Hello,
Wife and I (35 yrs old + 2 young kids) are interested in upgrading to a larger home. We bought 5 years ago when prices in our area were pretty low and since then have done a number of upgrades. The upgrades and upswing in home prices in our area give us about 50K of equity after paying a realtor 6% and allowing 6K for closing and repair ( from home inspection) costs. We are finding the home small now with children and would like something with a real 2 car garage and a room for the computer that's not in the dining room along with many other reasons.
Assuming 50K down, we are looking at a 250K loan for 30 yrs. Here are the details-
Income 92K a year
Credit score's both 820+ with multiple car loans paid in full. Pretty respectable credit portfolio with zero late payments over 18 years.
Debt- 1 student loan with a balance of 8K, which I intend to pay off via cash flow before buying.
Emergency fund of 13K
Mutual fund investments of 20k
Retirement fund 145K and contribute $750 a month ( will continue this). We are government employees therefore, both of us are qualified and contributing a pension plan.
With no debt other then the student loan, we have over $1200+ easily in excess a month. Current mortgage is 1K and I project the new loan to be $1850 with all taxes and insurance. I've always been very conservative with money and while I know we can make this payment I enjoy having the extra cash flow. We have been using it to eliminate debt and now with it almost gone we are wondering if applying it towards a "forever home" is a sound move.
It's worth saying where not materialistic (were definitely frugal) people or into going out much. As a result we have pretty monthly low spending compared to people our age . We spend a lot of time at home and this is why it seems like a worthy place (haha) to spend some of the extra money we behave frugal for. But at the same time, my frugal self keeps making be second guess and extra 850ish a month. What are your thoughts??? Appreciate any insight!
Submitted April 24, 2018 at 06:35PM by Dopeshow4 https://ift.tt/2Hs5IFs
