Highland Park

People are worried. Banks are not lending money, financial institutions are going under and more and more people are going into foreclosure. Get this, 1 in every 6 houses in America has a mortgage on it that is more than the home is worth. That means on my block, 2 houses, at least, are in the red as far as value is concerned. I know one for sure because it is my house. I bought it a couple years ago, right at the peak of the bubble. I wanted something in Highland Park, but it was too expensive. But I am not concerned because I am not selling my house for a longtime. Values will increase eventually. But for now, what should people do to survive this recession? If I was me, which I am, and trust me, you’re not missing anything, I would do three things. First, I would increase my financial education. I would read books on making money, starting your own business, studying how other people made it through tough times. Sometimes it is better to learn from other peoples hardships. Second, I would work more and try to increase my skill level at something I enjoy and that can make me money. There is no substitute for hard work, I know it is a clique, but it is true. Tighten your belt and pull up your pants a little and hustle a little harder. Also, keep improving your skill level at your passion. Most people are good at a lot of things that can make them money. Think about it, you can write, draw, dance, construct, take photos, talk, people get paid to do all these things in America. Lastly, but probably most important we should live below our means. My old boss told me this on my first day on my first job out of college. He said, “Arne, you should always live like you are in college.” I was surprised he said that because he made a lot of money and we were driving in his brand new Cadillac. But he was right. A penny saved is a penny earned, don’t worry. If you have hardwood floors in Highland Park, give me a call. I promise I won’t preach.