$1,500 house paymant to none? - Mothering Forums

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Old 08-06-2005, 01:29 PM - Thread Starter
 
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Here's our story....

I am a SAHM of 3 children ages 11,3, and 18 months with one debuting in Feb. 2006. We do own our own business. My husbands paycheck is $700 a week, BUT our housepayment is $1,500 a month, that does not include living expenses. We just have decided we are living well over our means, and at the rate we are going will never get ahead. We do not have any car payments though, or credit card debt. We chopped the cards 2 years ago.

I have been so upset, crying my eyes out because my husband says he is getting very tired, and doesn't think he can take the stress of the bills, and just getting by every month.

AT this point we want to sell our home, not have an agent. Question is we want to market our home here in PA, in NY-NJ areas but have no clue where to put our house listing at, that would be cost free to us, and really gets the traffic, as we want to try to sell it before FEb, before the baby is born.

If verything goes well we will sell this house, then have to find a place to rent, or buy a house cheap for awhile. This area that we would be in is not your greatest area.What is your opinion on this situation? Don't you think that that is a huge house payment? We just need to simplify, and I am being suck a wuss about this, anyone simplify like this?

Please help a mom in distress!

Renee
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Old 08-06-2005, 02:23 PM
 
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I agree. That is a huge house payment! We pay $953 at the moment. But that includes escrow and insurance. Our income is almost twice as much as yours. And I still think its a lot of money spend on a roof over the head!

Have you checked into realtor.com? I don't know if they charge a fee or if you have to be a realtor to list there. You could do a web search with the term "for sale by owner" there are a lot of sites coming up. I would also check for a regional news paper. I do think though it will cost you to list just about everywhere.

I hope you get it sold soon. The stress of having to keep going because you can't afford to slow down will wear you and your husband out over time.

Good luck!

Cinnamon
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Old 08-06-2005, 02:37 PM
 
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I think given your income you should sell the house. I don't think that's a huge house payment- ours is more- but our take-home income is twice yours.



-Angela
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Old 08-06-2005, 03:32 PM
 
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Home ownership is very important for a lot of different reasons; however if you can't afford your 1500.00 / mo then by all means look at downsizing. I am not loving the idea of selling your home and renting because then you lose a lot of financial growth and security.

We pay something horrible like that but our income doesn't stress as much. It's still annoying to me to pay that much, but we did it as a choice and we live in a very expensive market.

You're in an AWESOME position, with no credit card debt and no car payments. You could very easily take your euity from this home and use it to make a huge chunk into the down payment on another.

Who knows? This could be a very good opportunity for your family to be FREE.
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Old 08-06-2005, 03:39 PM
 
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You're paying less than $500 a month more than I am for a 2 bedroom TINY apartment! (also, my SO makes a bit less than your DH does!)

It sucks, and I wanna do better in life as well.

I have no advice, but take care and good luck!!
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Old 08-06-2005, 04:01 PM
 
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Would it be worth it to refinance? Have you checked out the rates right now and compared them to yours?
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Old 08-06-2005, 04:18 PM - Thread Starter
 
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I am thinking that there are other families small/big that have been, or in the shoes of us. I guess sometimes I just need to look at the whole picture, and be grateful, realize my family is healthy, and the things that surround us are just THINGS. I just don't get why it is erking me so bad to move to this town, I am not sure if it is because we have always lived in the country, without neighbors right 2 ft from us, I am use to privacy, and quiet.

I do think that it will be nice that the kids will have, or will meet other children to play, unlike here, totally on their own, with no neighborhood kids.
We right now have 3 bedrooms, and finding a house with 5-6 bedrooms, bigger house you can buy for $30,000. The town is not too swell, but cost of living is cheaper, taxes are cheaper.

So have to start making up a roughdraft of our listing.
I thank you for all reading, and I guess I had no one else to vent to. Thanks

Renee
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Old 08-06-2005, 04:24 PM
 
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Renting IMO is a very bad idea for many reasons if you dont have to.

We are feeling as you are if a tight income. Its seems everything costs $$
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Old 08-09-2005, 11:48 AM
 
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Where can you buy a home for 30,000

My first thought would be looking into refinancing options see where that gets you. I wouldn't rent, refinance or buy something smaller/cheaper.


