If You Want To Be Wealthy, Don't Focus on Owning a House--Build a Business

If You Want To Be Wealthy, Don't Focus on Owning a House--Build a Business

DYI Comments:  What's the old adage??  "If you can't beat em join em!"  Concentrate on the 1% as compared to the bottom 90%; by staying debt free, living in a very modest house or apartment, build a business and invest the excess into stocks, bonds, and income producing real estate your percentages will be similar to the top 1%.

In other words, by completely reversing what has been told to the middle class and that is, buy a house and a big one pronto.  It is usually strongly advocated by well meaning relatives, yet it is the worst possible advice placing young people into a large amount of debt right from the git go!  On top of that most relatives will advise to take out a 30 year mortgage increasing the interest costs significantly.  Seven to ten years later this young couple moves and purchases another 30 year mortgaged home starting the interest debt clock all over again.  With a 15 year mortgage if they move ten years later a significant amount of the house is paid for as opposed to the 30 year mortgage with an INsignificant (almost none) paid off.

  Here is a quote from Thomas Stanley:

"The data strongly indicates that this ratio of wealth building productivity is inversely related to the market value of one's home."

So simple and so few follow through....

DYI