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October 03, 2006

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It is also a question of what you do with that savings. If you simply spend it on frivolities, you are probably better off buying real property in an expensive area. In living in a less expensive area, you are passing on making one of the best investments you can ever make. Real estate in these areas out perform stocks (probably not this year though). It is really the fastest way to wealth although it does cost in the near term.

Of course Buffet has his beach pads too, so it is not entirely out of the question even if you live elsewhere.

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