Personal Finance Insights from HGTV

At the end of February our family traveled two hours from home for my son's annual basketball tournament (which required an overnight stay). After I had my fill of 10 to 16-year-old boys in the hotel's pool, the lobby, and everywhere I turned, I went back to our room and flipped on the television.

Somehow I ended up on the Home and Garden channel (HGTV) watching a show called House Hunters. For those of you who don't know about the show -- and I realize that I'm probably the last person on earth to hear of it -- it tours around with a couple as they look at potential new homes. They see three options and eventually pick one. It was quite fascinating. We ended up watching four or so episodes in a row.

So when we got back home, I wondered if we got HGTV as one of the 150 channels we receive (and use about 10) from Comcast. Sure enough, we did. So I proceeded to DVR a huge number of House Hunters, House Hunters International (same concept but the people are looking for homes overseas -- I think this is much more interesting), and Selling New York (same basic concept except people are looking for high-end places in NYC) shows.

We watched them (my wife even likes them) for much of March (they are half-hour shows, but if you speed through the commercials and re-caps -- which the shows do after every break -- you can watch an episode in 20 minutes or so). And after watching so many, I have several thoughts on the shows, real estate, and personal finances including:

• I LOVE looking at homes. When we were house shopping several years ago, I enjoyed touring the many different places we saw. These shows let you do the same thing except you don't have to leave your living room. How cool is that?
• It's interesting to see how people live in various parts of the world. We've seen shows on living in probably 30 different countries and there's always something unique I find about every locale. It's also neat to show my kids how others live.
• Speaking of kids, as we watch, I give them an idea of how places we're seeing on TV compare to our home size-wise and cost-wise. I wouldn't be surprised if my kids grow up to be real estate agents after watching these shows! :-)
• You really get a sense for just how expensive it is to live in some places (New York, Paris, Hong Kong.) I know we've discussed this issue at length, but until you actually see the homes/apartments and their associated costs, it doesn't really hit home. But when you see a place five times the cost of your house for 1/3 the size, then it makes an impact! (If you don't believe me, check out this post for a NYC resident who's seeing the same things I am.) My finances and net worth would certainly not be in as good of shape today if we lived in a high cost-of-living city.
• The show gives you the "gimmes." It doesn't make me want the add-ons or extras we see in some of the homes (that would be more reasonable.) No, now I'd like to buy my own place in a tropical getaway. I'm wondering if this is just a passing fancy...
• Wonder how often people go over their budget (the one they set at the beginning of the show)? Quite often. It's not half the time, but I'd say it's at least 1/3 of the time, probably more. And they don't just barely go over -- sometimes they go way over, especially when you consider that they need to buy furniture and do some remodeling.
• The housing association fees seem out-of-control in many areas of the world -- $300 to $500 per month for "normal-sized" places. For what, you may ask? Generally yard and pool maintenance, but sometimes it's also for security and access to a health club. Pretty pricey though.
• It's quite common in many countries to have furniture come with the place -- for better or worse. I guess it makes moving in easier, though I'm not sure about sleeping in someone else's bed (then again, I do stay in hotels, right?)

Anyone else out there watch these shows? If so, do you have any thoughts to add to what I've shared?

Comments

[Julie @ The Family CEO]

I like HGTV too. It seems to have morphed from a decorating network to a real estate network, which I like.

FYI, I think the furniture coming with the house is a vacation home thing. We bought a small lake condo here in the US and it came with all the furniture, linens, dishes, etc. We kept some of it and got rid of other things. We did buy new mattresses. :-)

[Claire]

I'm hooked on that channel. I have been since we were looking to buy our house. I'm more of a Holmes on Homes and Income Property fan though...

[Dr Dean]

My problem is similar to yours, they are easy to get hooked on.

I don't have a DVR though, and the commercials last FOREVER and they review everything for a few minutes after each commercial which is a little annoying.

