/biz/ - Business & Finance

>>1717870

I don't disagree about incremental expenses, but I need some kind of citation on your claim that housing prices have tripled in real terms.

I'm reading an article of US News that says average take home pay in 1916 was $687/year, and the median house was $3200. Today, average take home pay is $53,000 and the median home is $177,600.

So a house used to cost 4.65x annual take home pay in 1916 and now costs 3.35x annual take home pay in 2016. It seems to me that buying a home actually got easier, as a percentage of earnings.

>>1717289

>Shave with a knife once a week without cream or aftershave

What the fuck lol. I tried to use coconut oil and a razor once and learned within about 1 swipe how bad of a decision that was. I would recommend a safety razor. Each blade costs like 10¢ and is good for a minimum of 4 shaves. I haven't found a good shaving cream alternative, so any suggestions are appreciated.

>Don't get a gym membership; buy workout equipment + workout at home

This one depends. If I were to build a home gym, it would cost me many thousands of dollars (kind of a gym enthusiast). At some point, paying a shitload for gym equipment is less profitable than paying $50/month to a gym and reinvesting the leftover money.

>Don't replace stuff, repair it
>Buy good quality clothes, wear them for 10 years+

I'm glad you put both of these in here. I work in financial services (people are snobs), and there's a fine line. It's a lot more expensive to miss out on a promotion than to pay a couple hundred dollars to get something replaced.

> My contribution to the discussion as a financial services worker

1) Pay attention to fucking fees. For example, a financial advisor might try to push you into a plan where the fee is 1% of assets every year. That seems like so little, but over decades, that turns out to be an enormous sum in lost gains. Compound interest is very powerful.

2) Do not buy a fucking house. Residential property is one of the worst "investments" you can make, contrary to all the "American dream" tards you'll hear telling you it's a necessity. Pic is the Case Shiller Housing Index. Since 1900, housing has returned ~80% in real terms. The DOW has returned ~165551% over the same period with reinvested dividends. Rent a cheap apartment, take the money you didn't spend on a shitty mortgage, and put it in the market.