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Titusfied
2007-02-09, 11:06 AM
Man, enjoy life while under the protection of your parents as long as you can. Because life on your own, is a lot tougher, and a LOT more expensive...

Let's break it down:

Buying a house, car, furniture, paying all your bills, mortgage, insurance, utilities, etc. adds up.

House = $250,000
Let's say you put down $50,000, and take out a $200,000, 15 year fixed mortgage. That puts you at about $1,600 / month.

Car = $40,000
You put down $20,000, and take out a $20,000, 3 year car loan. That puts you at about $600 / month.

Utilities = $300 / month.
$125 for cable, internet, and phone service.
$25 for water.
$50 for electric right now.
$200 for gas right now.

Car insurance = $1,200 / 6 months -or- $200 / month.

Misc bills (Cell phone, EZ-Pass, etc.) = $100 / month.

Furniture = $15,000 total.
Instead of saving it all up to spend it, you put it all on a credit card, then do a balance transfer to another card that gives you 0% APR for the first 12 months, making your monthly payments $1,250 / month to pay it off without getting hit with heavy interest penalties.

Home Owners insurance = $750 / year (depending on your place and locations, etc.) -or- $62.50 / month.

Association fee (for townhouses, etc.) = $75 / month.

So, in the end, if you want to live this lifestyle, you will need an initial $70,000 just for all the downpayments, plus probably another $10,000 for incidental expenses that come with all this to be safe. So, you need to have $80,000 in savings to even consider this.

THEN, after you spend all that money, you are spending on average, about $4,187.50 / month. OR, you will need about $95,000 in savings to cover the furniture expenses, and only spend $2,937.50 / month.

This doesn't include personal expenses, such as socializing, food, dating, vacations, etc. Man, being old and trying to be responsible sucks...

Now, to put it in perspective, to spend about $4,200 / month, save a little money, and have some spending cash, lets round it up to $5,000 / month. You need to have a job that pays about $75,000 / year (assuming about 29% of your gross salary is taxed).

I'm at that point in my life, which is why I've taken the time to break this down. I have much further researched this than what I just wrote, but this is the QUICK breakdown of life.

Have fun! Just wanted to give you all something to look forward to!

kaos
2007-02-09, 11:17 AM
Man, that sucks. How the fuck are you supposed save money that way >_<.

Titusfied
2007-02-09, 11:40 AM
Exactly my point. It's fucking ridiculous, and saving money becomes a painfully slow process. And if you can't put that much money down, then it becomes even more difficult.

Beat as hell if you ask me.

Grav
2007-02-09, 11:42 AM
This is why we bust our ass in college as Engineering students -_-

Titusfied
2007-02-09, 11:55 AM
Actually, to make $5,000 / month, you need to make about $90,000 / year. After state tax, federal tax, medical benefit deductions, and 401k, you are losing at least 33% of your salary, which immediately puts your salary down to $60,300 / year, which is $5,025 / month clear.

Thanatos
2007-02-09, 12:01 PM
Why would you buy a $250,000 house or a $40,000 car? Screw that. My car was $8,000 so I only pay about $400 a month for a payment and insurance. Coming up very soon, I plan on getting a $400 - $600 a month apartment. That's pretty affordable on my salaray. You just have to look in the right places. Don't settle for something until you've looked everywhere.

Grav
2007-02-09, 12:13 PM
Actually, to make $5,000 / month, you need to make about $90,000 / year. After state tax, federal tax, medical benefit deductions, and 401k, you are losing at least 33% of your salary, which immediately puts your salary down to $60,300 / year, which is $5,025 / month clear.

This is where management comes into play! I can sit on my ass AND get paid too much.

Titusfied
2007-02-09, 01:31 PM
Why would you buy a $250,000 house or a $40,000 car? Screw that. My car was $8,000 so I only pay about $400 a month for a payment and insurance. Coming up very soon, I plan on getting a $400 - $600 a month apartment. That's pretty affordable on my salaray. You just have to look in the right places. Don't settle for something until you've looked everywhere.


Why? Because when you're a 25 year old professional, driving around in an $8,000 junker doesn't cut it, and renting an apartment is wasting your money because you don't get anything in return for your investment.

Do you seriously plan on renting an apartment and driving around in a Honda Civic for the rest of your life? I don't.

