12 reasons to be optimistic about 2009

The fine folks at Kiplinger’s Personal Finance have come up with a list of 12 things that won’t suck in 2009; 12 reasons to be hopeful despite what the economy throws our way in 2009.

“Unfortunately, the economic climate in 2009 is unlikely to be much better than 2008 — and in some ways could be worse,” noted the Kiplinger editors. “But it won't be all bad. Hard times have an upside. And really hard times have an even better upside: Businesses offer great deals to attract customers; loans become more affordable; and the government boosts spending and cuts taxes to get the economy pumping again.”

Highlights of the list include:

• 2009 Will Be a Great Time to Buy or Refinance a Home. The median home price nationally has fallen 20% since the housing market’s peak in July 2006, according to the National Association of Realtors. That’s especially good news for first-time home buyers or anyone who doesn’t have to sell a home before they buy, as well as patient buyers who can handle the time consuming process of buying a distressed property.

• The Debt Binge Is Over. Let's face it, Wall Street wasn't the only one to go a little nuts with money that wasn't theirs. Americans developed a serious bad habit of living beyond their means and jacking up their debt to do so. Out of sheer necessity and fear, many Americans have started cutting debt and actually setting money aside -- after 15 years of a declining national savings rate that nearly reached zero. T. Rowe Price economist Alan Levenson estimates that personal savings jumped two percentage points in the fourth quarter and will rise another two points in 2009.

• More Tax Cuts Are Coming. Most of us won't see much in raises from our employers, but take-home pay for many may go up some. The reason: Tax cuts of some sort are likely to be part of a coming stimulus package.

• It’s a Good Time to Travel. Business and pleasure travelers can get some big breaks. Hotels are having to drop prices or at least restrain increases for the first time in years. Many are tossing in free breakfasts and fitness center use. Cruise lines and resorts are offering big discount packages, too. The combination of poor business and lower fuel prices will make flying a little cheaper.

• There’s Relief at the Pump — And on the Lot. The average price of gasoline will be lower in 2009 than it has been in four years. Although prices will creep up from averages below $1.70 a gallon now and peak during the summer driving season, there will be no breathtaking surges like those in 2008. The national average should top out around $2.15 a gallon and average about two bucks for the year versus $3.25 for 2008. Cars should be cheaper than this year, too. Dealers and manufacturers are desperate to make sales.