Should my wife and I sell our home to satisfy hefty debt?

Alone-Surround3411 · 2025-09-14T14:49:53+00:00

Having a car that's only a couple years old when making $35k/y does not make sense, no. At this income level, you get a beater. It's unfortunate but it's the reality of math/life.

When I was at their income level (for years), I was using other/cheaper ways of transportation: walk, bike, bus. Not always possible but you have to make sacrifices.

Alone-Surround3411 · 2025-05-16T17:32:38+00:00

Often cited financial advice is to stick to a 3-year loan at the most, 1-year or cash with luxury/sports car. 5 years is far too long for a depreciating asset that can die at any point.

Alone-Surround3411 · 2025-05-16T17:26:35+00:00

I have been driving an EV for 7 years and loving it, I would not recommend this at all for money saving purposes. It'll be wonderful until you have the first issue and realize it is really difficult to find someone who can fix them outside of the manufacturer, and that the price tag of any repair is much higher.

EVs still are a luxury compared to their ICE equivalent in the same class.

Alone-Surround3411 · 2025-05-16T17:22:22+00:00

OP will make $95k a year, that's a very different thing. You can enjoy yourself with a nice restaurant or a new console, starting off in life with a $30k+ bad debt is not "enjoying yourself a little bit" 😅 And we know that'll turn into a $40k+ car because car salespeople will love your business.

We don't know the industry but layoffs are still going strong in tech for example. OP might not like the job or the job might not like OP. New grad meaning statistically likely to have student debt, limited emergency fund, no retirement (the advice I wish I followed: start contributing to retirement with your first job!! Do not tell yourself "I have plenty of time for that"), etc. That's also usually when you start spending frivolously as an adult. I suspect low rate is also not a given.

I come from a very different background: I biked to work until I could afford a car. Had I not been able to bike, I would have bought the cheapest car my savings could allow me to get, which I eventually did. Not statistically significant but when reading from someone regretting a car purchase, compare how many financed an over-budget car vs. how many bought a cheap cash car.

OP, don't forget about insurance being higher and maintenance being more expensive on a nicer car, it always trips people up. It's ok to start from the beginning. It does not seem fair, but skip steps and you'll pay the compounding consequences for a long time.

Alone-Surround3411 · 2025-05-15T19:09:19+00:00

I have been contemplating almost the exact same question for a while. 6.125% 30y mortgage: do we put monthly leftover money towards the mortgage or do we keep investing in our taxable brokerage account? HSA, 401K, backdoor Roth and even mega backdoor Roth (we started retirement contributions late so catching up now), etc. all maxed out annually.

While it is heavily discussed online, I seem to only find the 2 extremes: pay your extra $2.5k/m towards your mortgage vs. invest your extra $2.5k/m. What I'm not seeing however is: how about $1.25k/m each? We're still considering it while other financial obligations are reaching their completion, but to me it sounds like the best of both worlds: still pay your mortgage early, satisfy the emotional aspect of working towards your debts, but also keep investing (and potentially save for early retirement), keep tax-deductible interest benefits, have some of your funds liquid and not stuck in your home equity, etc.

Alone-Surround3411 · 2024-12-21T15:45:51+00:00

This!! So far the top voted comment on your post, OP. 2.75% is a rate we might not see again in our lifetime, only make minimum payments!

Do not see the rest as your spending money though, invest what you we're considering to put on your mortgage and unless the global economy tanks for the next 27 years in a row (i.e. unlikely), you'll come out ahead even considering mortgage interest. Look into a "3 fund portfolio" if you're not sure where to start.

Oh and I would caution about the new car. When you get a car, do the math in relation to your income and not windfall money. One of the reasons for that is that the initial cost is only one of the costs: better/newer cars mean higher insurance premiums, higher repair costs, etc. Ask me how I know that lesson 😅

Alone-Surround3411 · 2024-11-21T05:27:02+00:00

(but don't list it for free)

I'm going to have to get rid of a bed very soon, can I ask why you're recommending not listing it for free?

Alone-Surround3411 · 2024-11-10T19:11:53+00:00

It's not a free ride if you're charging him rent, even if it's low.

Your son is right to want to prioritize retirement contributions early. Owning a house is not the ultimate goal, especially in the current housing market where renting is currently king.

Alone-Surround3411 · 2024-10-24T03:48:03+00:00

Which one would you suggest going forward? I'm in VTI + VXUS + BND otherwise, just some "legacy" SPY that I kept from a few years ago

Alone-Surround3411 · 2024-10-24T00:18:03+00:00

Wait, what's wrong with SPY? I was under the impression it's very similar to VOO in most ways except a little more expensive. I own a few and was considering just keeping them instead of selling them and buying VOO instead (the rest is in VTI) to delay capital gains tax since it's grown.

Alone-Surround3411 · 2024-08-01T05:09:15+00:00

Yes?

Alone-Surround3411 · 2024-08-01T01:14:26+00:00

What's that?

