Dream home requirements. What's on YOUR list?
8 years ago
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Do you have your 'dream house'?
Comments (71)When I was growing up, we lived in a plain, small farmhouse. There was nothing spectacular or charming about it, though I have decent memories of growing up there. Still, I had family members and friends who lived in these prairie box/four square style homes and as a kid, I always thought that these were the coolest houses and I wished I could have lived in one. I can't even pinpoint what things made it cool in my mind, these houses just always felt like "family" to me. I didn't even know back then what kind of house style it was. I did especially love the ones that had a back staircase though, back staircases are so cool! Anyway, we are now raising our family in a four square and to me it is totally my dream house for raising kids, because that is what I always wanted as a kid. Not sure if my kids think it's a dream to live here, but they do mention things they love about growing up in this house. There is no beach front, no huge yard, no lake, not necessarily a charming neighborhood though not bad, not even a cool town, but to me, it still feels like a dream to live here with my family. It is just solid. I didn't get a back staircase though! LOL When we retire, I have a dream of owning a bungalow. That style of house is very cool to me too. Stinky, mentioning the comments that others make reminds me of when we bought this house, and actually still to this day, the crap we took and continually take for paying asking price for our house. We love to laugh about it, knowing how happy we are here. You can't make people understand these things, they just love to judge and think that they could have done it better. It was an awesome decision for us, and we knew that it was worth every penny to us....See MoreWhat are your “must-haves” or “wish I had” for your dream home
Comments (49)so you would know that leverage increases risk. This is not true. A levered firm will be more risk than the same firm unlevered. However, that is different than saying that leverage increases risk for several reasons. Essentially, the overall risk of adding debt to a firm depends on the overall risk of the underlying assets. For example, $100 invested in Enron stock in September of 2000 was more risk than having $100 invested in Enron and $100 invested in Apple, even if your marginal debt is $100. Moreover, this is largely not true for highly liquid assets. Essentially, having $100 and owing $100 is the same financial position as having $0 and owing $0. Looking at our example, you have added $500,000 of debt, but you have also added $500,000 of highly liquid investments. you had a good run in the longest bull market in history but it could also have gone the other way and you could have lost your 500k investment and now the bank owns your home. This statement is incorrect for several reasons. First, I have been doing this for 25 years now so the recent bull market isn't really relevant. Since the 1929 collapse (when the modern market was introduced) there has not been a single down five year period, and only a couple of small down three year periods. I put money in the market in 2003 and after 2008 I was still in the black. Meanwhile my house wasn't liquid at all. So had I needed cash, I would have had it available, the credit freeze didn't bother me at all. Additionally, the equity market recovered much faster than housing, two years after the collapse the market was back at 95% of pre-crisis value. Next, properly diversified investment portfolios don't just go to zero. They may lose some value, but it isn't like one day you have money and the next day you don't. One day you have money and the next day you have a bit less. Finally, houses are riskier. It is much more likely that your house will decrease in value than it is your investment portfolio will decrease in value. Above you mentioned a scenario where I could lose my house. However, in reality it is much more likely to lose your house or health from a maintenance issue. The house that is across from one my rentals has a foundation problem, the owner who purchased it in January of 2011 for $210,000 cash just sold it for $130,000 in November of 2018. Had he financed $168,000 and invested that amount he would have had $401,000 in investments and maybe fixed the house instead of giving it away because he can't afford the $80,000 to repair the house....See MoreCreate the Home Gym of Your Dreams
Comments (1)Great opportunity at home gym. Fitness is an important part of our life to be in shape and keep our health in good shape....See MoreYour ridiculous dream house wish?
Comments (18)I always thought my dream feature would be an atrium but that was before I read knicetime’s dream of a self-Cleaning house! If I had 3 wishes strictly limited to house features, those would be my top two! Just think about it...the atrium’s glass ceiling panels would clean themselves...inside AND out!...See More- 8 years agolast modified: 8 years ago
- 8 years agolast modified: 8 years ago
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