Hi all, new here, have been reading the blog for the past week. Got a case study for ya, I am married so not all decisions are mine to make. Decently frugal hubby, save for hobbies.
Income: 83K including bonuses from 1 full time job (DH) and my very part-time job
8K rental income (675 per month)
91K total (this is relatively new income for us, years past it's been at a peak of 65K)
Liabilities:
Rental Mortgage: 901 (PITI - 15 year note, 11 years left on it, balance of 69K on property worth at best 90K, 4.25 interest rate)
Home Mortgage: 911 (PITI - 30 year note, 30 years left, balance of 122K on prop worth 131K, 4.25 interest rate)
Car loan: 422 (Nissan Versa Sedan, 3 year note, 2 years left, balance of 8,500 left, hope to be paid off in August of 2014, 2.25 interest rate)
Total Debt: 199,500
No other debt. I can give a list of monthly budget, but really it's cut down to a place where we both agree to have it cut. It includes tithing, which I don't see posted much about here, and I take would be something most would cut, but we won't. No face punches, please (I'm asking for it, am I not? LOL)
Assets:
Nissan Versa 2012: 10K
Nissan Versa 2012: 11K (yes, we have two Nissan Versas, LOL)
Rental Property: 80-90K
Home: 131K
Checking Account Savings: 5K
Roth IRA: 6K
IRA Savings: 25K (earns a teeny bit of interest)
Total Assets: 268,000
Specific Question(s): I'd like to know what you would do in our situation. Our current plan is to pay down the car as fast as we can, then attack our primary home. We don't receive much rent, but that was a calculated move on our part (got a renter right away, know him, etc.) Plan on negotiating a higher rent, not much though, next September. I'd love to just sell it outright, but not sure due to a lot of factors if we can. In one year, my hubby will receive 15% of his income as a pension through his work. So we'll start adding about 12K per year in savings.
Our ages: Me, 34, Husband, 32. My goal is to have to him able to retire by 50. He doesn't think it's necessary, but I'd love for him to have the option to retire or work less.
Alright, have at it.