Dear Rudy: I am borrowing $100,000 against my house for MAGIC

[@formantaudio]

lol damn I thought I was risking it all by buying a luminous moth instead of lunch last week

[@fsmoura]

You're in a good path, but you need to go bigger. What you want to do is do a buyout and buy 10,000 luminous moths.

[@Don-dk6dl]

LMAOOOOO

[@gunm808]

"Dear Rudy, should I invest money I don't have, leveraging property I don't own, to speculate on pieces of colored cardboard that might not have any value in the future?"

[@jonathantillian6528]

Yes, yes, yes. and an extra yes just in case.

[@randomsanctum]

@@brokengames9020 Broken Games is Broke n' Salty in plain sight.

[@dave3823]

How much different is that from some of the crap that hedge funds and Wall St are doing?

[@salmanchaudhri1493]

Well said

[@democratsaretrash9366]

Eh.. can't imagine buying a ton of boxes for resale and losing even 20% after interest. At worst you'll lose in the interest only. Chances are any sealed product will give you a 150% return on each box before interest. But like Rudy said.. to put up 100k to hopefully make 150k isn't worth the risk for the reward.

[@Ethan-pd7nu]

Next video: Dear Rudy, I lost everything and moved into my parent's house.

[@s_murph7299]

Jokes on you. I borrowed against that house too

[@Rorschachqp]

Parents’ house? HELOC II, Electric Boogaloo

[@jessoftherocks]

Basement..parents basement..and.its unfinished as well

[@lucaslahlum6331]

Ethan, my man. You got me to laugh so fricken hard. I was cackling.

[@MrDjLonghair]

@@s_murph7299 lolz. Yes buy all the Dragon mazes!

[@zerokidd21]

Just when you think the Timmys couldn't get any more timmier.... Awww shit here we go again.

[@Ecktor]

It’s a slow game yo

[@MrDjLonghair]

If I had a house to do that with.. lol ultimate Timmy!!

[@franciscoholdman929]

Ecktor fr💪🏽

[@randomsanctum]

@@brokengames9020 Broken Games is Broke n' Salty in plain sight.

[@siege_sensei]

Lmao @ Random Sanctum being so salty he's responding to Broken games on every post. He must have struck a nerve lmao

[@jonathantillian6528]

What?! My wife told me we could only use our heloc to remodel my kitchen and baths... I could've gotten _Magic Cards_ ? Oh, it's discussion time now...

[@silverwolf6866]

When you having people borrowing $100,000 against a house you know that is an indicator the top is near and peak fomo is upon us. It is like clockwork in every market.

[@cbrpnk1789]

Yes but is this pre-peak or peak-peak. Pre-peak we can still make money!

[@beerasaurus]

That's a solid Wolverine hair cosplay.

[@imGrisky]

You sir, are hilarious

[@Shutchohole]

He needs to cosplay some "Burns" to complete the look...

[@ericlecarde]

69 likes... don t you dare to give it another like

[@billescavava]

This is what you do. Borrow $100000 from the bank and invest it all in hard shell tacos. Remember it has to be hard shell. Then put them in a box and wait 2 to 3 years for your investment to mature. Then sell for massive profit. I heard from an inside taco distributor that tacos are going out of print later this year.

[@MrDjLonghair]

Legit!

[@jakubodvarka6912]

mmmmm, reserved list foil tacos. imagine the smell.

[@sodeep0791]

Regular or Nacho or should i get both to diversify?

[@michaelmontalto]

I thought this response was fair, well thought out, well articulated and good advice. Good stuff.

[@bennettniizawa7200]

It could literally be a house of cards!

[@rofustus24]

I thought I was crazy buying a set of shock lands for commander

[@nordicmaelstrom4714]

You're only crazy if you play all those shock lands and actually shock yourself in the same game :D just play five colors and call it suicide black!

[@dogdriver70]

wastrel

[@eddiekalista3222]

I'm proud of myself. I read the title, and knew exactly what your take on it would be. You don't endanger your living situation like this.

