Looking for some advice...

iVillage Member
Registered: 12-06-2008
Looking for some advice...
6
Sun, 11-08-2009 - 12:38pm

I have somewhat of a dilemma, hoping to get some opinions.


I am a 32 years old and single with no kids. I moved back from across the country 2 years ago to be closer to the family. I also bought a house at that time. A house that probably is a little big for me and my 2 dogs, but I love it.


I wasn't really prepared to move in hindsight, and racked up a lot of credit card bills in the move and subsequently with buying the house. Before I knew it, I had $25000 in credit card bills and a new mortgage; I did not have enough for a down payment on my house (not smart in hindsight) so I have very little equity built up.


The good news is that I have a job, a part-time job (I took that job to pay off the cc debt - will be paid off in 2 months - lesson learned), and can make all my payments. The bad news is I have very little money for anything else, like saving for an emergency fund or paying down debt at a faster pace. Like a lot of folks, I know that there are no raises in sight at work. I also have 70k in student loans to go with the roughly 225k I owe for the house.


I know that once the credit card bills are gone, that will free up some money, but I was looking at working less at my part-time job lest I go insane. I also don't know how much longer I want to stay in this area - I am thinking of moving to a bigger city but only when I am financially ready to do so (lesson learned).


So the question is this -


1. Do I try to sell my house and rent for a while? This would help me free up some money every month to save and pay on student loans, but trying to sell a house right now seems scary plus I don't have enough saved up to sell my house right now and move again. Especially if it goes for less than I paid for it. Home values in our area haven't dropped too much, but it is a buyer's market for sure.


2. The other option is to keep working at the part time job as long as it is available and then try #1, but

iVillage Member
Registered: 11-14-2008
Sun, 11-08-2009 - 4:23pm

It can be difficult to move somewhere and rent somewhere else(tenants are pain in butt), not to mention risky.

What is the situation with your student loans? Are they in deferment? Until when?

I suggest paying off the cc debt. Then, take one less shift at your part time job and start paying down your mortgage or your student loans.

You are not done with the debt train my friend, but you are on the right path.

Good luck!


iVillage Member
Registered: 10-01-2008
Sun, 11-08-2009 - 7:03pm
Ditto!

Norma


"Patience is the best remedy for every trouble"- Plautus


iVillage Member
Registered: 10-01-2009
Sun, 11-08-2009 - 11:18pm

If you love your house stay in it...until the market picks up in your area...


Congratulations on paying off your credit cards...Woohoo


Youve inspired me to get off my butt and seriously start looking for a well-paying part time job...


Duke

iVillage Member
Registered: 04-16-2008
Sun, 11-08-2009 - 11:30pm
Would you be comfortable, or tolerate, having a roommate for a while? Since you mention your house is a little too big for you and the two dogs, maybe you could bring in some extra income without having to continue with the part-time job by renting out a room. Just a thought.
iVillage Member
Registered: 04-10-2003
Mon, 11-09-2009 - 8:36am

I had the same thought as PP. I currently rent out a room in my


Bex -

iVillage Member
Registered: 12-06-2008
Mon, 11-09-2009 - 7:36pm
Thanks to everyone for the kind words and advice. I think the roommate option is one opportunity