I'm driving around in an Infiniti G35 Coupe, decked out with options, and living in a 3 floor townhouse. You'll understand when you get older.

kaos
2007-02-09, 01:33 PM
*Blows up*

!King_Amazon!
2007-02-09, 01:56 PM
I'm driving around in an Infiniti G35 Coupe, decked out with options, and living in a 3 floor townhouse. You'll understand when you get older.

Why don't we go out sometime big boy.

Thanatos
2007-02-09, 02:58 PM
Why? Because when you're a 25 year old professional, driving around in an $8,000 junker doesn't cut it, and renting an apartment is wasting your money because you don't get anything in return for your investment.

Do you seriously plan on renting an apartment and driving around in a Honda Civic for the rest of your life? I don't.

I'm driving around in an Infiniti G35 Coupe, decked out with options, and living in a 3 floor townhouse. You'll understand when you get older.

Of course I don't plan on living in an apartment the rest of my life. I'm only 19 and my $8,000 '02 Cavalier LS does me just fine. It's great on gas and it looks sleek and sexy.

By the time I hit 25, I should have a college degree and who knows, I could be married by then so I obviously won't be living in an apartment.

For being 19, I think owning my own car and renting out my own apartment is doin pretty damn good.

Grav
2007-02-09, 03:01 PM
So shed some more financial wisdom on us ditus

What job/position/salary did you start with?

!King_Amazon!
2007-02-09, 03:01 PM
I'm pretty much in the same boat as you, except I'm living with Nikki, we've both got really nice jobs, we're both going to be in college soon, we live really nice, we've got more money than we can spend, life is great.

HandOfHeaven
2007-02-09, 03:13 PM
I'm glad you've planned out my future! I want to be just like you!


But in all seriousness this is some good advice, although not many people live on the east coast where the standard of living is higher and so are the wages.

!King_Amazon!
2007-02-09, 03:20 PM
Titus, I think if you had someone to share all of those expenses with, it probably wouldn't sound so bad. You're pretty much talking about tackling goals that families go for, but on your own. If I understood right anyway.

HandOfHeaven
2007-02-09, 03:29 PM
Titus, I think if you had someone to share all of those expenses with, it probably wouldn't sound so bad. You're pretty much talking about tackling goals that families go for, but on your own. If I understood right anyway.
Basically I got that out of it as well. Most people try to get in 3 years what their parents got in half a lifetime.


Titus, is your goal actually attainable with your current salary?

Titusfied
2007-02-09, 03:58 PM
Actually, no. I wasn't able to save up the full $50,000 down payment on the townhouse. I put $25,000 down, and took out an 80/10/10 (80% mortgage, 10% down, 10% loan) 15 year fixed mortgage. Essentially, it's an 80/20 (20% down, 80% loan) though. I live with one of my friends for the time being, with plans for my girlfriend to move in, but not until July 2008.

I have about $2,500 per month for mortgage, utilities, association fee, and home owners, but with my friend, I charge him $500 for rent and split the rest of the utilities, so he pays me like $650 of it per month.

Then, I had $5,000 toward furniture, so I only put about $10,000 on my credit card for the rest, which is almost $950 per month. All in all, with my car payments and insurance, I'm at around $3,400 per month, which I can afford, and still put about $500 away into savings, and do whatever socializing I want... for the most part.

Still saving is difficult, that's my whole point. And Thanatos, I think you're doing fine for only being 19. My point was that at my age, I wouldn't be doing fine if that was me.

Of course, with a family, I'd sell the townhouse, and buy something larger, since I plan on having children. Although, like you guys said, the big difference would be that I would be splitting ALL the expenses in HALF, rather than at a very discounted portion, as I'm doing right now. It will probably still end up being the same costs as it is now, since I would upgrade, however I plan on making a lot more money by the time that part of my life comes around. ;)

Lenny
2007-02-09, 05:09 PM
To me, $250,000 on a big house like that sounds like nothing. In fact, it's only around £127,000 - over here that would get you a nice poky terraced house with a small garden, out in the suburbs.

Though it depends on the area.

You've done pretty well to get such a big house for that price.

kaos
2007-02-09, 05:24 PM
I have more houses and buildings and 3 story card board boxes than any of you.

Lemme load up my GTA:SA game save.

Lenny
2007-02-09, 05:35 PM
Second Life, anyone? I'd like to try that someday.

kaos
2007-02-09, 05:44 PM
Real pussy feels better than e-pussy, though. Same goes for everything else ^^.

iceman887
2007-02-09, 06:34 PM
do u not get health insurance?

Sovereign
2007-02-09, 08:33 PM
This thread makes me remember the old toys r us commercial song.

slaynish
2007-02-14, 08:01 AM
Titus what did you major in college?

