Author Topic: question about TIAA-CREF representative  (Read 1077 times)

clarkfan1979

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question about TIAA-CREF representative
« on: February 15, 2015, 07:13:41 AM »
This happened 3 years ago and I have not been able to figure it out on my own searching through the internet. I have a 401K with my employer and I can meet with representatives from TIAA-CREF without having to pay a fee. I thought they only focused on the 401K, but they also ask about other investments so I guess that they are a quasi-financial planner too. I told them that I currently have 1 rental house and plan to have 5-10 rental properties by age 60.

The TIAA-CREF representative asked me when the money from those investments will run out. I struggled with the question because I told her than I consider the income from rental properties to be infinite. She said that I had to pick a number so we settled on age 90 because I only plan to live until 80-85.

Why do they ask you when the money from other investments will run out? It doesn't make any sense to me. 

begood

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Re: question about TIAA-CREF representative
« Reply #1 on: February 15, 2015, 10:03:05 AM »
Maybe because at some point you could be unable to continue to manage the properties and will choose to sell them? Then you would not have any steady income coming in.

My mom had a handful of rental properties. When she died, my dad didn't want to have anything to do with managing them - not even dealing with the property management company. So he chose to sell them and therefore didn't get rental income from them. He was in his early 80s at that point and decided he didn't want the responsibility of ownership.