A few months ago my wife surprised me with a pair of designer jeans she had picked up at a thrift store. She bought a bag full of clothes for $5 from which she pulled out several items for our children and then the jeans for me. The jeans retail for $150 and we paid under $1. It reminded me of a fundamental financial peace lesson:
Buy wholesale and sell retail.
Trouble, of course, happens when you switch the verbs.
Buying retail only to sell wholesale ( think houses or cars) causes poverty.
Designer jeans bought for $1 can later be sold for $10-50,
but designer jeans bought for $150
will rarely be sold for even a small fraction of the original cost.
Money is made or saved on your purchase to a greater extent than when you sell an item.
(Image via Wikipedia)