Hello all,
You seem like a great bunch, anyways here is our situation.
I am 30 years old, living in Castellon de La Plana, Spain with a lovely wife and newish baby. I opened a Language School 3 years ago and it is going ok. Wife (Primary school teacher) is off work for the year so we are living on 1 salary for the next 6 months- we have done our maths and are ok financially
Our Debt
We have a 29.5 year mortgage which comes to 98,085 euro. interest is 2% - Variable mortgage
We owe a further 41,000 euro to my grandfather (this money was borrowed to qualify for mortgage) Repaying 400euro a month no interest
Our Savings
This year we have saved a total of 7000 euro in cash - Normally I'd have found ways to spend this but I am a very recent convert to your moustachionistic ways.
I don't want to keep the money in cash/ savings as it is likely to be spent, mortgage prepayment is a very real option but the drawback is that interest is so low. Investing in Spain sees you crippled by taxes. Index funds are a nice idea but I don't see it working out with the tax situation.
Any help here greatly appreciated,
Yours Andrew