Prime Real Estate Now Available on Front Street

There is one positive side effect to the sagging economy. The precarious job market, high gas prices and dismal housing market are forcing people to abandon prime property on “Front Street.”

Front Street! You know the place where a lot of people have been living for years. It’s located at the intersection of Living-Beyond-Your-Means Avenue and Keeping-Up-With-the Jones Way. It was populated by those lost souls who spent more money on appearances than on paying bills.

They invested big dough on cloths with labels and put pennies in their 401Ks. They have fancy foreign cars parked at home in their mother’s driveways. Or they own huge homes and eat at the finest restaurants but are drowning in debt. You know the type who rent the handbags of the stars and lease flat-screen televisions to impress their friends and strangers who couldn’t care less.

Yeah, those people - the formerly proud citizens of Front Street, USA who are finally being knocked back down to reality with the rest of us. This bad economy is forcing everyone to rethink where their money is going and where it has gone.

One friend who normally throws an elaborate birthday party for her toddler is contemplating cake and ice cream at home. My bet is that the child will have just as much fun. Another friend with dismal savings put herself on an emergency shoe diet after realizing that the amount she spent on shoes last year could have fed her family for six months. I guess Manolo soup doesn’t taste so good.

I never understood the type of person who bought things – or worse – lied about their lifestyle to impress other people. However, it’s a pretty common occurrence in our community. I believe it might be a symptom of many of our people growing up without. Once we are able to afford things or at least to qualify for them on credit, we tend to go overboard.

I’m not the most responsible person with money, but all of my bonehead financial faux pas were for me. There were times in my life when I have fallen victim to excess. After getting my first decent paying job after college, I ran right out and bought a little red sports car, even though my trusty Dodge Shadow was still in great condition. My new car - that I named Sasha- cost me 150 bucks more a month and had a manual transmission. I couldn’t even drive a stick. I had to call someone to drive it home from the dealership and teach me how to drive it before I had to go to work on Monday.

I loved that car but it was stupid. Not only because I was the only one skidding around in Chicago’s winter weather like a fool in a little sports car but because paying for the car immediately made me a slave to the system. If I had banked or invested the extra cash I would be in better financial shape today.

I’d like to think that I’ve learned and that I am wiser now. My hope is that through all of the diversity brought on by the condition of today’s economy, everyone will learn. If and when the markets correct and better days come, my hope is that people won’t forget the valuable lessons being taught now.

First, no job is guaranteed. Also, save more or as much as you spend because – surprise – rainy days do come. And most important, if you can’t afford it, don’t buy it, charge it, lease it or borrow it! Those same people you are trying to impress by throwing elaborate parties or driving fancy cars up and down on Front Street won’t be there to help you when the bottom falls out.