Help me decide if I should move!

[miss snow]

Hi Mustaches,

Here is the latest idea on which I am obsessing. To be blunt, I have massive student loan debt. 120K worth at 5.25%. You don't need to beat me up because, trust me, I have been doing it to myself for years. I have tremendous regret and embarrassment over it. And no, I'm not using my degree anymore. I was. But now I'm not. 

On the other hand, my husband and I have a home in Seattle that has nearly doubled in value since we bought it 4 years ago. We are ready for a change of scenery and are seriously thinking about moving. Seattle is booming and feeling very congested and we're just not digging it any more. We're thinking maybe Portland, maybe somewhere else, but probably still the PNW or  the West, in general.

We could walk away with about $300,000 from our house sale. I would want to use it to pay off the loans and the rest as a down payment on a new home or split between a down payment and investments. Husband can work anywhere and currently makes 85K. I make 50K but would need to find a job wherever we went. We have no other debt and about 200K in retirement and investments.

If I loved my job and Seattle I probably would just hang on. But I don't and am really craving something new. I'm 38 and husband is 47. No kids. No other debt besides current mortgage. We don't have an official FIRE date but I feel like, whatever it is, we could get there quicker without this crushing student loan debt.

What do you think? Should we cash in and get out of dodge?

[LeRainDrop]

There are many personal factors that go into the decision of whether to move, which, as a stranger, I obviously cannot speak to for you.  But financially speaking, if you can capitalize on the greatly increased value of your Seattle home to buy a more modestly priced home in an area you both like, while simultaneously making a blockbuster punch at your student loan debt, then I would say go for it!  Many people are stubbornly attached to their home and refuse to make a change in that factor, even though it could massively help them financially to do so.  Since you and your husband are open to the idea of moving, I think you are miles ahead of the other families who would not even consider that.  This sounds like a great opportunity for a big money win!

[LeRainDrop]

I would also suggest you ask a Mod to move this question to the "Ask A Mustachian" Forum, as you're more likely to get more responses there.

[marty998]

I think you've already made your decision and are looking for reassurance.

It's ok to live your life the way you want if you and your husband are on the same page.

Not having kids in the picture would make the decision a whole lot simpler I reckon.

Go for it, and enjoy life.

[Greenroller]

I think you've already made your decision and are looking for reassurance.

It's ok to live your life the way you want if you and your husband are on the same page.

Not having kids in the picture would make the decision a whole lot simpler I reckon.

Go for it, and enjoy life.

^thus, EXACTLY!

[Roots&Wings]

I agree with the others. What's holding you back? Deciding where exactly to go? Finding a new job? If your husband is on board, that sounds like fun stuff to plan your lives ahead!

Fun article here in case a reminder is needed :)

[crispy]

Since you really want a change in scenery, I think it is a great plan. 

[undercover]

Moving might be advantageous, but moving to Portland seems like a lateral move...especially if you move to a similar part of town that you're in now. I mean it is slightly smaller, less corporate, and I personally prefer it to Seattle, but still...it's not cheap either.

What if you could move to a cheaper area that would be tolerably close to your current office, pocket some money to pay down the loans, move and then see how things play out? You could take a sabbatical and travel for a while.

[Goldielocks]

If you did not have the student loan, would you still move?  If yes, then do it.


Although my throat closed up a little when I read "120k at 5.5%"...  but student loans like this are paid off over 10-20 years, and you just deal.   Have you exhausted loan forgiveness programs and the like?   Can you get the rate lower with SOFI or others? 

Generally, I don't like the idea of moving a student loan onto your house mortgage until you have gone through all the options.   This is a little different, as you are using "free and clear" money, but still. 

I definitely prefer the idea of your treating this like a "hair on fire", and paying it off through your income ASAP instead.  You will be much better in the long run, much more unlikely to get a fancy car loan in future, etc.

[MrsStubble]

i'd say go for it.  We are doing the same

Selling our house will allow us to pay off 100% of our debt (student loans), move closer to our new jobs (hello bikes, goodbye cars), allow us freedom to travel more (we're also DINKS), and let us get out during an upswing and save again for the next downswing.    I'm excited for us to be mobile for the first time in 10 years.   

[Sofa King]

MOVE!!!!!