Free Ebook.

Enter your email address:

Delivered by FeedBurner

« How to Identify Chart-Topping Mutual Funds in Advance | Main | Earning Too Little and Women Control Money »

February 07, 2007


Feed You can follow this conversation by subscribing to the comment feed for this post.

You obviously have to take cost of living into account. The article states that this couple paid off their house in 9 years on a salary of $33,000. First, congratulations to them, that's quite an accomplishment.

On the other hand, I live in Washington D.C. and a house that could accomodate 7 people (three bedrooms, two baths) costs approximately $200k. To pay it off in 9 years with an interest rate of 5.75% you'd have to make payments of $2,375 a month. Considering that this family only makes $2,750 a month before taxes, that would be impossible to do in this market. This family is from Arizona and in Phoenix, a 2 bed/2bath house can be purchased for $70k. That's a mortgage payment of $830 a month which is much more reasonable.

But, on another hand, I live in South Dakota, and I bought my house for $7,500. Yes that's a correct figure with no typo's. It all depends on where you live, city or rural. I just happen to live in a smaller town. If you don't mind driving an hour into the city or getting a "local" job then getting 2 houses is perfectly reasonable under the circumstances provided.

They're a fine example of how to manage money. Good enough to write a book!

Hmmmm, that home could be well over 1,000,000 here in Silicon Valley. I think that makes the "they own two homes" statistic kind of irrelevant.

It's fairly easy to own two cars if you want ones that are old and barely run. It's a lot harder to own two new Ferrari's.

Good job by them, but there are lots of people doing the same thing. My mom used to be able to get 20 bars of soap for 9 cents total after coupons. Sometimes the store would pay her to buy things because the cost was negative after the coupons. I'm not convinced they are the cheapest family in America.

I think that their being able to buy two homes is still quite an accomplishment even if they did do it in a cheaper market. I don't think the point of the article was that everyone can buy 2 homes in 10 years but it was just giving an example of what is possible when you spend less than you earn.

From the article:
"Right now, we need $3,400 a month to cover everything," said Steve Economides. "Then we take everything over that amount and split it into three. One third goes into a house fund, to cover any house emergencies. One third goes into a 'fun' account, for vacations, and one third for our family goes to charity, but for other families can go to mutual funds or other kinds of savings."
If they need $3400 a month to cover their expenses I dont see how they're doing that on $33,000 per year...$3400 x 12 = 40,800. I mean, I realize their income might be more this year because it says $33,000 average over the past years (he is a freelancer after all), but still...this makes the article a bit misleading.

I just find it interesting that their names are the "Economides"; talk about living up to your name.

The comments to this entry are closed.

Start a Blog


  • Any information shared on Free Money Finance does not constitute financial advice. The Website is intended to provide general information only and does not attempt to give you advice that relates to your specific circumstances. You are advised to discuss your specific requirements with an independent financial adviser. Per FTC guidelines, this website may be compensated by companies mentioned through advertising, affiliate programs or otherwise. All posts are © 2005-2012, Free Money Finance.