Building Wealth

I have been following Dave Ramsey lately and his mindset of building wealth. I find it very interesting that the majority of millionaires in this country live in a home valued less than $300,000. This tells us that they are building wealth by not upscaling.

Contrary to that, the majority million dollar homes out there are not owned/occupied by millionaires. Instead, they are owned by high income producers that make more than $200,000 per year. What we can learn from this is that this is probably the driving factor behind all the upscale homes going into foreclosure. Folks bought more than they could afford, then their income went south and they lost their homes.

I believe that we can all learn a valuable lesson here. Just because you can afford to spend X dollars on a home, doesn't necessarily mean you should. Always plan for the future and the unexpected. If you live in less home than you can afford, you have a much better chance of building wealth.

For more on this topic, pick up the book "Stop Acting Rich: And Start Living Like a Millionaire" by Charles Stanley, PH.D.

If you find yourself in a situation where you can no longer pay for your home and you are facing foreclosure, call me. Many times I can negotiate with the bank and sell your home for less than you owe saving you from foreclosure.