[@deserteagle6937]

Wow! Never seen Rudy be so serious and concerned before. I hope the gentleman this video is for appreciates the excellent and heartfelt response. Cheers Rudy 🙂

[@ocm6382]

You should check out the video where he ranted against the guy taking out $30k in credit card loans to buy MTG cards

[@fsmoura]

*HELOC: the Borrowing*

[@MadolcheGabbana]

Overhead; shipping, packaging, theft, being scammed, product damage in storage, etc. competition against others in the market, external influences, etc. etc. A lot to weigh out and consider.

[@marcmarc1967]

Yes. He always says "that's another discussion" but he never actually has that discussion. I'm assuming this is because he would turn off patrons from investing, which would reduce his monthly sales of sealed boosters.

[@mothmanmedia8511]

Amateur Magic the Gathering Investors Ask the Question, “Is it worth it to borrow against my house for sealed boxes of Dragons Maze?”

[@MrDjLonghair]

I just made a similar comment! I should have invested and scrolled down

[@shannongerbes]

@@MrDjLonghair Yes

[@MrDjLonghair]

@@shannongerbes you caught me lol

[@MasterP86]

*YES*

[@doritos-r6]

WOAH WOAH ... dude doesn't know his interest rate on a loan/ credit line he signed for ..... this is like when i was in the navy and kids were buying cars at 27% interest .... yikes

[@josephberger699]

Cars? I think you mean dodge chargers.

[@doritos-r6]

@@josephberger699 32 inch lifted 5 year old Ford 350 35000 @ 23% APR

[@fsmoura]

Good move. With luxury cardboard going up like crazy, you wanna hop aboard the gains train. Make sure to max a few credit cards too, for good measure.

[@geoffreythomas2022]

I don’t believe putting money into different MTG products would be considered “diversification.”

[@BBradshawProductions]

Magic is a pump and dum scheme.

[@randomsanctum]

@@BBradshawProductions Are you related to Broken Games? Lol

[@siege_sensei]

You must be related to Brain ;)

[@LoftyLazerus123]

Rudy has never endorsed borrow to buy. Why would this be different?

[@delbomb3131]

Well not only has he endorsed it, but does it with all of his purchases. Primary difference is that he has the capital in reserve if necessary. Gotta go back and re-watch the wolf of magic series.

[@stevebrule3526]

Good stuff, I’m usually not as attentive for your videos in this format but with my house burning down right now it seems a lot more relevant.

[@wesleyrissell8508]

Rudy Taleb's black swan example was about back in the day whe something was impossible, they would say its like seeing a black swan. However when they did more exploration in Australia, they found that there were actually a type of swans that was black. But it still holds the same meaning. I just remember it because Talebs book was one of the first "investing" books I've read.

[@Buckeye2013]

Remember, when it comes time to sell your collection. Guys like Ruby will give you 50 cents on the dollar for your cards. Selling 100k in cards individually on eBay or tcg would be a complete nightmare. 10% eBay fees, 10% fraud/scammers, 5% shipping, 6% interest etc... overall horrible idea

[@matthewmcbeth4099]

Exactly. Selling can be as hard as pulling teeth at times.

[@pattyd.fissure1049]

Ruby!! You’ve bloody broken me 🤣

[@GeorgiosD90]

By definition a collection is not a collection if it is for sale. Anyway, mtg collections are like stamp collections, worth nothing to anyone who doesnt care and worth as much as other people are willing to give.

[@randomsanctum]

All for collectibles, which are investments in plain sight.

[@matthewmalovich64]

Rudy, these money talks are always the best, it’s like a free university lecture on economics and I love them!

[@davidburris8230]

Home equity line of credit is good if you want to remodel or improve your home's value in some way. Taking that money and spending it on Magic cards or any other investment is a bad idea.

[@TheGaryDaniel]

Banker here: Most HELOC rates are not based on LTV (loan to value) like Rudy said, it’s actually based on 4 main things, your credit score, prime rate, relationship history with the bank, and most importantly the line available credit limit. The larger the line available credit limit, the lower the possible rate. The reason for that is so the lender can persuade to open a higher credit limit, for the possibility of the borrower to use more and pay them more interest.

[@robinsheridan7164]

Well, at least Mystical Games had the decency to contact you to tell you about it...

