Finance Billionaire Warren Buffet is known for his minimalistic lifestyle, despite being among the richest people’s list consecutively. Rather than spending on expensive materials, Buffet prefers to invest his money in stocks, hoping for greater returns in the future. He started his career in the stock market at the age of 11 and continued to serve as the CEO of his company Berkshire Hathaway since 1970. The legendary stock market player has invested in almost every giant company and uses his sharp skills to increase his bank balance every day.
However, you’d be surprised to know that a person with so much money lives in a modest house which he bought decades ago, and drives a modest car too. Another jaw-dropping thing you might not have heard about the 91-year-old is that he didn’t need a smartphone to achieve all these. Instead, he used a flip phone until Apple CEO Tim Cook gifted him an iPhone in 2020.
Known as the frugal billionaire, Warren Buffet’s list of expensive things won’t include exotic cars and lavish party pads like a typical billionaire’s. This makes it more interesting to know what he actually owns is expensive to him.
#6. Intellectual Books
Books play a huge role in Buffet’s life since they have helped him become who he is now. In fact, during his initial days, Buffet reads 500-600 pages every day so that he squeezes out every bit of knowledge that makes him wiser each day. He always sits by a pile of valuable books around him and believes that they are like compound interest, which gives him returns in the future.
#5. An iPhone
As I mentioned earlier, Warren Buffet didn’t own a smartphone till 2020 until he was gifted with several iPhones including one from Apple’s CEO, Tim Cook. Despite owning 5.5% shares of Apple which convert to $72 billion, the frugal billionaire found a $20 flip phone called Samsung SCH-U320 enough for him to build his empire. He doesn’t use other features except for calling.
#4. Custom-made suits
Happy 91st birthday to the legend Warren Buffet pic.twitter.com/CYd7RvXb6o— Cory Machado (@RealCoryMachado) August 30, 2021
Warren Buffet generally wears a suit and they aren’t just any suit. Instead, there’s an interesting story behind them. During a trip to China, Buffet got his suit measurement in his hotel room and was given a few samples to choose from. But little did he know it was the renowned Chinese designer Madame Lee who wanted to give him a suit. He chose two suits at the hotel and met Lee afterward who makes the suits for him if he needs any to date. However, Buffet doesn’t own a walking closet full of bespoke suits. Instead, he has only 20 pairs which range from $700 – $5000. Madame Lee was successful with getting a new client and has close relations with Buffet. She also designed suits for Bill Gates, as stated by CNBC.
#3. Real Estate
Real estate is something that a person like Warren buffet would willingly splash money on. His first purchase was a $13,500 home in 1958 which is estimated to be worth $652,619 today. Buffest says this is his third-best investment after his two marriages. The 6,570 sq. ft home features five bedrooms and two and a half bathrooms. He also bought a property in Laguna Beach, California for his late wife, but he sold it for $7.5 million. The home is an icon of simplicity, and he enjoys the quiet neighborhood in the place he grew up.
#2. His minimalistic car collection
Buffet owns stocks from various companies but has a policy of only having one car in his garage. Motor Biscuit reports that he drives a 2014 Cadillac XTS which was an upgrade from the 2006 Cadillac XTS he initially drove. The car roughly costs between $44,600 and $69,095. Buffet doesn’t drive a lot which is the reason his old car had only clocked 19,000 miles. He donated the 2006 Cadilac to a non-profit organization called Girls Inc. who auctioned the car for $122,500.
#1. Private Jet
The most expensive purchase the billionaire has made is his $850,000 Bombardier Challenger, which he bought from NetJets, a company he has invested in. Owning a private jet is a sensible decision as he does a lot of traveling to various locations for business, and it saves a lot of time and money.
After all, Warren Buffet has only spent 0.01% of his entire net worth and has plans to donate 99% of his wealth to charity. He has managed to give away $39 billion and only plans to leave $2 billion for each of his children, so they understand the value of money.