[FMF]

Dr Dean --

As of last night, I have 21 episodes saved on my DVR. Don't know when I'll ever be able to watch all those, but they aren't going anywhere. ;-)

[Kit44]

Being in So. Cal. where we don't have basements, it is especially fun for me to see finished basements! It makes me long for a basement! On the International version, I sometimes notice the clothes washing machine in the kitchen. Another novelty for me!! Fun show.

[ACS]

We love the House Hunters International show. We have lived outside the US before (although it was on a boat, not in a home) and plan to continue long-term travel in the future. So we especially like the episodes where the people decide to rent instead of buy -- we like seeing what you can get for your rental dollar in places like Paris, Hong Kong etc.

Also, it has come as a surprise that some of the places you would think would be really cheap, are not much cheaper than the US. For example, this week we saw an episode set in Nicaragua where one of the average-looking homes (tile floors, concrete countertops) was something like $200/sqft. It was oceanfront though, so I bet the Californians out there might think it was a bargain!

[Bad_Brad]

My wife and I watch that show a lot. I agree with your comments.

It seems like any time there is a house that's a "stretch", the couple ends up buying it. I always tell my wife that you can tell most of these shows were filmed before the housing bubble burst, because the buyers are almost always willing to go over their budget seemingly without any fear of not getting their loan approved or not being able to afford the home and then ending up underwater (etc).

[MC]

HGTV--my guilty pleasure! But I prefer the Holmes type remodeling and decorating shows over the real estate shows. "Property virgins" (couples shopping for their first home) always bugs me, though--I worry that too many of these very young couples are overbuying. They are obsessed with stainless, hardwood, granite etc but they don't seem to have jobs or a down payment sufficient to really afford what they want.

[Kimberly]

I've really missed HGTV since we cancelled cable a few months ago. There's nothing to watch over the air on Saturday mornings except cartoons.

House Hunters was one of my favorite shows, though I did start to get annoyed over all the buyers' obsessions with granite countertops.

[jim]

My wife and I watch these shows occasionally. They are fun to watch. Its interesting to see all the different styles of houses and what they cost in different places. Its hard to see how anyone but the stinking rich can afford NY City.

[Alotta Lettuce]

I became quite obsessed with House Hunters, HH International AND two other shows - My First Place and Property Virgins - while my husband and I were shopping for a home. I love them for all the same reasons you mentioned, but I also hate them because sometimes I feel like I am watching peoples future financial lives unfold in front of me and all I want to do is shake them like a baby and slap some sense into them.

It also drives me crazy how space obsessed people are - particularly Americans. Insisting that anything less than a walk-in closet simply won't hold all of their clothes, or that they can not possibly share a single sink with their spouse, much less share a single bathroom with their entire family.

[Alotta Lettuce]

Also: For anyone who likes these shows but can't stand watching the commercials or simply doesn't have cable, there are several seasons worth on hulu.com, which you can watch for free to your hearts' content. :)

[Tato]

Yep, watch the show quite often. My main thought is what a few others have already pointed out. Many buyers seem obsessed about granite countertops and stainless appliances. I have often wondered about how many of those buyers will even use their kitchens. Since when has granite been an expectation for a first time home buyer?

I also noticed that many shows were before the housing bust. It was very apparent on some of the Phoenix AZ shows. I saw some homes purchased there that could now be purchased at a much lower cost.

[Girlnextdoorsguidetofinance.blogspot.com]

I live in NYC and I wonder a lot about whether actually living in Manhattan is worth it. Everything is so expensive. On the flip side, there are great networking opportunities that I wouldn't have elsewhere, which is really great for someone like me who's just starting out in her career. If you'd like to read more, I explore the issue on my blog.

[billyjobob]

I love HGTV and the House Hunters series. It's fun to see the variety of people they get on there. From the first time home buyer thats on a cheap budget to the couple that are looking for a vacation home and want to spend no more than 1.2 million.
I also like HGTV remodeling shows and yard shows. And every year I enter, but have yet to win their free home giveaway... always some very nice homes.

