This is a great post. There is no doubt that water is the most logical and healthiest choice. I haven't any soda or alcohol for three months and I feel much better. Drinking water is my only option now.
We just had a bad experience. We know a guy who is a realtor and many friends had used him, so we thought it was OK. The lender he works with often also came highly recommended, but he hasn't been forthcoming about how the estimated payments were broken down and we had to drag it out of him what our percentage rate was. he estimated a little less than $1400 for a $250,000 house including taxes and insurance. I knew this could vary based on the property tax, but we were a little shocked when this property came out $200 higher than that. We decided we needed to pass on that.
The realtor asked us if we had prayed about buying a house. We found it inappropriate.
He told us the seller's price was firm. Isn't that what everyone says? Rather than suggest we negotiate a price, he asked us where we could cut our spending to afford it and ignored all of the maintenance concerns we had - the windows with broken seals, peeling paint by the skylights, really old appliances, etc. Any one of those things were a threat to our savings account.
We were called at 11:30pm and both the lender and the realtor tried to tell us that this payment would be the same as our rent when you consider the tax break. I explained that we would only see half a year of tax breaks because we're buying in the middle of the year. They said we could change our withholdings, but that wouldn't make up the difference or even close. They said we should take a leap of faith and we told them no.
What made me really mad was that I told the realtor it would be nice to live close to my parents because you never know how long they're going to be around. He passed that on to the lender and when he sent us a video comparing graphs and why it makes so much sense to buy vs. rent, he said, "If your mom were to get sick, think of how much you would save in gas money if you needed to take care of her and lived close by." I literally felt sick to my stomach and woke up Mother's Day feeling awful. I knew we needed to dump both of them.
Also, this was the first house we looked at. The realtor was an hour late and decided it was pointless to look at the other houses we planned on. Just one house and he decides it's the perfect place for us even though we weren't that interested in it. The location was great and that was about it.
I've been a very happy homeowner in Southern California for 43 years because I moved in when home prices were still under $30,000 (Imagine that!). Yet much of what this article says is true. But time can be on your side as a new homeowner. Our backyard was bare, rocky, and filled with weeds when we moved in. It's now landscaped and lush. But it's taken us 30+ years to get to this point. We were in no rush and we did almost all the work ourselves, learning as we were going.
Also, at first we furnished our home by going to new discount furniture stores. We have now replaced much of our early furniture with well-made, good quality USED FURNITURE that I've found at flea markets, yard sales, thrift stores, estate sales, and Salvation Army Antique Stores. I even have furniture that was thrown away by schools, or found on street curbs. (It's amazing what people get rid of!) Yet our home is elegant and refined, and we get a lot of compliments from guests. The bottom line is: Develop an eye for beauty and quality by reading home magazines and books. As your style develops, you'll know where to find beautiful things for your home that cost very little. My favorite pieces are a solid wood buffet, brand new at Cost Plus that cost me $50 because a door was damaged (fixed it in a few minutes!); an upholstered armchair with wooden arms, $30 at a flea market; a designer end table by Henredon, $25 at an arts charity thrift sale; etc. Start out with furniture you can afford, and over the years, slowly replace it with better things that you can find as described above.
Last of all: be patient. It's OK to have a minimally-furnished, outfitted home at first. A clean, evolving home is fun. Take your time to upgrade and expand your accessories, drapes, and collections. We don't have to impress others; just be happy in your nest. Beauty and comfort don't have to carry high price tags.
Homeownership is still better than giving your money away to the landlord. Don't let this doom and gloom article change your mind. The leaky roof is still YOUR leaky roof and somehow, you will do just fine.
Rent a 2 bedroom apartment for $500 a month.
Property taxes included
$0 insurance
Cable and internet included.
Water and sewage included
Pay about $50 a month for electric. Saving over half my paycheck for retirement.
...please lol
I do know that home purchases are on average 2 1/2 years salary. You end up putting about 5 years salary into the home and are lucky to get the 2 1/2 back when you sell. Not much of a retirement plan.
My husband has a dump truck that he uses to collect throw away items that companies are getting rid of. For example, recently he netted several old water fountains that were being junked. Between the metal and the copper tubing inside he made almost a thousand dollars for a few hours work! Nice mad money.
I make enough money doing occasional surveys to buy my books, etc. on ebay. I net between $6 and $12/ hour on them. Not a living, but some nice spending money that I wouldn't have otherwise.