[@PreacherwithoutaPulpit]

I haven't done anything with MTG since the Original Urza's Block but this, this right here is why I watch this channel. Best info on KZbin when it comes to real world on the uses and applications of money to make money, or lose it...

[@LLmsn941]

I'm in a continuous state of fear of the tesla from space coming down upon me

[@gettingwreckedwithsbmtg1bo582]

Don't ask questions, get the loan and go crazy!

[@OfficialMaddeck]

Timmy living in a shoebox around a dark corner of an alley. Holding on to a Black Lotus and saying: - My Precious!

[@masterkief628]

Loved the economics lesson brotha! Long time fan myself. I love you cause sometimes I can't stand you. Albuquerque, NM.

[@josephzeigler6853]

This is a finance lesson, NOT an economics lesson.

[@masterkief628]

@@josephzeigler6853 It all falls under economics. That's why it's called economics in school not finances....

[@infamousgerald]

should have done that 4 months ago

[@Arankchess112]

I'm borrowing 1 million dollars on credit cards to invest on Rudy T shirts

[@MrDjLonghair]

Legit!

[@abouc]

HELOCs are great for when your furnace goes out or the roof needs to be replaced. Not for investing. Use money you actually HAVE for investing.

[@EvilDMJosh]

Been watching your videos on and off for a few months and really really enjoyed this video. It would be fun and educational to have more informative videos like this with MTG as a vehicle to teach.

[@blaze556922]

I learn so much from you Rudy. Seriously

[@MTGUnpacked]

Nah, Pokémon is where it's at! Take that HELOC and buy some high-grade BGS Charizards, and watch that investment take off like a rocket!😜

[@Ryan_but_the_name_was_taken]

i invested my life earnings in basic land cards. if they go up 1cent i am rich.

[@bjvong]

I love how you’re able to take a game most of us love and manage to turn it into incredible education in the science of investment. Big fan. Thanks man

[@tomcadden8054]

"Anything above 5% turns me into a cabbage" - PLEASE RENAME THE VIDEO!!!!!!!!!!!!!!!!!!! That honestly had me laughing my ass off

[@MikeTappeiner]

more videos like this please. the view count should be way higher for this subject matter

[@Maziwrath]

I can't help but think everyone's emergency Magic divestment plan is to call Ruby.

[@dominoautonomy4750]

That thumbnail has serious David Lynch Eraserhead energy.

[@thegoblinempire2806]

I'm ready for "War of the Spark: Mythic Edition"!!!

[@StarcraftGT500]

For me, the biggest risk of investing in sealed magic products is, not opening every single last pack. I can see it now, my wife walks in the door to find me sitting in a huge pile of wrappers and boxes. With a, “oh shit what have I done” expression on my face. XD

[@7Alberto7]

Thank you Rudy amazing video amazing lesson,seriously,thank you for making us learn

[@sh1pme2themune9]

Solid educational content.

[@Yang1]

Can I be honest Rudy? I have been a subscriber of your channel for the longest time. The truth is I know nothing about magic the gathering or have any inclinations of getting into the game. I subscribed to your channel simply for your amazing personality and hearing your talks about finance. Keep up the great work. I'll continue to watch all your videos.

[@rokkena]

"I don't know my interest rate, but I want to buy some investments!"

[@unattain4773]

Here's my question to you Rudy. I agree with what your saying 100 percent about the risk exposure this viewer is taking by doing this. (I work in Investments) The term used for a plan like this is called "dumb money". When you talk about possible future yields, if the value of the boxes does increases, even if that does happen how does this person move the inventory he has in order for those gains to come to reality? Because even if the value increases, that doesn't mean that there are buyers looking to buy up the boosters hes sitting on, at a market inflated price, correct? In essence, who is he off loading his inventory to once the gain in value is made? Do card collecting markets work like stock markets, in that buy/sell dynamic?

[@reyesfranco9741]

First like and comment. Great discussion Rudy.

[@stevenbridgeman2085]

Before you buy a taco, you must budget for the 🌮 taco.

[@stevenanthony16]

This reminds me of the dude who sold his house to buy bitcoin at the all time high -_-

[@B-...]

Least this guy could make a new house out of cardboard.

