http://blog.mint.com/blog/finance-core/a-visual-guide-to-the-financial-crisis/
We owe our current prosperity, security and good health to the investments of past generations, and we are obliged to renew those commitments.For the first time in generations, the nation’s children could face poorer prospects than their parents and grandparents did.”
A man flying in a hot air balloon suddenly realizes he’s lost. He reduces height and spots a man down below. He lowers the balloon further and shouts to get directions, “Excuse me, can you tell me where I am?” The man below says: “Yes, you’re in a hot air balloon, hovering 30 feet above this field.” “You must work in Information Technology,” says the balloonist. “I do” replies the man. “How did you know?” “Well,” says the balloonist, “everything you have told me is technically correct, but It’s of no use to anyone.” The man below replies, “You must work in management.” “I do” replies the balloonist, “But how’d you know?” “Well”, says the man, “you don’t know where you are, or where you’re going, you expect me to be able to help. You’re in the same position you were before we met, but now it’s my fault.”
How much are you paying now for rent? You should look at a good principal and interest calculator or talk to your lender to get the whole picture, including monthly amounts for taxes, insurance, any applicable homeowners association dues, and any applicable mortgage insurance. This is important even if you plan on paying taxes and insurance on your own (rather than impounding them and making monthly payments to the lender) because you will want to make sure to budget monthly to set aside for these expenses. So, if you are paying $1,500 currently for rent, and the new home will be $2,500, put your budget to the test and see how well your finances run when you put the amount of the increased housing expense (in this case $1,000) into your savings account. Take it out right when you pay your rent, and don’t touch it. This is a great test of how much you can really comfortably afford, and of course has the nice side effect of padding your savings for a few months before you start shopping for a home.”
http://www.nytimes.com/2007/04/10/business/2007_BUYRENT_GRAPHIC.html?_r=1
Bing and dumb….makes me laugh - Don’t tell Microsoft ;)
Just a moment is needed to never forget…
“We owe our current prosperity, security and good health to the investments of past generations, and we are obliged to renew those commitments.
For the first time in generations, the nation’s children could face poorer prospects than their parents and grandparents did.”
For the first time in generations, the nation’s children could face poorer prospects than their parents and grandparents did.”
“A man flying in a hot air balloon suddenly realizes he’s lost. He reduces height and spots a man down below. He lowers the balloon further and shouts to get directions, “Excuse me, can you tell me where I am?” The man below says: “Yes, you’re in a hot air balloon, hovering 30 feet above this field.” “You must work in Information Technology,” says the balloonist. “I do” replies the man. “How did you know?” “Well,” says the balloonist, “everything you have told me is technically correct, but It’s of no use to anyone.” The man below replies, “You must work in management.” “I do” replies the balloonist, “But how’d you know?” “Well”, says the man, “you don’t know where you are, or where you’re going, you expect me to be able to help. You’re in the same position you were before we met, but now it’s my fault.”
“How much are you paying now for rent? You should look at a good principal and interest calculator or talk to your lender to get the whole picture, including monthly amounts for taxes, insurance, any applicable homeowners association dues, and any applicable mortgage insurance. This is important even if you plan on paying taxes and insurance on your own (rather than impounding them and making monthly payments to the lender) because you will want to make sure to budget monthly to set aside for these expenses. So, if you are paying $1,500 currently for rent, and the new home will be $2,500, put your budget to the test and see how well your finances run when you put the amount of the increased housing expense (in this case $1,000) into your savings account. Take it out right when you pay your rent, and don’t touch it. This is a great test of how much you can really comfortably afford, and of course has the nice side effect of padding your savings for a few months before you start shopping for a home.”