Every hopeful homeowner should be given this list before they sign on for such a huge purchase. So many people forget about some of these initial costs.
With regard to the household items, like window treatments, appliance and furniture new owners shouldn’t be afraid to shop around or even purchase some of their household items at consignment stores and the like. Buyers need to remember: the goal is to grow into the house of your dreams. Buyers just dropped a fortune on the home purchase; the stuff inside of it can be cheaper to start out with!
Facing a potential for lingering student loan debt, an underwhelming job market and mounting bills as they start their lives outside of mom and dad's house, cash would likely be most appreciated.
Going off of the first comment posted. The prices listed for those items are more than a little high. I'd say that anyone having expenses in that range probably doesn't think about being frugal.
EX: I live in Atlanta, GA and my property tax is $1400 per year. My insurance is $600, and 30k for landscaping...please lol
Who knew teens could be so wise! I like the very first tip about buying clothes that you like rather than name brands. This means you could go into almost any low-priced store and find something that you actually like rather than worrying about going to the name brand store and picking out something there because thats where you feel like you "should" be shopping. Discount stores often get whats not sold at the stores at the major mall anyway. Just know the time of the month that they get shipments in, and you'll have first dibs on whatever labels they get at a major discount.
My friends and I sometimes have clothes swap parties, and this could work even if you don't want new things, but you can just bring all the things you don't want and see if any of them do. If there are items left over, bring them to places like Plato's closet that will evaluate them and give you money on the spot! If all else fails, the Salvation Army always has room for whatever amount of old stuff you are trying to give away.
The URL for Michael's article has changed to
http://stuporglue.org/google-voice-for-tightwads/
There were no USB ports in 1985 . .
http://en.wikipedia.org/wiki/Usb
Three years of college and you can't conjugate verbs, punctuate sentences nor use spell check? Money well spent.
I bet that book you left in the arcade ended up in the local lost and found too.
"The Tortoise and the Hare" (Reminder that Success often comes slowly)
This is a great post. There is no doubt that water is the most logical and healthiest choice. I haven't any soda or alcohol for three months and I feel much better. Drinking water is my only option now.
Orchard Bank is really fantastic. Deposit is just $200, but the interest is very low, namely 4.74%. It is very atractive. Thank you.
We just had a bad experience. We know a guy who is a realtor and many friends had used him, so we thought it was OK. The lender he works with often also came highly recommended, but he hasn't been forthcoming about how the estimated payments were broken down and we had to drag it out of him what our percentage rate was. he estimated a little less than $1400 for a $250,000 house including taxes and insurance. I knew this could vary based on the property tax, but we were a little shocked when this property came out $200 higher than that. We decided we needed to pass on that.
The realtor asked us if we had prayed about buying a house. We found it inappropriate.
He told us the seller's price was firm. Isn't that what everyone says? Rather than suggest we negotiate a price, he asked us where we could cut our spending to afford it and ignored all of the maintenance concerns we had - the windows with broken seals, peeling paint by the skylights, really old appliances, etc. Any one of those things were a threat to our savings account.
We were called at 11:30pm and both the lender and the realtor tried to tell us that this payment would be the same as our rent when you consider the tax break. I explained that we would only see half a year of tax breaks because we're buying in the middle of the year. They said we could change our withholdings, but that wouldn't make up the difference or even close. They said we should take a leap of faith and we told them no.
What made me really mad was that I told the realtor it would be nice to live close to my parents because you never know how long they're going to be around. He passed that on to the lender and when he sent us a video comparing graphs and why it makes so much sense to buy vs. rent, he said, "If your mom were to get sick, think of how much you would save in gas money if you needed to take care of her and lived close by." I literally felt sick to my stomach and woke up Mother's Day feeling awful. I knew we needed to dump both of them.
Also, this was the first house we looked at. The realtor was an hour late and decided it was pointless to look at the other houses we planned on. Just one house and he decides it's the perfect place for us even though we weren't that interested in it. The location was great and that was about it.
I've been a very happy homeowner in Southern California for 43 years because I moved in when home prices were still under $30,000 (Imagine that!). Yet much of what this article says is true. But time can be on your side as a new homeowner. Our backyard was bare, rocky, and filled with weeds when we moved in. It's now landscaped and lush. But it's taken us 30+ years to get to this point. We were in no rush and we did almost all the work ourselves, learning as we were going.
