Saturday, April 19, 2014

How are some people who own luxury homes able to afford them/?




sam j


I live in a very big city. There are a nice handful of upscall, street and subdivisions in my area. Home in those neighborhoods ranging from $ 300,000.00 to $ 5,000,000.00 I know not all those people are wealthy some are yound, some older people, my English 4 teacher drives a 2004 lexus rx suv and resides in a gated community in a $ 400,000 plus homes with her husband. How are people able to afford homes like this? I would really like to know.


Answer
It is not true that only doctors and lawyers can afford those homes.

It really has to do with how long you've been a homeowner, and what market you've come from.

I hope no one misreads this as bravado or bragging.. I'm just trying to illustrate a point. It's possible to own an expensive house and an expensive car, as long as you are smart about the purchases, and save for them.

I lived in NYC for 30 years. My first house cost $35,000 in 1978. I sold it for $400,000 in 1995. I bought a house in NJ for $400,000, and sold that in 2004 for $800,000. My $1M house I own now has NO mortgage on it. Although the taxes are numbing ($12,000 a year), I dont have any other debt for my home. I also have owned 1-2 year old high end vehicles (BMWs and Lexus) after the biggest depreciation is already out of them. So I pay for a BMW (as a certified pre-owned) what someone pays for a new Buick, only my car wont depreciate as fast. I do a reverse car loan too. I save the money I would have to pay on a car loan BEFORE I buy a new car, so I have no car loan when I buy it. And I only buy it when I need it and can afford it.

Now my son just bought a house in Charlotte, NC. He and his wife saved every penny they could for three years to afford a down payment, and they were lucky to get in at a time the builders were looking for help, so they got a great deal. They bought a $350K home with 20% down. How many people do that these days?

So it's silly to BLAME success as being only the child of a couple of professions, illegal activities or inheritance. There is a lot to be said for saving, living within your means, timing, and a bit of good luck.

I wish you Good Luck in the New Year.

What is a luxury car appropriate for a 17 year old?

Q. I am writing a story where the main character is a foster child who has been shunted from home to home. All her parents were rich. I want her to have a very nice car. Originally it was a ferrari but I thought that was a bit much. Any suggestions?(must come in a covertible model)


Answer
She's a girl ? I suggest drive cars like BMW 3 Series or a Mercedes-Benz E Class Coupe or Infiniti G37.A Ferrari is too hard to drive for a girl,especially when shes a new driver (since shes 17).Those cars I mentioned before are easy to drive and easy to take care.The Infiniti has light steering wheel which I think is perfect for girls.While the BMW and Mercedes are a bit heavier for the steer,but it delivers better feels for the driving.




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