[Dave]

I always laugh at what people "need" in a house. Last night I heard, "We need five bedrooms." Really, you need five bedrooms for two people?!

[Sunil from The Extra Money Blog]

my wife is hooked on to this channel. not only house hunters, but house hunters international, my first home, this, that and the other. she likes seeing the different areas, types of homes and observing how people in different stages of life and financial situations go through their decision making process.

[Todd]

My wife loves House Hunters and House Hunters International. Like you, she likes to see how the other half lives. She prefers the gardening/landscaping shows on HGTV, but since there aren't many of those on anymore we probably watch House Hunters more than any other show. Pretty interesting stuff, but we usually disagree with the house the buyers end up choosing.

[Linda]

I, too, prefer the remodeling and garden shows but, on occasion I watch HH. What gets me is when the buyer looks at the kitchen and says "it seems a little outdated" when, in fact, it looks brand new and much better than mine. I'd be glad to trade kitchens.

[BPErickson]

Have you seen Real Estate Intervention? It's a show about people trying to sell, sometimes in very tough situations. Sometimes I'm amazed HGTV airs this show, since the rest of their programming might as well be propaganda for the National Association of Realtors. It's like crack, though. ;)

[Georgia]

Alotta - Thanks for the reference to Hulu. I loved HGTV, but haven't been able to get it for about 2 years. Dish Network didn't have it on my plan and I cancelled it last December.

I don't especially watch the home buyers segments, as I live in a 46 y/o double wide trailer that we kept in good shape and I am doing the same since I lost my husband. But I do love to see how rearranging things in your house can make a world of difference. I love to see how you can do some of your own work and have it come out looking great. More power to the teaching shows.

[RobF]

I like to watch House Hunters once in a while, but can't seem to turn on HGTV without that show. What happened to everything else? I like the Curb appeal, fix up stuff.

[Norma]

Ya' know what else is fun...go to realtor.com and put in your city. Then after you've looked all the houses you want to in your city just check back every day and click on new listings. I know...I need a life.

[Laura in Cancun]

We get House Hunters International a few times a week here in Mexico, and it's my favorite show!

The Americans are the funniest ones to watch. They always look so disappointed when there are no double sinks, granite countertops, stainless steel appliances, or bathtubs. ("White appliances? I don't know. We'll have to discuss this. And the tile countertops will definitely have to be replaced. Only one sink? I guess Steve will have to use the guest bathroom in the mornings.")

Meanwhile the buyers from other countries get so excited about everything! ("Look Betty, this one comes with a refrigerator!!") Definitely a lot of cultural differences there.

[Cath]

Laura, we laugh about that, too. My husband and I love to watch House Hunters immediately followed by House Hunters International. We laugh at the contrast between the Europeans and the Americans. The Americans walk into a 4-year-old 2000 sq ft home with white appliances and complain that it is "small" and "outdated" and will "need" to be updated, and oh my gosh there's no walk-in closet, where will Steve keep his clothes? Then the very next show is a family in London looking at a teeny tiny apartment that costs twice as much as the American sprawl, with appliances from the 70's, yet they walk around all excited about how bright and spacious it is!

Quite often we're embarrassed to be American.

[Emily]

One of the things DH and I love about going on vacation is watching HGTV on cable. I do feel sorry for those who go way over budget on their homes. I wonder if they realize what they are giving up, ie vacations, nice dinners because they have a house that is way to big for them. Glad you discovered this HTV gem!

[alice chambers]

I read all the comments about hh international, it is ok
but one after another on Friday nights is too much, why not mix up the shows so we can see something else.
I personally like more of the daytime shows, but always cannot see them even though I am retired. why not bring back some of the old shows like sensible chick, double take or have some new shows similar to them thanks for letting me get this off my mind. alice