WE SOLD THE BIG HOUSE!
We did it! We officially completed the sale of the big house! Feel free to insert all celebratory emoticons, bitmjois, memes, and GIFs here. 🙂
Yeah, it’s like that.
Here’s our total loan balance from our Mint account before we sold the house.
Here’s our loan balance now.
Oh yeah! That’s a difference of $152,089.82. 🙂
Here’s the balance of the small house mortgage: $35,227.87.
Here’s the balance of the student loans: $29,496.38.
With respect to debts, this is it. We have the small house mortgage, which we reluctantly signed up for when the big house sat on the market (despite DOZENS of showings); this will be paid off well before the end of the year, making us true homeowners for the first time in our lives. And we have a series of small-ish student loans that add up to the $29k referenced above. (We paid off our credit card debt awhile back.)
Crush the Debt Plan
One of our lofty goals is to be debt free this year. To crush the remaining loan balance, we’ve reallocated the amount we spent on the big house to the small house mortgage. For months, we’ve been paying two mortgages, two electric bills, two water bills, and two sewer bills. Thus, we now have an extra $1,300 to apply to our remaining loan balance.
As we examined last week, we took a look at all of the strategies that the FIRE community uses to reach financial independence. Some choose a couple of core strategies to focus on while others test the waters with all six. Since last week’s post, we’re taking a look at not only our money but our time in an effort to prioritize most of our efforts using a couple of core strategies: frugality and entrepreneurship.
In our situation, we maintain our frugality and continue to seek expenses to cut. We plan to shop our insurance policies to find a lower premium for our home and autos. Having two houses and extra cars results in crazy amounts spent on insurance policies. (Excessive. Lesson learned.)
We’ve even further optimized our food spending. At the start of the year, we added back some money or restaurants, which quickly got out of hand. No more! We can’t control ourselves. Thus, we’re trying something new. We’ve signed up for the local CSA, which offers enough greens for us for a week. We’re also in our second month of using Soylent for lunch. I’m confident we can keep our grocery budget to under $500 per month. I know we could live on less, but I’m not inclined to sacrifice the organic and free-range foods in our lives. Even at $500 per month, this is a far cry from where we were in July 2014. Garrett will have a budget breakdown later this summer.
Part of our debt crushing plan includes enjoying life. We’re spending more time celebrating our successes by way of weekend hikes and a frugal vacation (or two). As the Debt Free Guys say, we need to enjoy the journey as much as the destination. And we are loving the journey. We’ve met, online and offline, many new friends via our blog. We read constantly, soaking up every nugget of wisdom from personal finance to productivity to business management. Life is good.
In going through this process, I can say that I’ve learned far more than I ever imagined. Two things stand out that I’ve made a part of my daily life.
- I make time to celebrate the wins, big and small.
- I make time to journal about what I’m grateful for.
Today, we celebrate the big win. Tomorrow, I’ll be grateful for having sold our big house, but I’ll also be grateful for the financial lessons we learned as homeowners.
P.S. Close to paying off a mortgage? Wondering what to next after you paid off your mortgage?
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