Beyond Financial Independence

Your Home : How Much House Do You Really Need?

May 12, 2012 · Joe McLaughlin · Comments

The Big Save

Most people take more time and care in saving for their so called "dream-home" than they do their financial independence. Why is this?

Most homes in the city I live in look like the one on the left. That's an average home. It probably costs around $115,000-$130,000. Should you buy this home or a nicer home? How much could you save if you bought a not-so-nice home and invested the extra money?

In my opinion you cannot have a dream home unless you are financially independent. I am not going to kill myself financially just so I can be in a "dream home". I really don't think you can call a home no matter how nice a dream home if you still have a mortgage on it and you still have to go to work each day.

Now if the home is paid for and you go to work just because you want to, not because you need to, then I would say that you are: 1 financially independent and 2 have secured your dream home. Why do I say this? Well, if you have the home of your dreams, but you don't have the capacity to pay for it, then how can you really enjoy it? It becomes a burden on you instead of what it should be a blessing that you can enjoy.

I recently heard a woman on TV talking about her financial status saying that times were tough. She was explaining that her family may loose their home. She said the house they are in now is their dream home and she did not want to loose it. She also had two other relative families living with her and she was the only one working.

Soap Box Alert

My first question is, "Why aren't the men working?" If you call yourself a man you need to own it by providing for your family. I understand times are difficult and things happen, I myself have been out of work before. It's a terrible feeling. You can't pay your bills and you will do anything you can to bring in some money. However, on the program I was watching all the men were out of work and had been out of work for quite a while. They should be taking every job that comes along.

Do whatever it takes to bring in money.
When I was out of work, I took a job cutting grass at $7 an hour. That was a huge pay cut for me. Was I embarrassed for taking it? Yes, to be honest I was. Why? Because I thought it was beneath me. I have since changed my tune and understand it differently now. Any work you do if done well is worth something. If you can do an honest days work no matter what the occupation, provided its morally just, then you can hold your head up and be proud. So I took the job, but I didn't stay there. I kept looking and within a few short weeks I was able to land a job working for NASA. It wasn't the best job in the world, but it got me back on track.

Now about this lady and her dream house. She never should have been in that house to begin with. Get yourself financially free then go buy the house you want. Would you feel embarrassed to live in a house or an even cheaper house like this?


What if you swallowed your pride and stayed in this house for 15 years. During that time you invested everything you made after expenses. You don't even think about it. You put it all into your "Hoard". When the 15 years were over you would be financially independent and you could sell the house shown above and move to your new one shown below.


That's the benefit of putting your wants on hold for the sake of your financial future and the future of your family. You don't have to work anymore and you have a house that you can be proud of, after all it's your dream home.

By Joe McLaughlin

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