Quote:
Originally Posted by JinCO
maat55 -- thanks for your response, but I'm not sure your advise is accurate. Our home is fairly entry level for the area that we live in. When we were shopping mortgages our lender suggested that we could be approved for a loan of $800K - $900K, but we chose a much less expensive home so that we could pay down our debt. Our largest monthly expense is childcare for our 1-year old. We both work full time and 50 hours of care per week is a significant expense. In terms of other expenses, I think we are more on the frugal side. We don't eat out much, don't travel much, don't drive expensive cars, etc.
I'm not sure I understand your point. Are you saying we should not have purchased a home until our student loan debt was paid off? I don't know that it would have made finanical sense to rent given the tax implications.
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Yes, if making 200k + you would have lived on 70 to 80k you could have knocked out your debt quickly. Having only 20k extra to pay down debt and no sizable EF, means theres a leak in your boat somewhere. Your home is not a problem when you are debt free, but for now you could have concentrated more on the debts first.IMO.