Group Project
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Title: How should a normal people make the best use of a windfall?
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Description: You are a student just graduate from university (22 years old) and start another
chapter of life. After a period, you finally find a job and get a so-so monthly salary $3,200 per
month when you are 23(because of the virus, the job market is not very good). After working 5
years in the company, your salary increase to $5,000 per month. You want to retire when you
are 60 and leave no coin when you are 80.
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Luckily, you won the lottery ticket, though it is not a huge amount ($60,000). And you start to
think about how to make the best use of it.
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Option 1: You prepare to use the money to buy a house in Calgary and rent it to international
students. House price is $450,000 with 20% down payment. When you retire, you will live in
this house and get a periodic payment ($4,000 per month). Before that, you choose to rent a
house too ($450 for rent and $50 for internet and others fee). All the money you earn will be
deposit in the Scotiabank which offers you 2.5% interest rate and compound monthly. In order
to buy the house, you prepare to run a ten-years mortgage and make constant monthly
payment.