[poorgradstudent]

There are a couple of old truisms about lending friends money.

“Don’t lend a friend money if you plan to keep either”
and
“Never lend a friend money you would miss if they never paid you back”

Now, there may be a way for you to set up something legally binding that would help protect you from the second one. But such an arrangement WILL put stress on the friendship. About the only person on the planet I would agree to such an arrangement for is my own mother; I’d consider it with my brother and sister, but would still be hesitant.

So yeah, usually money and friendship don’t mix.

[poorgradstudent]

They teach money creation in Freshman Macroeconomics. It’s actually a good thing, at least in controlled moderation. (I can hear the GoldBugs gasping now).

Banks are required to keep a certain percentage of their net deposits in liquid cash. This limits the ultimate potential of money creation. It’s based off these numbers that the government creates money.

Ultimately, money is a reflection of wealth, and money creation has nothing to do with creating wealth. Still, end of the day all it really does is modify the denomenator of the equation.

[poorgradstudent]

They teach money creation in Freshman Macroeconomics. It’s actually a good thing, at least in controlled moderation. (I can hear the GoldBugs gasping now).

Banks are required to keep a certain percentage of their net deposits in liquid cash. This limits the ultimate potential of money creation. It’s based off these numbers that the government creates money.

Ultimately, money is a reflection of wealth, and money creation has nothing to do with creating wealth. Still, end of the day all it really does is modify the denomenator of the equation.

[poorgradstudent]

There’s a huge difference between a 5% annual rent increase (not that much higher than inflation) and 10% (rather high, and may be the max allowed by law in California?)

Considering your company moved, it may be time to shop around for a place closer to where you work, especially if you can find a motivated property owner.

[poorgradstudent]

There’s a huge difference between a 5% annual rent increase (not that much higher than inflation) and 10% (rather high, and may be the max allowed by law in California?)

Considering your company moved, it may be time to shop around for a place closer to where you work, especially if you can find a motivated property owner.

[poorgradstudent]

Regardless of gentrification, neighborhood improvement, and potential upgrades, how in the world did the buyer think in November of ’05 that paying more than 4x the 1999 price was a good idea? Assets never increase in value that quickly.

My mind is officially boggled.

[poorgradstudent]

Regardless of gentrification, neighborhood improvement, and potential upgrades, how in the world did the buyer think in November of ’05 that paying more than 4x the 1999 price was a good idea? Assets never increase in value that quickly.

My mind is officially boggled.

[poorgradstudent]

Target… Trader Joe’s… Costco… anyone see a pattern to these stores? “Discount Retailers”? Good job!

The upper middle class notoriously shifts its spending behaviors from mall-type stores to discount stores as the economy slows. When more $100K+ gross income familes start shopping at Target or CostCo, it says something about the economy.

I don’t think real estate prices are going to collapse, but it’s obvious to anyone who looks at a chart of inflation adjusted prices from the last 50+ years that real estate prices cycle. I just hope the bottom happens right around when my girlfriend and I have saved enough to buy! 😉

[poorgradstudent]

Target… Trader Joe’s… Costco… anyone see a pattern to these stores? “Discount Retailers”? Good job!

The upper middle class notoriously shifts its spending behaviors from mall-type stores to discount stores as the economy slows. When more $100K+ gross income familes start shopping at Target or CostCo, it says something about the economy.

I don’t think real estate prices are going to collapse, but it’s obvious to anyone who looks at a chart of inflation adjusted prices from the last 50+ years that real estate prices cycle. I just hope the bottom happens right around when my girlfriend and I have saved enough to buy! 😉

[poorgradstudent]

A lot of the “Natives” I know (people who bought in the 70s or earlier) tend to be shocked at how much their homes and those of their neighbors are supposedly worth right now. Does that make them “bearish”?

[poorgradstudent]

A lot of the “Natives” I know (people who bought in the 70s or earlier) tend to be shocked at how much their homes and those of their neighbors are supposedly worth right now. Does that make them “bearish”?

[poorgradstudent]

81k (your net minus tithing, an admirable but fairly unusual practice) doesn’t go that far for a family of three in San Diego. Your gas and grocery totals look a *tad* high to me. I imagine you drive a lot for work, because even at $4 a gallon, you’ve got 100 gallons there, which even at a mere 20 MPG is 2,000 miles of driving a month! As for groceries, $267/mo per person is far from penny pinching.

Obviously the student loans are presently eating up a big chunk of the net. It looks like you’ll have those paid off in less than two years at the rate you’re going, which is a very aggressive plan for what’s usually a low interest loan (but getting worse).

I have no idea what auto insurance “should” cost, but $3,000 a year ($1,500 per car?) sounds like a lot to me, but I drive a cheap used car and take public transportation, so my view may be skewed.

Regardless, you’re far better off than the vast majority of San Diegans. Being a permanent stay at home mom or dad isn’t practical for the vast majority of San Diegans. This is exactly why so many people either rent, buy condos, or took ARM-type, no money down loans. If the cheap, easy money dries up, there’s a potential debt bomb ticking…

[poorgradstudent]

81k (your net minus tithing, an admirable but fairly unusual practice) doesn’t go that far for a family of three in San Diego. Your gas and grocery totals look a *tad* high to me. I imagine you drive a lot for work, because even at $4 a gallon, you’ve got 100 gallons there, which even at a mere 20 MPG is 2,000 miles of driving a month! As for groceries, $267/mo per person is far from penny pinching.

Obviously the student loans are presently eating up a big chunk of the net. It looks like you’ll have those paid off in less than two years at the rate you’re going, which is a very aggressive plan for what’s usually a low interest loan (but getting worse).

I have no idea what auto insurance “should” cost, but $3,000 a year ($1,500 per car?) sounds like a lot to me, but I drive a cheap used car and take public transportation, so my view may be skewed.

Regardless, you’re far better off than the vast majority of San Diegans. Being a permanent stay at home mom or dad isn’t practical for the vast majority of San Diegans. This is exactly why so many people either rent, buy condos, or took ARM-type, no money down loans. If the cheap, easy money dries up, there’s a potential debt bomb ticking…

[poorgradstudent]

“Then in the evening, hit up one of the many big name restaurants that fill the valley, cause the illegals that work there know how to cook, and you don’t, plus all the other sheeple seem to do it, so it must be logical, despite the long waits that people are willing to endure, despite the never ending building of said diners.”
Hehe, funny stuff. It amazes me looking back that my family would sometimes spend 30-60 minutes waiting for a table at The Olive Garden. Seriously, the bloody Olive Garden… cuz really, the salad and breadsticks are soooooo good they’re worth the wait.

(Ok, admittedly it’s challenging to cook for a group of 6-8 people, and we usually only ate there with grandma/grandpa/cousins, but still, in hindsight it amazes me. My mom really didn’t like to cook.)

[poorgradstudent]

“Then in the evening, hit up one of the many big name restaurants that fill the valley, cause the illegals that work there know how to cook, and you don’t, plus all the other sheeple seem to do it, so it must be logical, despite the long waits that people are willing to endure, despite the never ending building of said diners.”
Hehe, funny stuff. It amazes me looking back that my family would sometimes spend 30-60 minutes waiting for a table at The Olive Garden. Seriously, the bloody Olive Garden… cuz really, the salad and breadsticks are soooooo good they’re worth the wait.

(Ok, admittedly it’s challenging to cook for a group of 6-8 people, and we usually only ate there with grandma/grandpa/cousins, but still, in hindsight it amazes me. My mom really didn’t like to cook.)

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