Right now a lot of people are wondering why I'm not practicing what I preach. There's a good explanation, if you'll read on.
I have always said it is better to buy property rather than pay rent. Right now I am finding that is not always true.
Living in a condo with a price tag of about $240,000 would have given me a mortgage of around $1200 with 20 percent down. The homeowners association fees would be around $600 a month, for a combined total of $1800 a month.
Instead, I am paying rent of only $675 a month (winter rates) which includes all utilities, telephone and wireless internet. Did I mention that it's an oceanfront condo?
So you see, in order for me to be able to live here, it would cost a lot more to purchase. Obviously, in this case it is better to pay rent than to own. This is why each individual should evaluate each situation for themselves to see if it may be better to rent or to own.
Sunday, October 12, 2008
Friday, October 10, 2008
Financial Clutter
One of the things we do not realize that may be causing a problem in our financial life is "financial clutter".
What I am talking about here is the mail that we get that sits unopened. Some people, for example, may have a drawer full of bank statements that they have never even opened. They check their bank balance once in a while and hope that they haven't bounced a check.
One of the first things we need to do when we get the mail is sort it. Right then and there. Keep a barrel or shredder near your door, inside or out, and when you get the mail out of the box, go through it. Take out the junk mail and throw it away immediately.
Next, take those bank statements and open them. Balance your checkbook every month, if not more often. And every time you write a check or make an atm withdraw, write it down in your register.
And finally, when you get a bill in the mail pay it immediately. If you don't have the money in your account, put it in your bank book. Keep a running total of the bills that you have and when they are due. When you do get the money, go ahead and make the payment. If you pay your bills as soon as possible, you have a better grasp on your bottom line. This way you aren't spending money on luxury items that should be going toward bills.
These are things that we know we should be doing, and just don't take the time to do them. If you make a habit of it, every time you get the mail, before you know it your life may be financially clutter free.
What I am talking about here is the mail that we get that sits unopened. Some people, for example, may have a drawer full of bank statements that they have never even opened. They check their bank balance once in a while and hope that they haven't bounced a check.
One of the first things we need to do when we get the mail is sort it. Right then and there. Keep a barrel or shredder near your door, inside or out, and when you get the mail out of the box, go through it. Take out the junk mail and throw it away immediately.
Next, take those bank statements and open them. Balance your checkbook every month, if not more often. And every time you write a check or make an atm withdraw, write it down in your register.
And finally, when you get a bill in the mail pay it immediately. If you don't have the money in your account, put it in your bank book. Keep a running total of the bills that you have and when they are due. When you do get the money, go ahead and make the payment. If you pay your bills as soon as possible, you have a better grasp on your bottom line. This way you aren't spending money on luxury items that should be going toward bills.
These are things that we know we should be doing, and just don't take the time to do them. If you make a habit of it, every time you get the mail, before you know it your life may be financially clutter free.
Wednesday, October 8, 2008
Realize Clutter
Today I have come to realize how clutter harms us in our efforts to excel in life.
We build clutter because of fear. Fear is what keeps us from exploring our full potential.
Let me give you an example. My friend has built 2 extra sheds in addition to his garage to store old car parts. He is a mechanic, and he is afraid if he gets rid of a part, that he will need it.
If he didn't have all of those parts that he doesn't need, he wouldn't have spent the money and time building the sheds. Plus, his emotion of fear is sending away the good emotions/karma that could be empowering him. Not to mention the time it takes him to ramble through all of these parts when he actually might need one.
What other ways can fear and clutter be causing problems in our lives? We buy things because they are on sale. We are afraid not to buy them because it is such a good deal. We may never even use these items. Our world becomes so cluttered, we have to buy a bigger home or rent storage buildings to fit all of these items. Most of which we never even use.
How many times have you gone through your basement or a closet and found items new with the tags still on them? Items you just had to have at the time, or bought just in case...because it was such a good deal.
I hope this information has helped you to realize maybe it is time to declutter your life and your home.
We build clutter because of fear. Fear is what keeps us from exploring our full potential.
Let me give you an example. My friend has built 2 extra sheds in addition to his garage to store old car parts. He is a mechanic, and he is afraid if he gets rid of a part, that he will need it.
If he didn't have all of those parts that he doesn't need, he wouldn't have spent the money and time building the sheds. Plus, his emotion of fear is sending away the good emotions/karma that could be empowering him. Not to mention the time it takes him to ramble through all of these parts when he actually might need one.
What other ways can fear and clutter be causing problems in our lives? We buy things because they are on sale. We are afraid not to buy them because it is such a good deal. We may never even use these items. Our world becomes so cluttered, we have to buy a bigger home or rent storage buildings to fit all of these items. Most of which we never even use.
