Rent or mortgage payments swallow up between 25 – 35% of a person’s or family’s income. That’s a huge chunk of dough, especially for a renter whose rent money is gone forever. In contrast, at least a home owner has the potential to earn some of that income back when they sell their home. But does that mean renters get the short end of the stick and will forever be financially inferior to a home owner? According to Suze Orman, not necessarily; it’s what you do with your extra income that matters.

Lately I’ve been reevaluating my budget and spending patterns. Through blogging and reading about personal finance I’ve learned that I’m doing it all wrong! Apparently I shouldn’t be spending more than 30% on my housing needs, but that’s a hard figure to find in the big city.