ok im 36 and me and my wife earn 125,000/year. can i support a 400,oo0 loan for 6 months (or until i sell my home) and a 300,000 loan for as long as it takes to pay it off? my taxes are 6k a year, my cars are payed off, so it just leaves the home to pay off. my son (13) will go to college in 3 years and my other son is 12 and in 6th grade. i have about no collge savings and 40K in retirement fund.
note: i have no other major expenses other than paying that off and buying a TV.
just so you know, im putting this in the parenting forum because theres tons of people here.
2006-10-07 11:21:38 · 5 answers · asked by legendaryfrog 3 in Pregnancy & Parenting ➔ Parenting
Yes you can do it. Just don't do it for more than the 6 months. I'm guessing they are 30 year loans with 6% or less interest? If the interest is higher than that, or if you have 15 year loans, maybe not.
We, well just my husband as I stay at home, make $65,000 or so and will be supporting a $200,000 and another $200,000 in a similar situation (selling/buying a house). We can easily do it since we have no other debt except for my college which is minimal.
Why buy now though? Can't you wait till the house sells and then buy? Or, with this market, at least put it for sale for 3 months, then buy, then you'd only have the two loans overlap for 3 or so months instead of 6.
There're better ways of doing it.
2006-10-07 12:09:02 · answer #1 · answered by happymommy 4 · 0⤊ 0⤋
Depends on how stable your 125,000 dollar job is. Are you living within your mean? Or do you tend to over indulge because you can? If you were to have any issues arise and couldn't pay back as much as you want at that time, are you able to cut back on other things? How important is it to you for your son to go to college? How old do you want to be when you retire? I say save the money, buy when you have the money, and don't over indulge in things you are not sure of/ or know you can't.
2006-10-07 11:31:01 · answer #2 · answered by erinjl123456 6 · 0⤊ 0⤋
My suggest would purchase a decreasing term life insurance policy for the mortgage and college. Contact New York Life and schedule to meet with one of their reps to discuss your options. You are still young enough to get decent rates on any-kind of policy depending on what you do for a living...
No, I am not an agent for them I just took the course to obtain the knowledge of insurance options..
2006-10-07 11:28:35 · answer #3 · answered by Teetee 2 · 0⤊ 0⤋
wow you are really well of and congrats for your kids. not many kids are college bound. I have found that comunity college is alot cheaper and it allows children to mature a little before transfering.
2006-10-07 11:26:09 · answer #4 · answered by Anonymous · 0⤊ 0⤋
you should be fine i think
2006-10-07 11:27:36 · answer #5 · answered by lilmissthang025 2 · 0⤊ 0⤋