Monday, October 6, 2014

Build or buy your house

Welcome to our blog, menfranco general blog
and this post, build or buy your house
This is an old large house, we call it here the Queen-slander, not many of us would be able to afford a large house like that, so we have to start with a much smaller version.

Some of us would be happy to start with a house like this one beside here, but even this sometimes might be too much to start with, anyhow we have to do our best and try to start with whatever we could afford, because we don't want to get in financial trouble.

Build or buy your first house

This could be your life best advice that you ever receive for free; we invite you to build or buy your own house, because everybody deserves a house to live in, but there are a few things that one needs to learn to become an owner of a house. So here under we are going to discuss some of the most important things, so that you can learn the most important things that one needs to know before you build or buy your house, we are also inviting you to read our articles about building and maintaining your property. 
We all would like to live and if possible own the best house available, perhaps just like the one in the photo shown here above, but to be able to buy that house one needs to have lots of money and this is not the case for the first home buyers, but it is a dream that any of us can dream and if we work hard to achieve that, maybe one day we would be able to own even a house like that, but let us first of all dream about it, but at the same time let us work out how to start to own just a plain house that we can afford; and then by working hard we should be able to climb up the ladder one step at a time.
In order to do that we should learn how to organize ourselves to save enough money, and at the same time we should learn about organizing and understanding finance, because to buy a house it is important to know that. Our dream home might be something like the picture above; but really these houses shown in this link below might be good enough and if they are not, then let us use them to climb up the ladder of real estate.

Organizing and understanding finance
We have already mentioned in our last post, Houses for sale or rent that we need money to buy a house, but, what we have not said is that this money should be your money that you have saved for a while for any worthwhile purpose, so first of all it is necessary that we have a good knowledge of how to organize and understand financial matters, so organizing and understanding finance is very important, if you want really to buy your own house.
But, here I am afraid that I have to say that the younger generation of today are not thinking to save money at all, and this is the greatest problem that they will encounter when they are going to buy a house; you see they spend their money before they earn it, because the greedy money lenders have invented the credit card and the credit card allows people to buy things with their borrowed money, of course you have to give it back to them, but while you are doing that the money lenders charge very high interest for the small amount of money that you have borrowed from them.
So the very first thing that you have to learn if you want to buy a house is that you have to save money, and that you are not borrowing money unless it is really necessary for any large items like buying a car or a house, everything else you have to buy with your own money. Therefore, if you have no money to spend don’t buy anything, unless those things are strictly necessary, if you do that you will find that every now and then you can save some money, once you have done that a few times, you are on the way of saving enough money to buy your own dream home. Some people these days even call on experts how to budget their own money, but really it is all common sense.
So, let me explain here how this money business works; so let us describe a couple of examples that with time they might make you reach in one case, or they would make you broke for the rest of your life.
So let us assume that there are two people that earn the same amount of money, and they are about the same in every other way except the way they are using their own money. We will call these two people, X1, and, X2. 
So, let us talk first about X1; You see X1 usually spends just a bit more than X2, let us say about 10% more than X2, this might not seem very much, but with time it becomes a great deal, sometimes X1 uses his credit card to buy things before he gets paid, just because he cannot resist the urge, and when the time comes to pay back what he has borrowed, he has to pay just a few dollars interest to his money lender, so he ends up that he can never save any money, and when he does, he soon find something that he wants to buy and buys it, even if he could have done without it just the same.
Now let us talk about X2: Okay, X2 is different from X1 because he has made up his mind to save as much money as he can, because he really wants to own a house. So, X2 every week saves two hundred dollars and deposit it in a saving deposit book that also pays him some interest if he has money in it. He has worked it out that in one year he can at least save $10400 plus the interest that he can earn from the bank. So he reckons that in a few years he will be able to have enough money for a deposit to buy or build his house. Okay, it will take a few years because to buy your house safely you need a big deposit, but so what that is what most of us need to do to own anything in our life. 
This is what is needed from you young people; the will to save money, because that is the only way to build up equity and equity makes more equity, that is how the financial world is being run today; I hope you understand that it is up to you to make the effort, because that is the only way if you want to be financially independent enough to be able to buy your own house, and then even a second house, because as we have said money makes money if you know how to use it properly. Therefore, you need to stop dreaming about money coming your way the easy way and start saving money whenever you can, I hope that I have explained myself clear enough for you to understand what is needed. I suppose that by now you are asking yourself, but how much money is needed to buy your first house and this is what we are going to talk about in our next post. 
Menfranco general blog
Build or buy your house
Next time with, how much money we deed  
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