http://www.gliffy.com/blog/2009/11/12/gliffy-original-how-to-buy-a-television/

http://www.energystar.gov/

After the question-answer sequence, “Is the option high-quality?” “No” “Is quality important?” “Yes”, I think the chart should take you back to “Don’t buy it”.

In my experience, almost every time quality matters and the item is low-quality, it’s more expensive to buy despite the price, as it ends up being replaced.

I say “almost”, because of the occasional low-quality item that ends up perfectly filling the bill and lasting a long time. That’s rare, though.

Btw, great article. That flowchart will be used in our home a lot in the future. It’s a testament that JD made the right choice in you!

Would you mind if I translated that flowchart and put it on my Portuguese website about personal finances?

Thanks!

1) In your example, the kitchen appliances should match the style of the home you are building else they’ll affect resale value. So if you’re building a modest suburban home maybe you don’t need a top of the range stove but if you hope it to be executive-style and in demand then you better make sure your appliances are the best.

2) how do you compare quality at different price points? Say I want a dyson vacuum cleaner. They’re fabulous, but they’re pricey. You can get a perfectly reasonable vacuum for half the price, but it won’t have the suction, even though it’s high quality. I have pets and do craft so that would piss me off. So how can you compare the two on quality? Better to ask if the lower-priced one would suit your particular needs just as well, or if you could live with the compromise. Which in this case I couldn’t. This is the big problem with your flowchart imho.

3) Sometimes if you can afford something, you should treat yourself. Not everything in your life has to be frugal.

The flowchart is probably great for people who are struggline with debt or tend to impulse buy, but I think everyone else has inbuilt priority filters on purchases. (Can I afford the fancy oven? Yes, but it means I can’t have a holiday this year. Which is more important?)

Thus, my kitchen is outfitted with Le Creuset, All-Clad, Wustof, Kyocera, etc.

However, the stainless Kenmore line and the dual fuel Kenmore range are significantly more expensive than many others available from Sears. I could have easily paid $2500-3000 less total for the appliances by going with the lower-quality models with the white fronts, etc.

But they’d be ugly, less functional (& for me, ugly also translates into less functional–asthetics matter!), and less likely to wow” a later buyer.

My home is a modest one in a lower-middle class neighborhood that I purchased for $140K several years ago. A Viking range would just be stupid. But any potential buyer looking at my house would still prefer the higher-end stainless appliances from Sears over the cheap-looking and non-stylish (& cheaper) models. Everyone watches HGTV, not just people who can afford the houses they feature!

What I’m saying is that it’s a much better idea to go with the top of the line models in the types of things are that appropriate to the size/value of your home, than to pinch pennies by buying the cheaper models.

Normally, I will consider only whether I can afford it and whether I need it/can live without it.
For the second questions, normally a cooling period works wonder!

After passing this 2 questions, I will normally buy the item that I wanted and not look for cheaper alternatives.

Not sure whether is it just me but from experience, I realise that I always spent more money buying the brand/item I wanted in the first place after compromising for a cheaper alternative.
On a positive side, I find that the joy of using something I wanted and not a compromise saves me money in the long run as I will continue to use it until the item breaks down.

Good example of this for me will be iPod. I was using my second gen iPod (15GB) until it broke down and was extremely happy with it.

Cheers.

I just buy things, and sit on it for 2 weeks, or whatever the return policy is and return it, if i think it’s not worth it. Generally it’s not.

The problem with this logic being that a moderately-priced range from somewhere like Lowes will probably last you less than half the time a more high-end stove, like a Viking, would. There’s being frugal, and then there’s being so frugal that all the products you buy need to be replaced in five years (or less). Spend more money on quality and you’ll spend less money in the long run.

Great concept and great post

Vince at #31, you do realize that HGTV is paid by those same high-end appliance sellers to deliver “programming” (really, program-length advertising) to convice you of that. Good grief, that’s what 99% of whatever is on television is trying to do!

*****A

And, using it every day, I totally see why. We had a Ceran stove previously and I do like the gas one better. I’m a convert. So go cheaper on the stove if you want, but DO run the gas line.

Also, a gas dryer will save you a bundle on your electric bill. Our current place has the laundry room just steps away from the master bedroom — another layout choice I’m really grateful for.

-Erica

-can I upgrade it later? If not, seriously consider spending the money. We spent big bucks on the foundation, upgraded insulation, soundproofing in the floors and walls, high end radiant heating system, etc.

-is this a flaw that really needs to be corrected?
designing something on paper is so different than reality. You may discover that you really don’t like something on your floor plan. Change it.

-will this ultimately save me money? good windows, insulation, heating systems…they can all have big payoff in money and comfort

-this one might be suspect, but….will this increase the value of the home? We used this to justify the large lodge-style fireplace. It is a zero-clearance fireplace that is more like a furnace, so it also saves us heating costs….but ultimately, we figured it would add more value to the home than it cost.

So, that means that we have a home with outstanding “bones”, excellent insulation, efficient heating systems, excellent windows, and a large kitchen that actually cost less than that fireplace.

We only spent about $10K on the kitchen including cabinets, counters, and appliances because we can easily upgrade it later. I should mention that I cook more than anyone I know and the kitchen works just fine with Kenmore and GE Profile.