Young 30s couple and $105k income. $312k in debt, which breaks down to $193k mortgage and 119k other (Student loans being a large portion, credit cards, and 2 vehicle loans. Credit rating is garbage. For years we've been treading water but basically sinking more every year. Due to an increase in the housing market around us, I believe we can sell our house for 300k give or take, and am seriously considering cashing out. The 80-100k we would make off the sale will make a huge dent in the debt, and free up 1500-2000 a month in income. Looking at rental properties I think we could find somewhere to live for a decent price, and within a year use the unlocked income to pay off the rest of the debt. I believe with some discipline we have a real chance of paying off everything we owe within a year, while improving our credit rating in the process. Our house wouldn't take much effort to get it in selling shape, so I'm all but ready to dial the real estate agent. My only hesitation is that i'm making a mistake and will regret it. I really love our house, and though I realize my situation needs some serious help I would hate to sell it if I'm missing something and won't be able to significantly improve my finances. So, what am I forgetting about? Where is the hole in my one year plan?
Submitted June 19, 2017 at 11:05AM by Raptor5k http://ift.tt/2rIFwTf