[@TealGaming-fb8bs]

Rudy starting to look like Bill Murray in King Pin

[@fsmoura]

He's a cross between Jack Black and the young Jack Nicholson

[@andresk4694]

As a timmy with little knowledge of finance I put my money in index funds (passive investments funds) with less than 0.32% annual fees. Only in banks that have a government guarantee of returning your money in case of bankruptcy. As far as I know all present day historical data shows an avarage 4-6% annual gain over a long period of time. Not sure if it's adjusted for annual fees, inflation and across nations. Cheers

[@alzatan]

And in the meantime the tesla stock on nasdaq goes up 20% week on week...

[@tylerlee2612]

love this. not enough people talk about this. the risk over shadows the reward. its not about being right its that even if everything works it will not be worth what you can lose. Only invest with money that can go to zero.

[@TheGregoryodd]

[ackshually intensifies ;)] Black swan = rare events with an outsized effect that ripples through everything; housing prices in America always went up...until they didn’t. The farmer is the turkey’s friend...until Thanksgiving Day. And human brains, for many reasons, aren’t well-equipped to anticipate these kind of events. Appreciate all the great content as always, good sir!

[@aetheriumwinds3439]

One of my friends got me a Gaeas Cradle as an wedding gift that was an investment. He got it for like 300. Its pushing 1k now.

[@ttsupra87]

Papa Rudy giving a heart to heart. Reminding us to focus on our taco stands and not chase mythical quesadillas.

[@ApexZer0]

Gotta love the effort Rudy put into making a 17 minute video just to pump and dump war of the spark

[@Solkre82]

Understood. I'm going to take a loan out against my neighbors house! Thanks Rudy! I'm going to invest in sleeves.

[@Shannon_Vlogs]

Wow I hope he sees this and listens!

[@leecheesman7007]

Can’t help but focus on Rudy’s crazy hair day 😂

[@iklull6135]

Rodolfo makes a good point about not being able to predict the black swans, can you imagine if there was something like an options market on MTG cards? like calls and puts on some cards, that'd be pretty ineteresting. Btw, I never played MTG in my life and don't even know how the game works, but I love these videos. Great content from Rodolfo.

[@jimhopkins3972]

No, not abusable at all. Looking at you, MODO.

[@GatheringTheMagicYT]

Stories like this wrinkle my brain 😫

[@ddrguy3008]

Honestly, mtg finance makes the stock market look stable...

[@michaelellis2137]

It’s weird how no one is discussing the buyout of Japanese alternate foil planeswalkers from war of the spark. Wondering how that will affect box prices.

[@pokelunas2463]

Videos Like this is exactly why im a patreon. Rudy is a better financial advisor then the woman at my local keybank handling PPP Loans and other corona virus based loans. id suggest this guy open a business instead of gambling 100k.

[@cauldronfamiliar3339]

I'm looking at a chart of recent (2018 onwards) Booster Box price history and with very few exceptions it seem's to me the trends are all sideways over the last years, very few actually seem to appreciate in the way people in the MTGFinance community seem to think they do, this mean's either the data I'm looking at is flawed or people are investing without actually checking if these sealed products actually do increase in value in any significant way. Once you factor in storage and the risk of holding these things I'm almost certain people are going to be better off buying individual highly desired single cards from Antiquities and prior.

[@patmacrotch5611]

Rudy when you gonna open your patreon back up?!

[@thecrux1033]

Awesome video. I love how you can go from super crazy fun videos to a deep financial discussion. These words of wisdom are pure gold. Financial education is under taught and under appreciated. You're a hero my dude. Thanks for all you do!!

[@Moose370]

Taco fund finance videos are my favorite kinds of finance videos

[@stormycat0905]

Because the best time to invest is after the boom begins...

[@reconstructionmanifest7349]

Rudy says this a lot and it is so true: Risk vs Reward. That is what its all about. This makes it a solid: No dont do it. If you are thinking about trying to do something with 100k get it into something else. Buy 50 shares of Tesla its about to spit 5 to 1

[@22665555]

Wes Hart This is the definition of concentration risk.

