Is it me or are my work mates fucked?
- Thread starter Onedollaridea
- Start date
People really need to stop taking "Rich Dad Poor Dad" and related books so seriously. There are some useful ideas in their, but mainly it's bullshit.
A lot of this "never buy a house, never marry a woman" mentality seems to come from a place of chasing perpetual adolescence. If that's really what you desire, good luck to you. Personally, I don't want Hugh Hefner or Peter Stringfellow as a role model. There's more to life than just nailing hot blondes, partying and travelling round the world imo (fun as those pastimes might be).
1. The whole "taking on debt for a house is terrible" thing is based on a logical fallacy: that somewhere to live with optional. Unless you're living with your parents, you either rent a house or buy a house.
2. In the UK at least right now, renting is FAR more expensive than buying, even once you take into account interest and upkeep costs. We cut our outgoings by and moved into a bigger, nicer house when we bought.
To give you an idea, I did a renting vs buying total cost of ownership for this house over 25 years, and we'll save about £70,0000 because we've bought BEFORE taking into account any appreciation in capital value. Given that we live near London, and it's unlikely house prices will be falling over the long term, it's a pretty safe bet.
If for some reason we decide not to stay here, we can rent the property out and still make a profit.
3. Agreed, your house isn't "an investment". But it is your home, which means you can do whatever the fuck you like with it, and if you want to say there for 20 years, you can do. Yes, you have to pay a mortgage (unless you have cash), but a bank is far less demanding than a landlord in my experience. As long as you pay, they don't give a fuck. And they won't turn up one day and say "Sorry, we need to move back in. You have to leave in 2 months."
4. Knowing that I won't have to worry about where I live until we CHOOSE to move gives me a lot of security, which frees up bandwidth to focus on my business.
5. That said, treating your house like a bank and borrowing against its value/doing equity withdrawal is a monumentally stupid thing to do in my opinion. As is buying a house you can't easily afford. Also paying off your mortgage early is a smart idea.
6. A good marriage is like having a really great business partner, in addition to all the other benefits that come with it. Seriously, the amount of shit my wife deals with which means I don't have to think about it is awesome. You can also put assets in your wife's name only, which protects them - if you plan it properly - from creditors if shit goes south with your business. (Yes, this means you need to trust a woman, which I know for some of you is an impossible task.)
7. Cars ARE bullshit. Buy a cheap, reliable one for cash. There's no difference in utility between a $5k Hyundai and a $80k BMW. If you need something fancy, rent it for the weekend. The only exception I'd make is if I spent a LOT of time in my car, then I'd get a something comfortable, but never new.
8. Op, stop congratulating yourself on being clever, and the "only one" who's woken up to what the world is "really like". Yes, that's what you're doing, even if you're not doing it consciously. Get on with building your business, don't waste time worrying about others.
A lot of this "never buy a house, never marry a woman" mentality seems to come from a place of chasing perpetual adolescence. If that's really what you desire, good luck to you. Personally, I don't want Hugh Hefner or Peter Stringfellow as a role model. There's more to life than just nailing hot blondes, partying and travelling round the world imo (fun as those pastimes might be).
1. The whole "taking on debt for a house is terrible" thing is based on a logical fallacy: that somewhere to live with optional. Unless you're living with your parents, you either rent a house or buy a house.
2. In the UK at least right now, renting is FAR more expensive than buying, even once you take into account interest and upkeep costs. We cut our outgoings by and moved into a bigger, nicer house when we bought.
To give you an idea, I did a renting vs buying total cost of ownership for this house over 25 years, and we'll save about £70,0000 because we've bought BEFORE taking into account any appreciation in capital value. Given that we live near London, and it's unlikely house prices will be falling over the long term, it's a pretty safe bet.
If for some reason we decide not to stay here, we can rent the property out and still make a profit.
3. Agreed, your house isn't "an investment". But it is your home, which means you can do whatever the fuck you like with it, and if you want to say there for 20 years, you can do. Yes, you have to pay a mortgage (unless you have cash), but a bank is far less demanding than a landlord in my experience. As long as you pay, they don't give a fuck. And they won't turn up one day and say "Sorry, we need to move back in. You have to leave in 2 months."
4. Knowing that I won't have to worry about where I live until we CHOOSE to move gives me a lot of security, which frees up bandwidth to focus on my business.
5. That said, treating your house like a bank and borrowing against its value/doing equity withdrawal is a monumentally stupid thing to do in my opinion. As is buying a house you can't easily afford. Also paying off your mortgage early is a smart idea.
6. A good marriage is like having a really great business partner, in addition to all the other benefits that come with it. Seriously, the amount of shit my wife deals with which means I don't have to think about it is awesome. You can also put assets in your wife's name only, which protects them - if you plan it properly - from creditors if shit goes south with your business. (Yes, this means you need to trust a woman, which I know for some of you is an impossible task.)
