Buying a Home is a Big Decision
George Clason is using Arkad to teach the value and potential profitability of home ownership. Without question, buying a home is a big decision. And, for most people, it is the largest investment they will make in their lifetime. The expenses associated with home ownership are significant too. However, Clason believes that buying the right house can improve the quality of life for most families. 1
Buy What You Can Afford
The main point Clason is making is that to be a successful homeowner we should buy only as much house as we can afford. We must live below our means, be realistic about our expectations, and carefully study all of the options relating to the current real estate market. It is imperative to seek advice from experts and friends during the process.
Renting vs. Buying
The fact is that many people chose to rent a home or an apartment before buying a home. That’s okay because whether you are looking for something to rent or buy, the same amount of planning, risk assessment, budget constraints and family needs apply to both options.
It Boils Down to Personal Preference
The age-old question remains today, should you buy or rent? The truth of the matter is that it boils down to personal preference and one real estate professional recently said, “The way you’ll feel about buying versus renting is very much in the eye of the beholder.” [By Paula Pant, WiserAdvisor contributor]
Keeping a Roof Over Your Head
The argument that if you rent, you are “throwing money away” is still made today. Whether you are renting or buying, your household expenses add up to one thing, keeping a roof over your head. So, whether you rent or buy, you are paying money for a desired good or service. Consequently, the decision is yours.
Enjoying a Home That Is Purely Yours
In the long run, Clason makes a case for homeownership as the best alternative to having a roof over your head. When you buy the right house, at the right price, with a total expense level that, by today’s standards, does not exceed 25% of your total household income, owning a home will “give you more money to spend on the pleasures of life.” In other words, one of the biggest benefits to homeownership is, “You’ll enjoy a home that’s purely yours.” [By Paula Pant, WiserAdvisor contributor]
Lesson Six- The Magic of “Compounding Interest.”
In Lesson Six George Clason emphasizes the importance of developing a plan for your retirement. The younger you are when you begin setting aside money, the more you will accumulate for your retirement years. In this lesson, Clason introduces what many have called the “Eighth Wonder of the World, the magic of compounding interest.” Don’t wait. Please go to Lesson six now.
LifeCrafter – Money $ense