Taking The Time To Discover What True Wealth Is

In the June 24, 2011 entry we had made a reference to individuals that feel the need to keep up with the Joneses. People live by the myth that because people buy and display goods that show their statuses and are truly wealthy people. Those individuals do not get the fact that these are just material things and have nothing to do with real wealth. Years ago when you watched the Lifestyles of the Rich and Famous you saw all the glamour but never really got a look into any of those individual’s checkbooks. It all goes back to the theory that the grass looks greener on the other side of the fence. How many celebrities have you heard of that have gone bankrupt. Just because you have money does not mean you know how to spend or invest it wisely. It just means you have a great income and when the income stops a certain reality appears into the picture of true wealth. True wealthy people do not have the hardships that most of us have because of their frugalness and diligence where money, investing and savings are concerned.

Did you know that there are many wealthy people out there that you would not even know they are wealthy?

I am not talking about everyone being a millionaire I am talking about individuals being financially secure. I am talking about individuals with their homes paid off with significant savings and investments. This is also called Net Worth and True Wealth. A person with a Net Worth that far exceeds what that individual has in debts (Gross Worth) can also be considered wealthy. Gross Worth is a total value of what you own before you add in Loan to Value. Net Worth is the value of what you own after you consider your Loan to Value. If your Loan to Value is seventy five percent your Net Worth is twenty five percent. If what you have financed is close to or exceeds your Gross worth you are not wealthy and this is where many of us run into trouble.

If struggling to live pay check to paycheck is not wealth it is what it is?

Struggling paycheck to paycheck and it does not matter where you live or what you drive you are still struggling paycheck to paycheck. In this blog we want to get you away for that routine and on with a new way of thinking about money and how you spend it. This however is a process that cannot be done overnight. It is a process of breaking old bad habits and establishing new good and disciplined habits.

What we are talking about here is taking the time to plan your financial future or financial well being before it is too late. The true basis for this blog is coming from the book The Millionaire Next Door by Thomas J. Stanley, Ph.D. and William D. Danko, Ph.D. Where I do not believe everyone has to be a millionaire to be wealthy I do believe the fundamentals in this book will make you wealthy minded and even if you do not attain a million in net worth you are wealthy if your net worth far exceeds your debts or you have no debt at all. This to me is financial freedom and this is what we are seeking with this blog. If you get nothing else out of this blog you will get a strong sense of financial responsibility to yourself, for your family and live a more rewarding life day by day.

Get Your Copy of the Millionaire Next Door by Clicking Here!

 How Mortgage Or Loan Modification May Be Able To Help You

In the June 18, 2011 entry before we talked about the tough choices and we talked about finding financing through Credit Unions. We talked about Credit Unions First Because that is a real viable option if your debt problem is short term. Loan Modification may be a resource you may want to opt into if you want a longer term fix on an asset you are spending almost everything you have to stay out of foreclosure. Back during the real estate boom they were offering financing that was attractive to buyers to sell homes not actually looking at the long term interests of the home buyer. These mortgages have left many people on the verge of foreclosure while using most or all their resources to stay in their home. What do you do at this point?

Above I said asset because your home is usually worth more than what is owed on it. As a result in the crash of the real estate market this is not always the case anymore. However it is still real property and in time may regain its value and more becoming an asset again. This is where Loan Modification comes in. As long as your home is your primary residence you are most likely eligible. The one requirement is that you have to be able to afford the home after the Loan Modification is complete. This is where people get confused and do not even try or just do nothing. . In the previous entry we told you of a source to help you do the Loan Modification through the government. This program is due to expire July 22, 2011. If you do not want to do the modification by yourself there are services that can help you and you will find out more coming up.

If this is a rental property and you do not live in it you may not be able to get a Loan Modification on it. Some companies do modification on assets but it may be a time consuming chore to find a Loan Modification company that handles that kind of loan modification. There are some out there.

We have again have ways you can get more information on Loan Modification.

For Home Foreclosure Fighter Click Here!

Why The Mortgage Problem Does Not Seem Like It Is Going Away!

Also download My Shopping Genie where you can find and shop for Loan Modification professionals in your area using your favorite Search Engine. My Shopping Genie is not just for shopping for goods it is also great for the services you need to help you become financially fit. The My Shopping Genie is Free and you can download it at the conclusion of this article or on the sidebar.

This Week’s Rant

By now you know how we feel about keeping up with the Joneses. People need to learn how to live their own life and not worry about what the person next door is doing. Living in a nice home in a nice neighborhood is what the goal should be in life. If your goals are higher attain them first by figuring out what you are going to do to achieve them with the least amount of financing if any at all. Dreaming about having and eventually getting something you like that someone else has is alright. It is good to have dreams but, if you need to purchase something someone else has because they have it or just to keep up with them is envy, and envy becomes many men and women’s downfall. Do not confuse what I just said with being competitive. Be competitive and achieve your dreams but, do not sacrifice your dreams just because of statuses. Set up boundaries for yourself and live within your means because Judgment Day could be a reality when you conduct your life by keeping up with the Joneses, especially in this fragile economy.

The individual in this video could be me but he is not. I really do like what he has to say and this video fits in with the theme of this blog well.