7. Cars ARE bullshit. Buy a cheap, reliable one for cash. There's no difference in utility between a $5k Hyundai and a $80k BMW. If you need something fancy, rent it for the weekend. The only exception I'd make is if I spent a LOT of time in my car, then I'd get a something comfortable, but never new.
8. Op, stop congratulating yourself on being clever, and the "only one" who's woken up to what the world is "really like". Yes, that's what you're doing, even if you're not doing it consciously. Get on with building your business, don't waste time worrying about others.
God what is wrong with some of the fucktards in this thread. At some point the retarded sarcasm in this forum transmuted into actual retardation. Most of the people in this thread don't sound like businessmen at all. Why the fuck are you 9-to-5, buy-a-house-marry-a-woman types even on this forum?
Yeah dude... Where are we, DigitalPoint? Is this a forum for Warriors? It's it fucking opposite day?
its true in the USA bro, over 30 and no girlfriend = loser,dickwad,pervert,foreverlonely..etc..
...move to the philipines or thailand = gain superman status, bang gorgeous chicks
Agree and disagree
Thanks to amateursurgeon for bringing in some sanity.
I'll comment on his stuff and expand a bit.
- On houses. Do the cost / benefit calculations. Do you even need a house? Will an apartment do? In some countries (Germany, for example) owning a house means you'll have to pay taxes on ownership, added to utilities, etc.. Renting can be viable. (Switzerland, for example... buying a house is crazy talk unless you are loaded and want to burn cash.)
- More on houses. WTF is this UK/US mentality of "flipping houses" or "it will increase in value" - IDIOTS! This is one of the reasons for the housing bubble. Buy a house as a place to LIVE in, not as a (very insecure, I might add) investment.
- On renting. For me, renting is (currently) what I like to do. This also comes from very good (tenant friendly) laws in Germany and Switzerland. Something breaks? Call the landlord to repair it or reduce rent. It also gives me the freedom to move wherever I want, which has come in handy several times already. I also see the shit my parents and in-laws put up with in their own property (apartment and house, respectively) repairs, taxes, neighbors, etc.. No thanks.
::emp::
Thanks to amateursurgeon for bringing in some sanity.
I'll comment on his stuff and expand a bit.
This. A lot of the talk on this forum comes from really young guys (and yeah, at mid-20, you are young). Motivations and goals change over time. Even if you don't see it now, mid - 30 your life will be different. Your mindset will be different.
- On houses. Do the cost / benefit calculations. Do you even need a house? Will an apartment do? In some countries (Germany, for example) owning a house means you'll have to pay taxes on ownership, added to utilities, etc.. Renting can be viable. (Switzerland, for example... buying a house is crazy talk unless you are loaded and want to burn cash.)
- More on houses. WTF is this UK/US mentality of "flipping houses" or "it will increase in value" - IDIOTS! This is one of the reasons for the housing bubble. Buy a house as a place to LIVE in, not as a (very insecure, I might add) investment.
- On renting. For me, renting is (currently) what I like to do. This also comes from very good (tenant friendly) laws in Germany and Switzerland. Something breaks? Call the landlord to repair it or reduce rent. It also gives me the freedom to move wherever I want, which has come in handy several times already. I also see the shit my parents and in-laws put up with in their own property (apartment and house, respectively) repairs, taxes, neighbors, etc.. No thanks.
Nothing to add.
This. I know a lot of you are very young and still think with your dick only. My wife and my son are incredible. If you really don't want to have a family .. fine.. but don't come crying at 50.
- This. A new car? Seriously? Buying something that looses half it's value in the first moments of ownership? Naah, thanks. Buy used, reliable cars in cash. Treat the car well and all is good. I currently drive an eight year old VW Golf when I drive and use public transport (which is godly in Switzerland) most of the time. If I would total that car tomorrow, no tears, just get another one.
Again, this. Loads of people get this and even if people live their life in ways you find "dumb", it is their decision. And they might have their own reasons and motivations (Individualism and tolerance? Oh my! what a concept.)
::emp::
I think you have a good thinking but i understand your friends that they want to have their own house. I also see that they rush to buy it and get in debt. At least my idea would be: Invest first in my business and then buy a commercial local so i can put it in rent, after that a simple but still pretty house but still knowing that my business is growing and not trying to rush into things.
I was just trying to find stats to back up the fact that renting is cheaper than buying long-term (as I've seen a lot of numbers supporting that in the past).
But I found that the opposite is true now that housing prices are low and rents are rising:
Buying a Home is Cheaper Than Renting 98% of the Time | Moneyland | TIME.com
Renting A Home Costs 15 Percent More Than Buying One
But I found that the opposite is true now that housing prices are low and rents are rising:
Buying a Home is Cheaper Than Renting 98% of the Time | Moneyland | TIME.com
Renting A Home Costs 15 Percent More Than Buying One
Exactly.
You have to live somewhere so you might as well pay a mortgage over rent. You can always sell if you want to move.