I have my eyes set on becoming like a computer technician, just my main priority is making money at something I love, which would be working with computers. The only thing is, i have no idea of the different jobs i could get that would make me a killing with working with computers.

Going to college right now doesnt seem like a problem, with football,track and other sports to come, student council, and different clubs i continue to be in for the rest of my 3 years, i think i could be accepted into a lot of places. (my grades are great too)

kaos
2007-02-14, 09:05 AM
with football,track and other sports to come

So you don't have 41/2 chins anymore? That's harder to believe than penis erecting to Mantralord's sweet, rugged, cherry-flavored mangina.

slaynish
2007-02-14, 09:10 AM
lolz no ill post nude pix hold up

http://img.photobucket.com/albums/v294/slaynish/me-1.jpg

im the one on the left

To the right is my boy CJ

kaos
2007-02-14, 09:17 AM
gfg, I'll be waiting....


*leaves*

slaynish
2007-02-14, 09:42 AM
k lolz u can come back now 1 of these days

kaos
2007-02-14, 09:53 AM
*Comes back with grocery bag full of lotion*


WTF. gibnekkedpixplzjustslaytitsonlykthx.

HandOfHeaven
2007-02-14, 12:08 PM
You's a thug.

Medieval Bob
2007-02-14, 12:13 PM
Well, one thing you could have done is get a 30-year loan instead of that 15-year monster. That way, your minimum payment would be down about... oh 30-40% depending on your interest rate, and you can still pay whatever extra to your principle that you want each month.

Titusfied
2007-02-14, 12:39 PM
Problem with a $200,000 mortgage is that the principal ends up being about double the loan's price with a 30 year fixed, opposed to $95,000 extra for the 15 year, so I figured I'd just buck up and keep on a tight budget now so I'm better off down the road.

The same could be said with the car loan. Typical is a 5 year loan, but I did mine in 3 to get it off my back and save on the principal interest.

slaynish
2007-02-14, 12:43 PM
you niggaz is old im savin up fo like a video ipod u wana split me about 250 breadz

Titusfied
2007-02-14, 01:00 PM
What snigga?

Grav
2007-02-14, 03:18 PM
You look like the kind of person that is ruining America

!King_Amazon!
2007-02-14, 04:03 PM
Problem with a $200,000 mortgage is that the principal ends up being about double the loan's price with a 30 year fixed, opposed to $95,000 extra for the 15 year, so I figured I'd just buck up and keep on a tight budget now so I'm better off down the road.

The same could be said with the car loan. Typical is a 5 year loan, but I did mine in 3 to get it off my back and save on the principal interest.
Get a smaller house, pay it off, resell it for more than you payed, get a better house. That's how it's supposed to work. You don't just jump into a great life that(for the most part anyway.) You're a young guy, why are you getting such a pricy place?

Titusfied
2007-02-15, 06:44 AM
$250,000 is what I plan on having as my "junker". I plan on fixing it up, living there for 5 years or so, flipping it, buying a new place for like $500,000+ at least. I live in a nice area though, which is the price driving factor. The place is pretty damn big for the price, considering.

Medieval Bob
2007-02-15, 10:34 AM
Remember, property values aren't the same everywhere. Like, around here, a $100k house is about average. In Cali, though, on the beach, a decent house is a couple mill. It really depends on the area and the cost of living.

!King_Amazon!
2007-02-15, 11:46 AM
Like they say it's not the size of the house that matters, it's how you use it amirite

Grav
2007-02-15, 11:47 AM
Motion of the ocean amirite

!King_Amazon!
2007-02-15, 12:06 PM
z0mg his house is OVER NINETHOUSANDDDDDD!!!!!!!

slaynish
2007-02-16, 12:29 AM
looks can be deceiving

kaos
2007-02-16, 03:00 PM
Ya'll need to kno how to scheme up ideas and scam ppls str8up. Like me. I gota super plan to scam rich noobs w/ big $$$ items. I just need someone to invest a ".com" site for me to get shit goin'. They'll get paid handsomely, too :D.

And you can't just go and do some stupid shit that could come back and kick you in the balls, you gotta think of a plan. Then imagine if you did that shit, if any of the steps could get you pwnt by the law, you gotta brainstorm then about how you can make the plan 100% anonymous.

Word up.

Quick $$ fo' life sniggaz

http://img100.imageshack.us/img100/8488/titusburgerua4.jpg