Duane Adolph
May 18, 2008, 12:55 PM
Hi Folks, thanks for your thoughtful replies.
Sandi - thanks for pointing out the "other nasties" to consider before renting...Did you say Corned beef? :-<
Margaret: Thanks for Sharing the 2.5-3x Salary Benchmark for mortgages. I have not heard the ratio expressed quite like that before. Makes for EASY mental math
Todd: Thanks for "quoting" one of the flaws in the articles arguement. The stat about ROI being ZERO set my alarm bells off as well.
Michael: Thanks again for the 3 Rules: and the 3 schools of thought post. I gotta come BACK to your statement of "NEVER SELL" at another time.
Same sentiment was echoed by a friend of mine that invests in realestate.
Ankesh: Thanks for "gist" of the article on Businesses. It shows the benefits of appreciation and a Longer term focus. You echoed the same sentiment as Michael did. It begins with 'Your Purpose" or "Your WHY"
C.T.coburn: "Own Something" I understand the value of "owning" things. But it REALLY depends on WHAT YOU are Referring to.
The challenge I have with this line of thinking is that it can STOP people
from moving forward on ideas, because they believe the have to OWN all of the RESOURCES before they begin.
There is an alternate World view that says I DON't Want to Own anything...I just want to "CONTROL IT".
For example: Jim Straw used/uses an Options contract to control assets for a certain amount of time. With minimal to no money of his own in the deal. He then adds value in some way to the asset and
resells it to make himself a handsome profit. (read Jims Snooper report to see how) http://www.businesslyceum.com/snooper.html
Now IF he had the "I gotta own it" mentality it would have COST him a lOt of Money upfront and or Time to raise the money which
could have prevented the deal. By using the option as Leverage he was able to take advantage of an opportunity QUICKLY and profit from it.
I think Jim also mentioned that If he had to do it all again, he would never own his own products. He would work as an affiliate. Similar line of thinking.
Heck examples abound
Michael Ross wrote a great report on the www.artofleverage.com how to start a business with minimal investment
Dien Rice writes REAL WORLD examples of businesses that can be started without having to own everything www.hiddenbusinessideas.com
Hmm I guess it does pay to OWN SOMETHING just depends on WHAT it is you
are referring to that you want to "OWN"
O.K I'm straying from the original topic....
THANKS ALL FOR SHARING YOUR THOUGHTS.
Duane Thoughts:
- It was refreshing to see an article that "went against the grain"and argued FOR renting. You all touched upon most of the points I was thinking.
- It all depends on your circumstance and future circumstances. The best move would be to go to the position that gives you the MOST OPTIONS
- In the long term: Owning because you have more leverage should a catastrophe happen in your income down the road. You can rent it out, borrow against to invest, rent out a garage (Michale Ross mentioned these in his post) etc.etc.
MORE OPTIONS = MORE POWER
BIG BUT!!!
The views we expressed are more than like based on How we are currently living and where we are currenlty living.
If you read The Four Hour Work Week by Tim Ferriss, and let's just say you were able to maintain your present level of (Internet) income while Renting for a LOT Less in another country.
You could potentially SAVE a lot and Reinvest to Make Much More than owning ....
Hmmmm
You can make anything work, as long as you are clear on your WHAT...and your Why? and TAKE ACTION on Both :D
SOWPUB RULES!!
Hi Folks,
I Just read this article
http://ezinearticles.com/index.php?Dont-Buy,-Stay-Renting---Heres-Why!&id=1157441
"Renting is just plain better. It's better because it makes you richer"
He makes an argument for renting vs owning a home. (He obviously has a vested interest as he owns an apartment living site)
I have my thoughts, but I'm curious what you think.
Benefits:
- NO Debt ?
Thoughts?
Sandi - thanks for pointing out the "other nasties" to consider before renting...Did you say Corned beef? :-<
Margaret: Thanks for Sharing the 2.5-3x Salary Benchmark for mortgages. I have not heard the ratio expressed quite like that before. Makes for EASY mental math
Todd: Thanks for "quoting" one of the flaws in the articles arguement. The stat about ROI being ZERO set my alarm bells off as well.
Michael: Thanks again for the 3 Rules: and the 3 schools of thought post. I gotta come BACK to your statement of "NEVER SELL" at another time.
Same sentiment was echoed by a friend of mine that invests in realestate.
Ankesh: Thanks for "gist" of the article on Businesses. It shows the benefits of appreciation and a Longer term focus. You echoed the same sentiment as Michael did. It begins with 'Your Purpose" or "Your WHY"
C.T.coburn: "Own Something" I understand the value of "owning" things. But it REALLY depends on WHAT YOU are Referring to.
The challenge I have with this line of thinking is that it can STOP people
from moving forward on ideas, because they believe the have to OWN all of the RESOURCES before they begin.
There is an alternate World view that says I DON't Want to Own anything...I just want to "CONTROL IT".
For example: Jim Straw used/uses an Options contract to control assets for a certain amount of time. With minimal to no money of his own in the deal. He then adds value in some way to the asset and
resells it to make himself a handsome profit. (read Jims Snooper report to see how) http://www.businesslyceum.com/snooper.html
Now IF he had the "I gotta own it" mentality it would have COST him a lOt of Money upfront and or Time to raise the money which
could have prevented the deal. By using the option as Leverage he was able to take advantage of an opportunity QUICKLY and profit from it.
I think Jim also mentioned that If he had to do it all again, he would never own his own products. He would work as an affiliate. Similar line of thinking.
Heck examples abound
Michael Ross wrote a great report on the www.artofleverage.com how to start a business with minimal investment
Dien Rice writes REAL WORLD examples of businesses that can be started without having to own everything www.hiddenbusinessideas.com
Hmm I guess it does pay to OWN SOMETHING just depends on WHAT it is you
are referring to that you want to "OWN"
O.K I'm straying from the original topic....
THANKS ALL FOR SHARING YOUR THOUGHTS.
Duane Thoughts:
- It was refreshing to see an article that "went against the grain"and argued FOR renting. You all touched upon most of the points I was thinking.
- It all depends on your circumstance and future circumstances. The best move would be to go to the position that gives you the MOST OPTIONS
- In the long term: Owning because you have more leverage should a catastrophe happen in your income down the road. You can rent it out, borrow against to invest, rent out a garage (Michale Ross mentioned these in his post) etc.etc.
MORE OPTIONS = MORE POWER
BIG BUT!!!
The views we expressed are more than like based on How we are currently living and where we are currenlty living.
If you read The Four Hour Work Week by Tim Ferriss, and let's just say you were able to maintain your present level of (Internet) income while Renting for a LOT Less in another country.
You could potentially SAVE a lot and Reinvest to Make Much More than owning ....
Hmmmm
You can make anything work, as long as you are clear on your WHAT...and your Why? and TAKE ACTION on Both :D
SOWPUB RULES!!
Hi Folks,
I Just read this article
http://ezinearticles.com/index.php?Dont-Buy,-Stay-Renting---Heres-Why!&id=1157441
"Renting is just plain better. It's better because it makes you richer"
He makes an argument for renting vs owning a home. (He obviously has a vested interest as he owns an apartment living site)
I have my thoughts, but I'm curious what you think.
Benefits:
- NO Debt ?
Thoughts?