How many times have you gone through your basement or a closet and found items new with the tags still on them? Items you just had to have at the time, or bought just in case...because it was such a good deal.
I hope this information has helped you to realize maybe it is time to declutter your life and your home.
How it Relates
OK, by now you're probably wondering what all of this has to do with an inexpensive lifestyle.
Material items cost money. They cost money to buy. They cost money to keep. And a lot of times you barely use them. You just ended up wanting something new...another expense.
Now living in a completely furnished condo, I do not have to deal with breakdowns and repairs. These are included in the maintenance agreement. Plus after making my home as maintenance free as possible, the people who are renting my home from me, are now obligated to the repairs and maintenance in return for low rent.
My goal now is to find free things to see in different cities, and post them to my web site MooreFreeTravel.com .
Stay tuned for me, and take time to visit my other blogs.
Material items cost money. They cost money to buy. They cost money to keep. And a lot of times you barely use them. You just ended up wanting something new...another expense.
Now living in a completely furnished condo, I do not have to deal with breakdowns and repairs. These are included in the maintenance agreement. Plus after making my home as maintenance free as possible, the people who are renting my home from me, are now obligated to the repairs and maintenance in return for low rent.
My goal now is to find free things to see in different cities, and post them to my web site MooreFreeTravel.com .
Stay tuned for me, and take time to visit my other blogs.
Tuesday, October 7, 2008
The Decision
For years now, I have been determined I would move away from the cold winters of Northern Indiana to somewhere warm. That was it, the 2007-2008 was to be my last winter there.
In today's economy, one cannot blame me for deciding to live an inexpensive way of life. So I decided to combine the two.
After months of studying the economy, cost of living, and average temperatures of different cities, I decided on Myrtle Beach, South Carolina. Since I had spent a week here, two different winters, it wasn't a hard decision to make.
Left with only 4 months before time for the big move, I began to renovate my home. The plan was to rent it out for a profit close to the amount of rent I would have to pay to live by the ocean.
First we tore off the exterior of the home. Many cracks and holes had to be filled, and lots of wood had to be replaced, before we could put new siding on the home. I also wanted a smaller kitchen window, which would allow for bigger cabinets.
Finally, after 4 months, with new vinyl siding, new kitchen cabinets and flooring, the house was ready to be rented.
In the meantime, I managed to find a winter rental in Myrtle Beach. The condo would cost a little more per month than I would be receiving in rent. Since the utilities are included, it will be a break even venture.
Don't forget, I will need to find an income resource in the new town. If all goes well with my blogs, maybe I'll be able to travel all year.
And of course, I still need to get rid of my furniture and minimize my material objects. After a garage sale, and several trips to the Goodwill I still have quite a few items. In the meantime, I will have them in a storage area at my property up north. In the Spring, my goal will be to have another garage sale and try to get rid of anything we won't need.
Here is a LINK to some furniture I have for sale, if anyone in the area is interested please let me know.
Now you know how I got here, I'll keep you updated on my venture or should I say "adventure"!
In today's economy, one cannot blame me for deciding to live an inexpensive way of life. So I decided to combine the two.
After months of studying the economy, cost of living, and average temperatures of different cities, I decided on Myrtle Beach, South Carolina. Since I had spent a week here, two different winters, it wasn't a hard decision to make.
Left with only 4 months before time for the big move, I began to renovate my home. The plan was to rent it out for a profit close to the amount of rent I would have to pay to live by the ocean.
First we tore off the exterior of the home. Many cracks and holes had to be filled, and lots of wood had to be replaced, before we could put new siding on the home. I also wanted a smaller kitchen window, which would allow for bigger cabinets.
Finally, after 4 months, with new vinyl siding, new kitchen cabinets and flooring, the house was ready to be rented.
In the meantime, I managed to find a winter rental in Myrtle Beach. The condo would cost a little more per month than I would be receiving in rent. Since the utilities are included, it will be a break even venture.
Don't forget, I will need to find an income resource in the new town. If all goes well with my blogs, maybe I'll be able to travel all year.
And of course, I still need to get rid of my furniture and minimize my material objects. After a garage sale, and several trips to the Goodwill I still have quite a few items. In the meantime, I will have them in a storage area at my property up north. In the Spring, my goal will be to have another garage sale and try to get rid of anything we won't need.
Here is a LINK to some furniture I have for sale, if anyone in the area is interested please let me know.
Now you know how I got here, I'll keep you updated on my venture or should I say "adventure"!
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