Also, at first we furnished our home by going to new discount furniture stores. We have now replaced much of our early furniture with well-made, good quality USED FURNITURE that I've found at flea markets, yard sales, thrift stores, estate sales, and Salvation Army Antique Stores. I even have furniture that was thrown away by schools, or found on street curbs. (It's amazing what people get rid of!) Yet our home is elegant and refined, and we get a lot of compliments from guests. The bottom line is: Develop an eye for beauty and quality by reading home magazines and books. As your style develops, you'll know where to find beautiful things for your home that cost very little. My favorite pieces are a solid wood buffet, brand new at Cost Plus that cost me $50 because a door was damaged (fixed it in a few minutes!); an upholstered armchair with wooden arms, $30 at a flea market; a designer end table by Henredon, $25 at an arts charity thrift sale; etc. Start out with furniture you can afford, and over the years, slowly replace it with better things that you can find as described above.
Last of all: be patient. It's OK to have a minimally-furnished, outfitted home at first. A clean, evolving home is fun. Take your time to upgrade and expand your accessories, drapes, and collections. We don't have to impress others; just be happy in your nest. Beauty and comfort don't have to carry high price tags.
Tweeted reply:
https://twitter.com/#!/KelRo1/status/203694945209548801
Like you on FB.
Cash
Books that have inspired/ motivated you in your life.
Homeownership is still better than giving your money away to the landlord. Don't let this doom and gloom article change your mind. The leaky roof is still YOUR leaky roof and somehow, you will do just fine.
I live in Port Clinton, OH.
Rent a 2 bedroom apartment for $500 a month.
Property taxes included
$0 insurance
Cable and internet included.
Water and sewage included
Pay about $50 a month for electric. Saving over half my paycheck for retirement.
...please lol
I do know that home purchases are on average 2 1/2 years salary. You end up putting about 5 years salary into the home and are lucky to get the 2 1/2 back when you sell. Not much of a retirement plan.
Don't use town water. But wine is ok?
My husband has a dump truck that he uses to collect throw away items that companies are getting rid of. For example, recently he netted several old water fountains that were being junked. Between the metal and the copper tubing inside he made almost a thousand dollars for a few hours work! Nice mad money.
I make enough money doing occasional surveys to buy my books, etc. on ebay. I net between $6 and $12/ hour on them. Not a living, but some nice spending money that I wouldn't have otherwise.
Every hopeful homeowner should be given this list before they sign on for such a huge purchase. So many people forget about some of these initial costs.
With regard to the household items, like window treatments, appliance and furniture new owners shouldn’t be afraid to shop around or even purchase some of their household items at consignment stores and the like. Buyers need to remember: the goal is to grow into the house of your dreams. Buyers just dropped a fortune on the home purchase; the stuff inside of it can be cheaper to start out with!
Cash! Or a gift card for groceries or gas -- we want to spend out money on wants, but someone has to look out for our needs!
Facing a potential for lingering student loan debt, an underwhelming job market and mounting bills as they start their lives outside of mom and dad's house, cash would likely be most appreciated.
Going off of the first comment posted. The prices listed for those items are more than a little high. I'd say that anyone having expenses in that range probably doesn't think about being frugal.
EX: I live in Atlanta, GA and my property tax is $1400 per year. My insurance is $600, and 30k for landscaping...please lol
Here are 2 of those quilts you said you hadn't been able to get pics of...
http://www.etsy.com/listing/93967414/wheelchair-bound-denim-lap-quilt-41...
http://www.etsy.com/listing/91844896/jean-quilt-denim-quilt-couch-throw-...
A gas card - for a summer road trip or else to get started on job interviews.
Who knew teens could be so wise! I like the very first tip about buying clothes that you like rather than name brands. This means you could go into almost any low-priced store and find something that you actually like rather than worrying about going to the name brand store and picking out something there because thats where you feel like you "should" be shopping. Discount stores often get whats not sold at the stores at the major mall anyway. Just know the time of the month that they get shipments in, and you'll have first dibs on whatever labels they get at a major discount.
My friends and I sometimes have clothes swap parties, and this could work even if you don't want new things, but you can just bring all the things you don't want and see if any of them do. If there are items left over, bring them to places like Plato's closet that will evaluate them and give you money on the spot! If all else fails, the Salvation Army always has room for whatever amount of old stuff you are trying to give away.