[@reconstructionmanifest7349]

@@22665555 I don't mean leave it all there. After the split investors will likely jump on that couldn't afford before. Ride the wave up, sell, diversify. I was referring only to the small window that is happening in a few weeks

[@eqgats]

This is one of your best videos, from a finance perspective. Fiat money is what we're dealing with with homes and mortgages / HELOCs / etc, fiat meaning, it's only worth something because the issuer says it is. MTG cards are Fiat collectibles, which is basically a fiat fiat form of money, depending on the US government to keep dollars worth something, and on Wizards to keep MTG cards valuable. .

[@FrozenMopars]

First thing I wait for is if Rudy is having a good hair day. Video didn't disappoint

[@TheMrSlyxx]

I got to 12:28 before i realized there is a taco sitting on the shelf in upper right corner. :P

[@sunburntforager6315]

It's like what Rudy said about his first rental property, market crashed and it was a loss for years. Only do it if you have the ability to stay the course for years

[@thomaslewis5817]

thank you rudy for the video i really appreciate when you go through the financial stuff i got friends that have gone bankrupt because they didn't realise how leverage they were so i really appreciate you explaining it so people don't walk into a debt trap

[@m.l.679]

Thank you for the knowledge. I love listening to this stuff. Why do you think Warren and Charlie didnt buy anything last April?

[@damianroberts4330]

Great advice!

[@BlueSkysandRain]

Someone who's mortgaging their house against magic cards is a FOOL. Either you can afford it.. or you can't. NOT WORTH THE RISK.

[@VibraFinanceCEO]

Rudy I Just puked up a brainstorm taco

[@brandonsmith-wz6hb]

Have to get a store started... you can get going slowly by diving into the ability to sell

[@capreus1983]

Student down to $680 from $16,000! I know Rudy has helped me be so focused to make that happen. I learned a valuable lesson on this path as well; how much of my salary I can save and invest rather than just live a sloppy taco lifestyle throwing hot sauce and chalupa chunks at things, companies and other garbage that just leaves me empty inside and not helping me to grow wealth toward an even more comfortable retirement when I get geriatric and don’t want to live in a cardboard box when I am old because I wanted to live like a winged taco when I am young, dumb and lost in the pleasures of the west! God bless the taco lord for all his Yoda wisdom!

[@skurai]

That haircut looks fresh Rudy

[@DrCreepPasta]

So I'm kind of confused. Where does Rudy sell from? I see he has an Ebay page, but there isn't a TON on there, and in the description it says he sells boxes, but I don't see those on his page

[@siege_sensei]

Timmy's pay him for the privilege of getting discounts on sealed cardboard. Then, he sells the sealed cardboard through patreon directly to said engaged timmy.

[@menotechgamingandcollectin5174]

Now before I borrow on the HELOC, let me first do a Facepalm!!!

[@budz2355]

Good advice. Dont forget taxes captain giggity. Also magic clearly has insider trading so unless your in floppy taco club or get lucky put your money in real estate.

[@JP-ld5je]

does any one know if there is a website or something where i can see what sets have been reprinted recently, are going to be reprinted and which ones are out of print?

[@austin9578]

Put it all on RED!!

[@damonhymer9198]

Collecting is better than investing. Having a bunch of sealed product is awesome. If there’s money later, great. Of values drop, at least I have magic cards. I love magic cards

[@fsmoura]

who doesnt ( o.o)

[@watchdork]

Rudy you should be charging for this. I enjoy Rudy's magic related economics lessons. Keep them coming

[@daikennett]

"I can tap quick capital when its needed" JUST LIKE MANA RIGHT?

[@petrodon]

In that case, mana with a 6% rate stasis at untap phase.

[@mattb1100]

That heloc interest rate is garbage day. I can borrow against my stock holdings for 2.5 percent. Granted, equity in a house is not exactly as liquid. But I think over 5 percent is a joke with interest rates being what they are.

[@delbomb3131]

Long time viewer apparently not long time listener... Stunning how many times you have say these things just to have people ask the same questions again.

[@patmacrotch5611]

I’ll bet 100,000 on my house that this dude doesn’t have a house and can’t get a loan to even do this.

[@victorbarrios2824]

I like these stonks videos.