I have no interest living in a 3rd world country for several years, so the most cost effective way to have somewhere to live is to take out a mortgage.
not really. in the past two months, my brother & mom seperately got taken to the cleaners after having their homes on the market for over a year each, and my sister just walked away from a mortgage that was underwater over 6 figures. all 3 are in different parts of the country.
that said, even if the "15% discount for owning" is true, renting offers the advantages of both flexibility and insurance against devaluing events out of one's control. those advantages are worth more than 15% to me, whereas for people like my dad, who's been in the same house for 40 years and will never move, the advantages of renting would be worth zero.
You need to remember that different things make different people happy. While you and many others(me included) have taken the less stable route of earning a living by running your own business, this decision may not be suited to people like your friends for a variety of reasons. Fear, responsibility, status, cash flow etc. may all be valid reasons. I understand your point of view but realise that not everyone has the same ambitions as you.
I agree that if you want to make big bucks then you need to do your own thing. But remember that this is YOUR goal. Not necessarily the dream of all your mates around you. They may consider you equally as foolish chasing something called 'money' for all your life.
Either way, I truly respect anyone that gives 100% to reach their dreams. Whether it be riches, knowledge, sport, art or eating the most hot dogs...
I agree that if you want to make big bucks then you need to do your own thing. But remember that this is YOUR goal. Not necessarily the dream of all your mates around you. They may consider you equally as foolish chasing something called 'money' for all your life.
Either way, I truly respect anyone that gives 100% to reach their dreams. Whether it be riches, knowledge, sport, art or eating the most hot dogs...
They are the ones living the dream. Got themselves a nice stable job that apparently they are excited about doing a good job at. Bought a house, a car. Living the dream man.
If your looking to build a bigtime business why are you doing a dayjob and not trying to kick ass at it?
If your looking to build a bigtime business why are you doing a dayjob and not trying to kick ass at it?
A lot of interesting advice ITT. The key is that no one solution is for everyone.
I would caution putting all of your eggs in any one basket. Sounds cliche, but when you are young you do not have the perspective of age. Cliche again.
I've been around countless young people with self made money. As we all grew older there were many ups, downs, twists, and turns in each of our lives. A few went through with barely a hiccup but most had to fight tooth and nail through it all to be OK twenty years later. Some are rich again, some are down but not out, and a few are completely out.
The key is to diversify. Invest in your business? Of course. But that same risk taking entrepreneurial spirit can cost you it all if things start turning against you and you are battling the wrong front. You think $1M is enough? You're a peasant. $1M can fly through your hands very quickly, especially if in business. I am not talking wasteful spending on blow and hookers, I am talking about business.
Set money aside. Buy assets that will assure you your standing on Maslows hierarchy of needs - a house for instance. Not one that you cannot afford the property taxes or upkeep. A basic house or maybe a few. Build your base the security and sanity it brings will allow you an unmatched ability to focus on making money as you proceed.
It does not matter what a bad ass you are right now. The streets are filled with the blood and bodies of bad asses before you.
Diversify. Play it smart. Take risks? of course. Push the limit? of course. But shore up your security when you can. Maybe you will never need it. But you are not always the determining factor.
Health problems, lack of foresight, anything can happen.
I would caution putting all of your eggs in any one basket. Sounds cliche, but when you are young you do not have the perspective of age. Cliche again.
I've been around countless young people with self made money. As we all grew older there were many ups, downs, twists, and turns in each of our lives. A few went through with barely a hiccup but most had to fight tooth and nail through it all to be OK twenty years later. Some are rich again, some are down but not out, and a few are completely out.
The key is to diversify. Invest in your business? Of course. But that same risk taking entrepreneurial spirit can cost you it all if things start turning against you and you are battling the wrong front. You think $1M is enough? You're a peasant. $1M can fly through your hands very quickly, especially if in business. I am not talking wasteful spending on blow and hookers, I am talking about business.
Set money aside. Buy assets that will assure you your standing on Maslows hierarchy of needs - a house for instance. Not one that you cannot afford the property taxes or upkeep. A basic house or maybe a few. Build your base the security and sanity it brings will allow you an unmatched ability to focus on making money as you proceed.
It does not matter what a bad ass you are right now. The streets are filled with the blood and bodies of bad asses before you.
Diversify. Play it smart. Take risks? of course. Push the limit? of course. But shore up your security when you can. Maybe you will never need it. But you are not always the determining factor.
Health problems, lack of foresight, anything can happen.
if your looks+game allow you to bang bitches till like 30-35 so be it, you will always can find non-married 20-25 year old if needed and make kids, not on clubs/bars, but on some cafe shop, bank, hospital, etc decent woman job or so. I am close to 30, but see no problem at all with club type chicks as well as sweet home ladies (pretty pretty too btw!!!). That is somewhat compromise way of it. Cause you may regret later that you didn't that LOL
as for business - you are right, but spend for yourself a bit too.
as for business - you are right, but spend for yourself a bit too.
