The billionaire CEO of Berkshire Hathaway, Warren Buffett, maintains a level of frugality that contrasts sharply with his monumental wealth. Despite his net worth surpassing what most people can imagine, Buffett finds contentment in the modest home he’s inhabited for more than six decades.
In the first quarter of 2025 alone, Buffett’s wealth increased by approximately $26 billion, raising his total net worth to $168 billion, as reported by Bloomberg’s Billionaires Index. Yet, the 94-year-old remains thrifty, famously once owning a car with a license plate reading “THRIFTY.” He candidly acknowledged his frugality in an interview with CBS News’ Norah O’Donnell, describing himself as “cheap.”
Buffett still resides in the same house he acquired in 1958 for $31,500. This five-bedroom, two-and-a-half-bath home, located in Omaha, Nebraska, spans 6,570 square feet and was originally built in 1921. Currently, the property is valued at about $1.3 million, a stark contrast to the luxurious lifestyle Buffett could afford. Given his present financial standing, he could theoretically purchase this home approximately 129,000 times over. Nonetheless, Buffett has stated he “wouldn’t trade it for anything,” cherishing the memories of raising his three children there, exemplifying the notion that wealth does not necessarily equate to happiness.
In contrast to Buffett’s humble residence, other billionaires make different choices regarding their living arrangements. Bill Gates, for example, possesses a substantial estate with multiple amenities, including a trampoline room and an indoor pool. Despite being an empty-nester, Gates has expressed no intention to downsize, appreciating the personal luxury his home provides.
Meanwhile, Elon Musk, the world’s wealthiest individual, reportedly lives in a $50,000 home near SpaceX headquarters in Texas. However, The New York Times reported that Musk recently acquired a $35 million family compound, intended for his extensive family, even though his governmental duties may keep him away.
Many other billionaires opt for coastal properties, as seen with those trading up for spots in Florida’s affluent areas like “Billionaire’s Beach,” featuring luxury homes owned by high-profile figures such as Donald Trump and Ken Griffin. These real estate choices highlight the financial flexibility these individuals possess, where even the most significant purchases minimally impact their wealth.
Buffett’s choice to remain in Nebraska, with its lower living costs compared to places like New York City or Beverly Hills, likely aligns with his deliberate approach to spending money only when essential. This article was initially published on Fortune.com.
