Comments on: The Simple Dollar Morning Roundup: Television’s Demise Edition http://www.thesimpledollar.com/2007/03/09/the-simple-dollar-morning-roundup-televisions-demise-edition/ Simple, applicable personal finance advice for the modern world Sat, 21 Nov 2009 23:44:30 -0800 http://wordpress.org/?v=2.8.4 hourly 1 By: JuryDuty http://www.thesimpledollar.com/2007/03/09/the-simple-dollar-morning-roundup-televisions-demise-edition/comment-page-1/#comment-9884 JuryDuty Fri, 09 Mar 2007 16:13:02 +0000 http://www.thesimpledollar.com/2007/03/09/the-simple-dollar-morning-roundup-televisions-demise-edition/#comment-9884 You said you recently argued against long-term mortgages. Got the link to that argument? You said you recently argued against long-term mortgages. Got the link to that argument?

]]> By: J.D. @ Get Rich Slowly http://www.thesimpledollar.com/2007/03/09/the-simple-dollar-morning-roundup-televisions-demise-edition/comment-page-1/#comment-9883 J.D. @ Get Rich Slowly Fri, 09 Mar 2007 16:08:52 +0000 http://www.thesimpledollar.com/2007/03/09/the-simple-dollar-morning-roundup-televisions-demise-edition/#comment-9883 Do you mean eliminating the TV altogether? Or just ditching your cable subscription? We've been moving to a less-television oriented house. We just cut back to basic cable, and may even kill that before long. We've been doing TV shows via Netflix for years, and find that we prefer it. And lately we've been doing shows via iTunes. In fact, I'm downloading Battlestar Galactica season 3 at this very moment! Do you mean eliminating the TV altogether? Or just ditching your cable subscription?

We’ve been moving to a less-television oriented house. We just cut back to basic cable, and may even kill that before long. We’ve been doing TV shows via Netflix for years, and find that we prefer it. And lately we’ve been doing shows via iTunes. In fact, I’m downloading Battlestar Galactica season 3 at this very moment!

]]> By: Jim Lippard http://www.thesimpledollar.com/2007/03/09/the-simple-dollar-morning-roundup-televisions-demise-edition/comment-page-1/#comment-9878 Jim Lippard Fri, 09 Mar 2007 15:23:28 +0000 http://www.thesimpledollar.com/2007/03/09/the-simple-dollar-morning-roundup-televisions-demise-edition/#comment-9878 I think there's a lot to criticize on the long mortgage post--it overstates the tax benefits, it assumes that houses only appreciate and don't lose value, it doesn't mention that many people have negatively amortizing or interest-only Adjustable Rate Mortages these days. My personal strategy has been to try to have the best of both worlds. I have a 30-year fixed rate mortgage which I've refinanced twice to get a better interest rate, without taking out any cash. Although it's a 30-year loan, I generally pay on it like it's a 15-year. Because I've refi'd twice and home values in Phoenix have skyrocketed, I'm now paying 5.25% interest on a loan that's about 25% LTV, and my monthly mortgage payment is less than comparable rent for a much smaller property. I can now easily ride out a job loss or a significant loss of property value. But I still consider selling and renting, because there are other significant costs--my property taxes are increasing 71% between now and 2008, and I have significant maintenance and energy costs. This just points out that there are a lot of factors involved here. My main objection to the "take out a big, long-term loan" thesis is that it encourages people to go into debt for a home they may not truly be able to afford. I think there’s a lot to criticize on the long mortgage post–it overstates the tax benefits, it assumes that houses only appreciate and don’t lose value, it doesn’t mention that many people have negatively amortizing or interest-only Adjustable Rate Mortages these days.

My personal strategy has been to try to have the best of both worlds. I have a 30-year fixed rate mortgage which I’ve refinanced twice to get a better interest rate, without taking out any cash. Although it’s a 30-year loan, I generally pay on it like it’s a 15-year. Because I’ve refi’d twice and home values in Phoenix have skyrocketed, I’m now paying 5.25% interest on a loan that’s about 25% LTV, and my monthly mortgage payment is less than comparable rent for a much smaller property. I can now easily ride out a job loss or a significant loss of property value.

But I still consider selling and renting, because there are other significant costs–my property taxes are increasing 71% between now and 2008, and I have significant maintenance and energy costs. This just points out that there are a lot of factors involved here. My main objection to the “take out a big, long-term loan” thesis is that it encourages people to go into debt for a home they may not truly be able to afford.

]]> By: Madame X http://www.thesimpledollar.com/2007/03/09/the-simple-dollar-morning-roundup-televisions-demise-edition/comment-page-1/#comment-9871 Madame X Fri, 09 Mar 2007 14:39:42 +0000 http://www.thesimpledollar.com/2007/03/09/the-simple-dollar-morning-roundup-televisions-demise-edition/#comment-9871 I think I'm missing the joke, but oddly enough, another thing that would probably horrify my mom is that I sometimes do eat a can of sardines for dinner! I'll have to avoid doing that while she visits! I think I’m missing the joke, but oddly enough, another thing that would probably horrify my mom is that I sometimes do eat a can of sardines for dinner! I’ll have to avoid doing that while she visits!

]]> By: JLP at AllFinancialMatters http://www.thesimpledollar.com/2007/03/09/the-simple-dollar-morning-roundup-televisions-demise-edition/comment-page-1/#comment-9870 JLP at AllFinancialMatters Fri, 09 Mar 2007 14:36:48 +0000 http://www.thesimpledollar.com/2007/03/09/the-simple-dollar-morning-roundup-televisions-demise-edition/#comment-9870 Thanks for the mention. Thanks for the mention.

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