Charlie Munger lived in the same home for 70 years: Rich people who build ‘really fancy houses’ become ‘less happy

https://www.cnbc.com/2023/12/01/charlie-mun...me-happier.html


Munger, the billionaire investor and longtime business partner to Warren Buffett, died on Tuesday at the age of 99. He’d previously filmed a wide-ranging interview with CNBC’s Becky Quick, which aired on Thursday evening, and discussed his rationale for living in the same California home over the past 70 years.


″[Buffett and I] are both smart enough to have watched our friends who got rich build these really fancy houses,” Munger said. “And I would say in practically every case, they make the person less happy, not happier.”

A “basic house” has utility, said Munger, noting that a larger home could help you entertain more people — but that’s about it. “It’s a very expensive thing to do, and it doesn’t do you that much good.”

Another drawback to owning a mega-mansion, he added: Such an ostentatious display of wealth could spoil his kids by encouraging them to “live grandly.” Munger had nine children across two marriages, including two step-sons and a son who died of leukemia at age 9.

″[Buffett and I] both considered bigger and better houses,” Munger said. “I had a huge number of children, so it was justifiable even. And I still decided not to live a life where I look like the Duke of Westchester or something. And I was going to avoid it. I did it on purpose ... I didn’t think it would be good for the children.”

As Munger alluded to, Buffett lives similarly: The 93-year-old billionaire bought his house in Omaha, Nebraska, for $31,500 in 1958, and has lived there ever since. Buffett’s quality of life would “be worse if [he] had six or eight houses,” he reportedly said at Berkshire Hathaway’s 2014 shareholder meeting.

Munger often preached the merits of living modestly, giving advice like “don’t have a lot of envy” and “don’t overspend your income.” In the Thursday interview, he credited his success and longevity to a long-held sense of caution and an ability “to avoid all standard ways of failing.”

“Avoid crazy at all costs,” said Munger. “Crazy is way more common than you think. It’s easy to slip into crazy. Just avoid it, avoid it, avoid it.”

This post has been edited by likefunyouare: Dec 4 2023, 06:37 PM

And when I say I only buy second hand jepunis car some ppl here say because I can't afford more epxneisve car...

Oh well

Then when I give example of rich ppl driving cheap car, he said because they famous so don't need to advertise their wealth

Since when does anyone need to advertise his wealth unless he is insecure or makes money from it.

he didnt splurge

rich people don't show off money

they don't open thread to show off they splurge iphone 15 or chanel bag 404 or holiday 404.

Unker not rich…

Deswai inferiority complex wanna buy teksar model 3 tapi tara mampu

Sure unker rich. Model 3 is nice. Life is short. If can afford, doesn't dent your wallet, go for it. The acceleration is to die for.

Buy first. Think later

Thats because
He is currently living is a mega mansion

https://www.urbansplatter.com/2023/01/charl...tecito-mansion/

Great guy!

May he Rest in Peace.

True

which you do?

Warren Buffett: 14 Things Poor People Waste Money On (Frugal Living, Financial Independence)

Spending money on an education that doesn’t increase earning power: Investing in the wrong work skills and education that don’t enhance earning potential.

Credit Card Debt: Carrying balances on credit cards and paying high-interest rates.

Bars and Pubs: Overspending on alcohol in bars and pubs.

Latest Technology: Constantly upgrading to the newest gadgets and technology.

Expensive Clothes: Overspending on luxury or brand-name clothing.

New Cars: Buying brand-new cars that depreciate quickly.

Gym Memberships: Paying for gym memberships that are seldom used.

Subscription Services: Maintaining unnecessary subscriptions and services.

Overusing Skincare Products: Investing in excessive or expensive skincare products.

Frequent Nights Out Regularly, you are dining out or going out, leading to high expenses.

Gambling: When spending money on gambling activities with unfavorable odds, you’re wasting your money funding a casino’s business operations.

Smoking: The habit of smoking which incurs significant financial and health costs.

Lottery Tickets: Regularly purchasing lottery tickets is another form of gambling with very low odds of success.

High-Interest Personal Loans and Payday Loans: Payday loans or other high-interest borrowing methods lead to a debt cycle.
https://www.newtraderu.com/2023/12/03/warre...l-independence/

Goodbye Charlie. Words of wisdom to live by.

But the average fella prefers to listen to self proclaimed gurus and lose their money instead.

Like billionaires ask us pipits to donate.

MC Hammer lost most of his money due to extreme personal expenditures for several years in the early 90's.

With 70 million dollars to his name at the peak of his career, MC Hammer bought more than 17 luxury cars,
a private jet,
two helicopters,
and 21 race horses.

He filed for bankruptcy in 1996.