Her is another thing, you keep saying where you are going to move to isn't as good a place, are you going to replace money worries with safety worries? If you are going to constantly worry if you and yor kids are safe it isn't worth it KWIM?

Maybe look into something in the middle, cheaper but not so cheap.
Having no other debt is a huge thing.

Mom to ds 9 dd 7 : and dd 3/08 : if I can I go to
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Old 08-09-2005, 05:14 PM
 
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wow his income is a few hundred more than my dh's and our house payment is 2,100. We know we are living way beyond our means but we got the cheapest house we could find. We felt renting for us was just throwing money away. Think everything nowadays is just lots of money. Maybe refinancind or buying a smaller home could help you out
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Old 08-09-2005, 05:22 PM
 
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I would think long and hard about moving into an area that you already have reservations about.

Renting is not a good option as others have mentioned. You lose the tax break and you don't build any equity. Buying in a lousy area is probably also a bad idea in that your asset won't appreciate very much and could actually decline in value if the area gets worse. You'd be better off buying a smaller place in a better neighborhood. Like the realtors always say, "location, location, location."

I also agree, look into refi if it's applicable.
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Old 08-11-2005, 01:17 AM
 
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I think a re-fi is a good idea .... you also need to look at the equity you have built in your home and take that into consideration. If you bought the house for $250,000, but have $50,000 in equity, then a re-fi is a great idea, could bring your note down quite a bit.

You say your hubby brings home $700 a week... or about $2,800 a month, has that money paid for insurance already? You have no car payments and no credit card debt....so you about about $1,300 to play with, right? Are there any other ways to cut corners or not do certain things? We cut out cable, cut back our cel phones to minimum, and stopped renting movies and we saved $100 a month....

I would think selling your house would be a last resort....IMO
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Old 08-11-2005, 12:56 PM - Thread Starter
 
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Thank you for everyone giving me your advice, I really appreciate it. We just are set on selling this home, not refianancing, as we think that are children will have a richer life being in a neighborhood. We would be debt free, except of course our tree service, but on a personal level, we would be stepping down, but also having extra money for things that we never have money for.

I guess I am just reliazing at the ripe old age of 26 years old that sometimes more simple is better.

I tried listing our home on craigslist in the NY area, but nothing yet, finding an actual site that everyone looks at "for sale by buyer" is tought for me to find.

We are selling as in conditon, take it or leave it. We just don't have the time, or extra money to paint the whole house, re-carpet, re-tile. I would miss all our recent hard work landscaping, making walkways with stone off our mountain, all my herb & flower planting, and our recent playground that we just put in. But times have to move ahead here.

Renee
P.S.- I put a picture of our house on my yahoo pictures, at the bopttom of my sig. It's not the fanciest house, but a nice home with a great view of the river.
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Old 08-11-2005, 01:41 PM
 
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WOW.... what a beautiful home!!!!!!!!! I would buy it in a heartbeat.... it really is JUST the kind that we are looking for. Unfortunately.... we need it to be in St. Louis..

Good luck, I'm sure you'll get a buyer!
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Old 08-11-2005, 06:25 PM
 
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Renee,

Sounds like you are doing what you need to do. The housing market has changed..and changed VERY drastically in some areas. Where I live, I could not TOUCH a townhouse for under 400k. Most houses around here are over 600k period...even fixer uppers. And even if I look for a 2 hour commute for hubby, we STILL can't touch one for under that...we'd have to do a 3 hour commute and we may find an actual home in the 400k's.

So here, in silicon valley, california, it makes SENSE to rent and not stretch the family on one income beyond it's means creating many more problems. The main goal in life is to keep your family together, not own a great house. A lot of places are becoming like this where renting may make more sense than buying at the moment. Right now, our rent for a townhome is 1500 which is on the lower end of the median for one. And you betcha, if we were stretched so badly that it caused problems with my husband's attitude and weighed on his shoulders spiraling into possible depression, we'd downsize to an apt then and pay about 1000 which is the going rate here. Yes, I'd be upset but I'd have to change my outlook gradually.

Later when things have settled down, we will think about moving or buying..but for now, we are doing what is best financially and realistically for our family. There is absolutely nothing wrong with this logic. Of course, when my child came, I spent some time in a tizzy and upset because I wanted a house, but then reality slapped me and I realized, deep down I have everything I need and when circumstances change, we'll change then.


Take care and good luck!


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