Reply to The divide gets bigger as you get older...

Forum Index » Money and Finances

Reply to "The divide gets bigger as you get older..."

Subject:

Emoticons





More smilies

Text Color: Font: Close Marks

[quote=Anonymous][quote=Anonymous][quote=Anonymous][quote=Anonymous][quote=Anonymous][quote=Anonymous]I think it simply becomes harder to HIDE that you haven’t saved or accumulated any money.

The first big shift is couples buying their first home.  Then it’s upgrading to a nicer home.  Later, it’s when you can retire.

[b]I have a number of friends who continue to rent a fancy lifestyle. They may have high earnings but can’t save any or much. Still don’t own a home.  We make less but bought a while ago and have since upgraded.  It is becoming more and move obvious that certain couples haven’t saved any money especially if they can’t even buy a house or apartment.[/b]  [/quote]

I know the type of friends you're talking about - as I have that type in NYC - renting the 5-7k/mo apartment and thus not saving much or at all despite high salaries but when they consider buying, given the down payments they have saved despite high salaries they'd have to buy "regular" apartments - built in the 80s, shared laundry etc. even though they're doormen buildings in a good part of town and then it's ew I'm not buying THAT, have you seen the views from my luxury apartment and my all granite kitchen? I get it but then the cycle continues and equity doesn't get built at all.

Outside of NYC though IDK maybe it's just because I know fewer people here [moved here only five years ago], somehow I don't assume that people who haven't bought can't afford it. I mean maybe they can't but it doesn't seem like renting a fancy life is THAT expensive here. I always assume they aren't buying and just investing a ton maybe to buy someplace else.[/quote]

Yes. I live here in DC and I rent. I have a high salary but just continue to save and invest until I get married. Currently dating someone now so if we end up marrying we should be fine. [/quote]

Same. I don't think renting esp in this area where salaries are high is a sign that someone is poor/can't afford a down payment. I think of it as a sign that they are invested to the hilt - as some of my apartment dwelling friends are and/or aren't looking to stay here more than x years so they aren't focused on buying here. But yeah the divide gets bigger if someone is making money and not doing anything with it besides spending on luxury living - so you have to own a home or if not owning then invest a TON more than people who do own etc. [/quote]

Someone who is still renting because they are investing ALL of their money is an outlier.  I have one friend doing this.

The majority of people who are high income and haven’t bought simply don’t have the downpayment.  They are spending most of what they are making. [/quote]

DP: I'm another outlier.  I rent and have way more in investments/higher net worth than my homeowning friends.[/quote]

Options

	Disable HTML in this message
	Disable BB Code in this message
	Disable smilies in this message

Review message

Search Recent Topics Hottest Topics