So I am new to MMM (read most of blog) over the past month and have been brought up with sound money principals but a head of me there are major life choices to be made.
Background My wife and I are 30 and have been together for 11years (married for 5) We Just arrived back to the USA after living in New Zealand for 3.5years! (NZ is the best)
(no kids) Might look at having one soon...
Currently live rent free with parents (ya for being 30, married and living with you parents...) This location is 17miles for both my wife and I to travel in opposite directions for work.
We own one 2006 Honda CRV bought with cash and I am using a borrowed car to transport.
So here is my question and a few problems that we face. Rent/Buy and location. Location Is Minneapolis MN
Rent and buying are cheap next to Job 1 income(50,000) and a little pricy by Job 2(30,000)
In order to determine this you probably need to know some case study info
I would like to keep this simple
Income (take home pay) $4500/Mo
Bills
Phone $60
Hair $65
shoes/clothes $150
Gas $250
Food $700
Vacation/Travel +races $375 We like to enter various races, Running ,multi sport, rollerblade, ski etc.
Student Loans $900 yes its $900/mo Total student loan debt is $80,000
Savings $2000
Currently we have a complete blank slate. We Just finished paying all debt from the move back and finding jobs.
We should be able to save $2000/mo from November 2016 - move out day?
Note worthy We will be getting a return form New Zealand in March 2017 around 13,000 Which was money we put in to a retirement account while in NZ
My goal would be to move out around April 2017
Giving my projected savings rate I should be around 12,000 plus the 13,000 from NZ.
So with the $25000 in April 2017 What should we do?
Option 1.
Pay student loan down some and find cheap rent in studio locally by job 1 rent would be $650
would not require a new car.
Job 2 would have to drive lots more.
Option 2
Buy a Cheap (<100,000) fixer upper and do some sweat investment.
I Have tools available from Father and some building experience.
how much for down payment and save how much for fixing?
Option 3
Buy a more pricy town house close to job 2 but does not need significant improvement.
Cheapest option seen was 130,000
Job 1 would have to drive a lot more.
still don't need second car.
Extra question once in a place rent or buy estimating all costs of housing and utilities is around $800 what should we do with the extra 1200/mo?
student loan, housing payment, invest?
Ok probably a little hard to follow but any advise on any of the topics would be greatly appreciated. please don't punch my face, I prefer kicks...