Hi there, just wanting a reality check on some upcoming decisions I've got to make.
In a nutshell: due to divorce, need to buy out ex's half of the equity in the house. I "want" to keep the house. Two mortgages, utilities, car and insurance are going to eat about 80-85% of net income each month. I'll meet the definition of house poor. But that's only for 4-5 years till the second mortgage is paid off, then things go back to breathing room. Cuts budget to 70-75% of net. That keeps the house, which is a HUGE thing for me.
The devil on the shoulder though, says "sell the house and just take the money". A good 2 bedroom, utilities, car & insurance would be only about 55% of net income in addition to having around $50k in my pocket. That's liquid flush which would be nice for just spend/save.
Smart MONEY says take the money and run, but I'm sentimental to a piece of dirt and just want some devil's advocates to give me a reality check please.
Thank you
Submitted July 27, 2018 at 06:59PM by i_am_raffiki https://ift.tt/2Lxgn7O
