Basics to enhancing your finances!

Just wanted to share a little article, from within, on how to make changes that can help enhance your finances.

One of the key factors is to separate wants from needs. You can go without wants, but needs....well, are needed. You don't need a brand new car; some people get brand new car, a "luxury" one at that, just so they can show off. Once that's done, not only does it show one's insecurities, but also that little to no thought went into making such a foolish purchase.

Another example is someone that purchases a home without first factoring in the many long-term issues. The purchase of a home is a long term commitment and a lot of thinking has to be done before making such an expensive purchase. It's also good to ask experienced folks before making such a purchase as that can shed light on things you never even thought about.

THE ADVICE

When considering a car, remember that a used, well-maintained vehicle can take you very far at a much lower cost than that of a new one. Depending on whether or not you chose to get the car from a dealer or private seller, there may be some warranty with the vehicle. Ultimately, after getting the car, it is important to remember to keep up with regular maintenance to help keep the car in good running condition. A good used car will take you the distance and beyond, so why spend way more than you need to? Besides, a car is a liability and it depreciates. Remember the many costs that goes into owning a car. A used car: assuming that it's bought out right, you'll have to worry about registration(biannual), inspection(annual), insurance, parking tickets and moving violations & if financed, your loan payment plus interest. And if you decided to purchase a new car, all the expenses mentioned for used car plus your monthly car note, which includes interest. Be wise with your money.

As far as a house goes, it's a far better investment than a vehicle and it appreciates over time. The key is to buy what you can afford. Some of the expenses in home ownership: property tax, mortgage, insurance, water and sewage, potential tickets for violations from places like sanitation, DEP and Department of buildings, not to mention unforeseeable repair expensed.

You should have a clear understanding of your income and the debt that you currently have. Avoid unnecessary debt at all cost. Once you have your money game under control and you're ready for a home purchase, work with a reputable financial institution and realtor to be sure that all parties have your best interest at heart. Remember that you are the buyer and you already know what amount you want to stay at. Be a firm negotiator to be sure you get the best deal for your money while you're at it. Your first home, if everything goes according to plan, can be the path to the acquisition of many others.

Ultimately, save as much as possible, don't buy what you don't need and avoid buying into liabilities.

Disclosure: I am not a financial advisor and simply provide advise based on personal life experience. If you're having serious issues, it's best to contact a licensed professional to assist with your individual situations.

Thanks for taking the time to read through and be blessed!

Your LinkedIn buddy, Marc.