Re: Scary article on retirement planning.

>
> True, but if you pay a normal 30-year mortgage, you end up paying much
> more in interest (twice as much, no?) than what the house is actually

depending on the APR, how much you put down, how much it appreciates.

> worth.  Even if you pay it off quicker, you still pay much more.  I
> haven't done the math, but wouldn't it be faster to live in a *very*
> cheap room and save up the money for the house, and then, in about 10
> years, pay cash?  That way, compound interest works with you instead
> of against you.

but compound *appreciation* works against you. home prices rise faster than
youre able to save. meanwhile, by staying out of the market until you "save
up", youre losing potential equity. i bought my condo almost 2 years ago,
and its appreciated at least $40k. moot point, because i bought this place
to live in, but its nice to know i could get a home equity line of credit,
if i *had* to, or sell and pocket $40k.

im paying $627/mo for a 2br/2ba condo, with its own laundry, and a garage. i
couldnt find an apartment that cheap.


> LM