Money Honey: As I mentioned the financial meltdown has not adversely affected my life so far. Yes, it's a down year for my 401k and IRA. And my regular stock trading has taken about the same hit as everyone else's, but I was not counting on that money so what I'll probably do is sell off a bunch for the tax benefit and immediate buy up some index funds and wait for the next bull market. Actually, with prices so depressed I should probably buy a new house and a new car.
Housing is obviously cheap now. Judging from recent nearby sales, I think I'm still ahead on my condo. Of course, I've been here quite a few years (is it already 10?) so even the real estate crash couldn't entirely wipe out my gains. I am a creditor's dream, so getting financing wouldn't be a problem. Of course, there is the hassle of moving; the hassle of finding a place and completing a sale; the potential that the real estate market may not recover in my lifetime, or at least not in Michigan. Couple all that with the fact that I am fine living where I am. My condo fees are higher than I would like, but I have quiet, non-nosy neighbors, a safe, low-traffic neighborhood, and I am five minutes drive from anything I need (including work) and about twenty minutes to Ann Arbor for anything I want. Suffice to say, my motivation is low.
A car is a more interesting proposition. In the past 24 years I have owned exactly three cars, all of them Toyotas. I had an '84 Celica that I drove for 9 years, a '93 Camry that I drove for 9 years, and my current '02 Camry (well into 6 years). If I stay true to form, my next car will be a '11 Toyota of some sort, but cars are awfully cheap right now. Especially American cars. You can get enormous discounts on SUVs and Minivans since nobody wants them, and though I hate SUVs (driven by cretinous view-blockers) and have little use for a minivan (not generally associated with bachelors), I love a good deal. They are not particularly fuel efficient, but gas prices are coming back down a bit and the money you save goes a long way to paying for gas.
My choice at the moment would be a Jeep Patriot, with a (relatively) easy on fuel four-cylinder engine. Modern four-cylinder engines easily out-perform many V-8 models from back in the day. Yes, there are other, nicer rides to tempt me, but it's so much car for the money it would be hard to resist.
But we run into the fact that I am happy with my current, paid-for Camry. It hasn't been as trouble free as my previous Toyotas, but whenever I get back into it after a few days in a rental, I realize how quiet and smooth it really is. Once again, motivation to change is insufficient.
I'll probably be kicking myself when it comes time to upgrade (either house or ride) and whining that I should have bought when things were cheap. On the other hand, if I did buy now would I regret spending money on something I don't need instead of, say, flying off to Hawaii sometime soon? Not to decide is to decide.
