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Wednesday, July 07, GHARIB: In the "Money File" tonight, rethinking the American dream of home blonde search hot sex ownership. Here's Manisha Thakor, author of "On My Own Two Feet: A Modern Girl's Guide to Personal Finance." MANISHA THAKOR, CO-AUTHOR, "ON MY OWN TWO FEET": As a 40-year-old personal finance junkie, I've argued, mostly to deaf ears, that the reason home ownership was such a massive source of wealth generation for our parents was a set of perfect storm of conditions that is not likely to repeat for our generation. Specifiy, number one, our parents bought smaller houses, typiy for total purchase prices of times or less than of household income. So no McMansions, just functional, reasonably sized homes they could truly afford. Number two, our parents had to put down 20 percent and they took out 30-year fixed-rate mortgages, so they knew exactly what they were paying every single month no ARMs, no option ARMs. Our parents, number, experienced several periods of high inflation in the s and s. As a result, they received cost of living increases in their take-home pay, thus enabling them to pay off that flat, fixed payment with a rapidly increasing paycheck. Of course, the paycheck wasn't increasing so fast in real terms, but it didn't matter because their mortgage payment was fixed. Today, it's time for a total housing rethink. In our more mobile and energy starved society, perhaps the natural rate of home-ownership is closer to 50 percent. While I still believe strongly that homeownership is a wonderful thing, like food, it must be consumed in the right proportion and at the right time to keep it from causing financial indigestion. I'm Manisha Thakor.
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