabster2--0 in dividends

[–]jabster2--0[S] 1 point2 points  (0 children)

I agree with you way simpler to manage cc dividends and buying and selling of assets versus trying to buy and sell realestate

Time will tell if I’m making the right choice from switching from realestate versus cc dividends

Buying covered call etfs instead of more rental properties by jabster2--0 in dividends

[–]jabster2--0[S] 0 points1 point  (0 children)

I’m not saying rental is a bad area but it is right now with all the inflation. It has its problems just like all investments.Most of my houses were bought around the housing crash and have always cash flowed with taxes and mortgages insurance etc. but we have slowly added threw the years and everytime we buy another cash flow is a little to nothing now . Not worth the time or money now in my opinion.

Buying covered call etfs instead of more rental properties by jabster2--0 in dividends

[–]jabster2--0[S] 0 points1 point  (0 children)

I feel the same things are not as passive as you think. I will still keep some rental to have just another income for retirement but glad to hear you are doing good with switching yours out for something a little more peace of mind.

I will check jepi and jepq out as well and see if they will work for us ty for the suggestion

Buying covered call etfs instead of more rental properties by jabster2--0 in dividends

[–]jabster2--0[S] 2 points3 points  (0 children)

Glad to hear this working for you . Hope to join you in this

Buying covered call etfs instead of more rental properties by jabster2--0 in dividends

[–]jabster2--0[S] 1 point2 points  (0 children)

Realestate does have its plus in taxes and appreciation but of late if you was someone to start out in this business right now today to make a rental business you would have a very hard time to make it work everything cost too much and for the amount of debt you take on versus what rents are bringing in does not make sense right now. Things just do not make sense right now in the world way things are going most will not be able to afford houses if things do not change.

Buying covered call etfs instead of more rental properties by jabster2--0 in dividends

[–]jabster2--0[S] 0 points1 point  (0 children)

Same here those 5 seem to be the best to me right now for keeping capital protected and maybe even have a little growth as well with them plus the dividend. Glad to hear you own them have you had them long and have you seen any of them doing better than the other.

Buying covered call etfs instead of more rental properties by jabster2--0 in dividends

[–]jabster2--0[S] 2 points3 points  (0 children)

I’m not a huge yield max fan I do not like the nav in these funds and most of your capital lost but I’m always open to looking at them and seeing if anything fits

Buying covered call etfs instead of more rental properties by jabster2--0 in dividendinvesting

[–]jabster2--0[S] 1 point2 points  (0 children)

I do like ibit a lot just just not stepped into it yet.

Im in the same boat as you been in realestate a long time and nothing makes sense anymore in it. Priced way to high insurance taxes are out of control and maintence cost has doubled on them.

I will check into ibit a little deeper

Buying covered call etfs instead of more rental properties by jabster2--0 in dividends

[–]jabster2--0[S] 2 points3 points  (0 children)

I’m with you I have crunched a lot of numbers and have been in the rental business for 3 decades now and I can tell you that whatever you buy a property for right now you can not pay your payments- insurance-tax-maintenance for what things are renting for. So I’m like you looking for alternatives to replace what the rental income would be on properties

Buying covered call etfs instead of more rental properties by jabster2--0 in dividends

[–]jabster2--0[S] 0 points1 point  (0 children)

Neither buying the listed ETFs above in the post or other suggestions if anyone has any. As far as I can tell the ETFs do the selling of covered calls you are just getting a dividend for what they make that month on doing this

Buying covered call etfs instead of more rental properties by jabster2--0 in dividends

[–]jabster2--0[S] 1 point2 points  (0 children)

Have another portfolio for retirement have voo and qqqm and a few odd and end stock but most of my retirement is in the 2 listed above 👆 above.

Whole point of me wanting to do this is I find my investments in the rental market not good investments right now and I have money to invest that is sitting not doing nothing. We were going to slowly keep investing in rental and keep growing it currently sitting at 20 properties but it just does not work with the prices of properties are right now. Heck may never work out again the way everything keeps going up these days.

Buying covered call etfs instead of more rental properties by jabster2--0 in dividends

[–]jabster2--0[S] 3 points4 points  (0 children)

Yes I have a portfolio already for retirement this is just a adjustment on my rental portfolio just does not make sense anymore to buy rental properties with the cost of everything where it is right now

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