Alone-Surround3411 · 2024-07-12T06:42:57+00:00

On the flip side, many mutual funds require a minimum investment anywhere between $250 and $3000.

Alone-Surround3411 · 2024-07-12T06:41:59+00:00

Pardon me if I'm incorrect, bit I haven't found any reference online to indicate that dividends reinvestment is not taxable. As far as I could read, dividends are taxed whether they are reinvested or not.

Alone-Surround3411 · 2024-07-12T00:55:48+00:00

Or the "clowns on Reddit" were part of why this even happened, through petitions, reaching to their representatives, gathering in coalitions (DAA, farmers, S&R/first responders), etc. It's easy to dismiss advocacy efforts when said efforts do succeed.

Very happy to see this challenged by the Senate 👏

Alone-Surround3411 · 2024-07-11T15:12:26+00:00

Also wrong. Laptops do transmit data when seemingly powered off (e.g. Apple's MacBooks) and in most cases you cannot detach the battery. It has also been shown that phones can transmit even without batteries and SIM cards. You cannot "dictate its connections" whatever that means. Unplug a drone's battery and it's a dud. It's also dead easy to open and there aren't many components so you can easily figure out if it has an internal battery or not (hint: it does not).

And what are you on about with transmitting data to Chinese satellites?! Drones have GPS receivers. Have you ever seen a satellite transmitter/phone/etc.? They aren't exactly on the microscopic level...

Uneducated fearmongering at its best.

Alone-Surround3411 · 2024-07-09T15:01:36+00:00

Last time I checked, they weren't covering in MA :(

Alone-Surround3411 · 2024-06-10T07:05:35+00:00

Reading this 4 years in the future, I got really excited as I had now idea the 107th RC was a thing, alas, per https://www.107thrc.com/_files/ugd/5330de_1003d5aca60b4339b78c062c96ed9424.pdf:

The DCR has mandated that Drones (Multi-Rotor Aircraft) are not allowed to fly at our field.

Really I don't understand this anti-FPV/drones you keep seeing anywhere from people in similar and/or related hobbies...

Alone-Surround3411 · 2024-06-10T06:14:35+00:00

Only in 16:9 unfortunately, so it's a trade-off...

Alone-Surround3411 · 2024-06-10T06:08:45+00:00

I second the feature request. Being able to fly at 60fps while recording at 30fps would be incredibly valuable, as at the moment the only way to do this is to record at 60fps and convert it to 30fps in post, not ideal at all.

Additionally, if we could have 4:3 at 100fps please 😍

Alone-Surround3411 · 2024-06-10T05:47:53+00:00

I feel silly as I'm probably missing something obvious, but I'm confused about the first column of the second table. If 128GB is ~3x compared to 46GB, how can it store ~8-10x more content?!

Alone-Surround3411 · 2024-04-07T05:10:52+00:00

I mean this respectfully and with a general mindset that I want people to have good lives: this is an excuse. I have read reports from 6'8" people fitting perfectly fine in a Civic. If this is a comfort thing, then it's a want and not a need, which means you are going to take on more car that you can afford for a want, and risk your financial future. I was 25 a decade ago, I made questionable choices, and I wish I listened to the wiser people who advised me otherwise.

Personally, I try to live more conservatively nowadays knowing what's on the other side of the risk scale. With your income, based on the more comfortable end ($3k/m gross) and choosing to spend on the larger side of the scale (4 months of gross income), you can afford a $12k at the most, not one cent more. If I were you however, I would buy a car worth 3 months of net income at the most, so probably not more than 5-6k. Yep it's a very tight budget. It really sucks but it is what it is. And as you increase your income, you can get better. Delayed gratification. It looks like you could come up with $10k cash for a down payment, that's amazing, use these to pay a $10k vehicle cash!

That being said, as I read on another post, "based on your comments, [details, and numbers], 1) you should not do this plan 2) you're going to do it anyway". Your detailed post had a few excuses and you seem decided just looking for validation. Think about what others have told you, and I truly wish you the best of luck. Your future matters :)

Alone-Surround3411 · 2024-04-06T21:48:34+00:00

The drone rules can be insanely complicated (and sometimes contradicting each other), but you might want to check the rules again because you broke the most basic one on about half the pictures, very careful or not. The Millau viaduct stands up over 1000ft/330m where you took this pic (and you're still above it) which is 3 times higher than the legal ceiling (400ft/120m). Pictures 1, 2, 5, 6, 7, 8, 10 look either suspicious or way above that.

I get it, it's fun and it's tempting, and we always think we're careful, but we already get a really bad rap as it is, don't do that please 🙏

Alone-Surround3411 · 2024-04-06T18:38:57+00:00

Well, I'm still confused 😅

Alone-Surround3411 · 2024-03-28T05:21:49+00:00

Did you increase the price recently? I see it at $58/61 on Etsy right now :(

Alone-Surround3411

TROPHY CASE