I've decided to start putting my money where my mouth is. This week there have been a couple of really nice days and I really wanted to go for a bike ride. My excuse? I have not been able to because of the fact that the bike I have is old and not really useable. Although this is an excuse, I have not been able to stop myself from looking at new bikes at the local sporting goods store. They generally range around 150 dollars. So, it would be nice to get one, but I've resigned myself to the fact that I will have to save money for one. I am going to 'delay' my gratification, at least a little while. Now just to figure out how much money I can save....
Despite all of the back and forth about sub-prime mortgages and the housing bubble, I am feeling just fine. The reason is that when purchasing, I followed some old advice: Don't expect to flip. In general, I've been told by many people that you shouldn't buy a home unless you plan to hold on to it for 7 years or longer. If the market does well and you decide to sell, fine. But if you want to be sure not to lose money, don't buy something that you only want for a year or two. I've been in my current location for more than 3 years. I like it. And I have no intention of leaving in the short or medium term. It seems to me, that real estate, like any asset class, has its ups and downs. But as a practical point, I don't look at my home as an asset per se. Rather, I consider it to be a fixed expense that I need to survive, much like food and water. Therefore, as long as the payment is reasonable and it functions to keep me warm and sheltered and comfortable, that is a...
Comments