Americans Collectively Owe Almost $1 trillion in Credit Card Debt.

I'll just leave it at that, as most people can draw their own conclusions on your reply.
Have you ever been anywhere outside the United States? Be honest. Do you have a US passport? Just curious.

 

Yes, I am on my 3rd passport now. My family on my mothers side is from Italy, I've been there, France, Scotland, Ireland, and of Course England to name a few... I studied abroad in England while in college. I've been there 5 times in the last 10 years... Wait, been to St. Lucia as well.. Nice place!

Your point is?

Wait, I'll just leave it at that...

 

Just curious. Have fun with your toys as obviously your life seems to revolve around them. Just don't go around in too many circles you might get a headache.

 

Check out this vid

http://consumerist.com/consumer/clips/snl-skit-dont-buy-stuff-you-cant-afford-252491.php

yeah which is a record high isn't it? How can you say its a low risk to buy something when its at a record high?

there are Asian mutual funds which i have which are doing 10% ytd

 

I always think it weird when people say stuff like they haven't taken a day off in x amount of years and they are proud, I work hard when I am in mood and all but ....

I worked like 3 days a week a lot of the summer, its freaking great, working sucks. I was out fishing, diving for lobsters, having picnics on tropical islands etc . I freaking love not having any debt it great, no monthly payments to worry about other then rent and the cable bill.

 

The problem is that a few Americans actually like their job, and their country, but now days even an extreme passion and well qualified at what you're doing and you still can't get a business or home loan... so you have to work 7 days a week to make up for it.

The problem isn't in spending, it's in how much income they're actually getting AFTER TAXES. And yes, the inflation tax too.

Here's my example: About $10k in business credit cards. Interest rate +10%.

I had to open about 7 at once because of my credit. Now... even though I've paid them religiously for a few months, I CAN NOT get a freaking house loan. Not even for the cheapest little run down p.o.s. on a patch of dirt in the mid west. This is effecting my income extremely, and looking like bankruptcy.

Was it because i got a business loan and was ambitious? I don't really understand, but all I know is that I followed the rules to start a business and poured my heart into it hoping to save my family from their debt too, and now I can't even get a chance to better myself.

 

why would you want to buy a house now? most of the country is very over valued and prices are dropping

 

Because I can't run my business out of an apartment. I'm not 100% online. Besides that, no matter how overvalued a house is, you're losing more in an apartment... unless you're talking multi-million dollar homes.

 

your not really losing money on an apartment in many places, at least lately, maybe where you live is different though

there are rent vs owning calculators which will illustrate that well

where I live for 2k a month I can rent a place which is supposedly worth like 600k+

there are people who are losing hundreds of thousands of dollars (although this is mostly imaginary "value") because they bought a home in the last couple years around where I live and have to suddenly sell it

 

I can get a two story house that would be $250k in california, but get it in the midwest for < $50k and something like $100/month, instead of just < $1k for an aprtment.

I'm saying I want to drastically cut my housing payment by paying interest only while my business gets started. It's ironic that I can't get that when it will help be become wealthy. The system is all screwed up.

 

Now is a GREAT TIME TO BUY A HOUSE!
At least around here (Chicagoland).

I'm thinking about buying an extra one.

 

Just think if you actually worked more than 3 days a week.. You might actually have something to show for it.. Sure, if I were single, did not own a business, did not have people depending on me, from employee's to kids, etc.,... I suppose I too could loaf around making money off odd jobs like you...

But what do you have to show for it?

Because it is the best time to buy a house.. Interest rates are still ridiculously low, banks are lending money, and the return is not only incredible... It is a sure thing.. Real estate never depreciates...

The prices you see dropping, are on the over-valuations.. That does not reflect a fall in house prices.. Only a fall in the inflated value.. There is a HUGE difference there.

It's a buyers market! If you were not so out of touch with reality and living on a dock all the time, you would have said:

"Why would you want to sell a house now?"

No doubt... If I could convince my wife to move a bit more south, I'd be somewhere around, Spring Grove, McHenry or Richmond... All very nice areas, close to everything, and some fantastic homes for the money.. And with interest rates insanely low, you cannot lose buying a home right now.

 

Still too early to buy real estate. It has not bottomed out yet and we still have a very uncertain near future politically. If I were you all I would wait. YOu might need the liquid cash of the down payment for something else that is more important.

 

I'm not waiting for it to bottom out. You don't know when it's bottomed out until it bounces. So.....

What are you - MY CPA?

 

Here's an interesting article, that is very timely to this discussion.

For Gen X, it's time to grow up and get a broker
Many say they have high debt, little ability to save for retirement

I find that I agree with much of the assessment.


<edit>

Come on, read the article!

 

I don't know, I pretty much have most things I want. I mean there is always more , but like you said you can't take it with you.

I will probably start working more again, at some point now that the weather is getting worse

dude it pretty much a sure thing in Florida if you buy a house now it will drop in value for quite awhile before it goes up

my girlfriends condo in south miami she sold for 150k last year, is now selling for 100k, hell it might be 80k by the end of the year

its not a "sure thing"

its value is its market value, it doesn't matter if it inflated or deflated, its is the "house price" regardless

whatever someone paid is what is important

why buy at what is still an inflated value? when you can earn more investing in stocks?

its buy now and lose money for the next 3-5 years market in many places, not really sure if thats a "buyers market"

clueless much, that might be true where you live but hardly true everywhere

 

Actually rob , if you look at how house prices have gone in previous bubbles, they usually bottom out for a few years before they start going up at any real rate

So it should be pretty obvious and clear when it reaches bottom, and there should be plenty of time to buy, without missing much

but hey maybe this is different

 

how do you know the market won't turn around next year? And actually most of the US market is pretty low (Some great foreclosure deals), it's just the coasts mainly that may still fall, but I can't imagine them not going back up past what they are now when the market turns around, so if you are saving on monthly payments in the meantime, that gives you more money for stocks, savings, your business, etc... then you never lose money, and when it turns around you start to make money and you can refinance to a better rate (when everything is right).

If you have a solid business plan, this is one of the only ways left for startups right now.

 

Suit yourself bro.
BUY BUY BUY!!! NOW IS THE TIME TO BUY!

Why anyone would buy when prices keep dropping nationally is beyond me.

P.S. If you buy let us know that you did so we can congratulate you.

 

The uncertainty of where the "bottom" of the housing market is could be why so many of my friends and family that are trying to sell a house cannot. The buyers are either leaving the state or metro area or waiting until the bottom becomes apparent.

I think we are faced with 3 things:

1. Retirees moving up to their cabins or down to warmer states, thus potential buyers are leaving.
2. A very poorly timed huge increase in new homes being built by national builders coming into the market (in Minneapolis).
3. Uncertainty about the future for current buyers coupled with so many choices.
4. <edit> oh, and a record number of foreclosures. The worst in over 30 years for this area. It's not just the poorer parts of town either.

**I think if you risk buying these foreclosures, you need to be able to hold onto them (possibly for a long time, years) until the market turns around. Can you afford buying extra property and holding onto it, probably with no renters?

Many of the houses that were foreclosed are having the siding ripped off and copper piping removed by squatters and crackheads to be sold to recycling plants. In addition, foreclosures seem to effect whole blocks or neighborhoods. See the map: http://www.startribune.com/projects/foreclosures/
If you do buy a foreclosed house or whatever, you better be able to secure it and keep it that way. Also, hope that the rest of the neighborhood doesn't fall into ruin.