It sounds to me that some people with money just spend it b/c they have it without really thinking if it’s the best financial decision. I mean, certainly {gasp} they can rent in their pretigious neighborhoods. I mean, I have a friend who rents in LJ b/c they want to send their kids to Country Day.
I have heard that many parts of Oahu are upside down, so maybe your brother got lucky and perhaps checked the particular area before he bought. I think we can all agree that we were in a bubble and anyone who bought then was taking a huge risk w/their money. Well, w/100% financing, the only risk was credit. But at age 50, I would think retirement would be on one’s mind. Money should be a consideration. Are these people going to work until they’re 70?
It does have to do w/being smart w/money AND time. So I do give you the *time* factor. Rushing to buy a house during a bubble at age 50 seems like poor planning. That money could be used towards retirement and all they had to do was wait a few years to pick up something for considerably less.
I mean, you know, great that these people you know have so much money they can throw it away. Must be nice.
(Side note – Does your brother the surgeon have his hands and vision insured? I hope so.)
