Are We Ready To Buy a House Right Now? (Hour 2)

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The Ramsey Show 38 min 3 speakers 8 chapters transcribed 3 months ago
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Are we ready to buy a house right now?

Kristina Ellis 0:29
Live from the headquarters of Ramsey Solutions, broadcasting from the Pods Moving and Storage Studio, it's The Ramsey Show, where America hangs out to have a conversation about your life and your money. I'm Ramsey Personality, Christina Ellis, joined today by fellow Ramsey Personality, Dr. John Deloney. And we're taking your calls at 888-825-5225. Hey, if you like the show, please consider subscribing, leaving a review, and sharing it with a friend. All right, let's go to the phones. First up, we have Chris calling from Tampa, Florida. Hey, Chris, welcome to the show.
Dr. John Delony 1:07
Thank you for having me. Thank you for taking my call.
Kristina Ellis 1:09
Thanks for calling.
Dr. John Delony 1:11
So my wife and I are kind of like in a paralysis. We've paid off about $170,000 of debt. Whoa!
Dr. John Deloney 1:21
That's awesome, man.
Dr. John Delony 1:23
Thank you. We've been hammering at this pretty much since 2017. Are you all still friends? Yeah, even closer. Wow, fantastic. Thank you.

What factors should we consider when moving to another state?

Dr. John Delony 1:36
So right now, I make just under $50,000. I'm retired out of the military. My wife makes about $120,000. Um, and then, uh, when I was working, I just got cleared medically. I got into a car accident. I was trucking for a little bit, uh, making about 85 and I had a drunk driver hit me, um, on my time off. So I just got medically cleared not too long ago. So we're looking at trying to buy a house. Um, we have enough for down payment. Uh, we're looking at a house that's going to run about five 50, uh, about 26, almost 2,700 square foot house. And what's kind of got us in the paralysis of everything. is basically this, um, we can buy down points and get down to like the low fives. Um, and it would take about four years, uh, for like the $350 a month, month payment, um, to recuperate that money.
Dr. John Delony 2:30
Um, but on the same token with this house, it's going to need a new roof within about five to 10 years. Uh, the pool is going to need to be redone and the windows are going to need to be redone. Um, our mortgage would be looking at about three, about 3000 a month, uh, Now with the state of Florida, because of my veteran status, I don't have to pay property taxes. So it does help out tremendously on that end dealing with the monthly mortgage payment. But we're very scared between the homeowner's insurance kind of going up, the cost of everything. Another company offered me a job, which would bring our income to just about net 16 a month.

How can we save money on groceries effectively?

Dr. John Delony 3:11
Um, and so it would just kind of be like food, groceries, and then just a nanny, uh, for our two children. Uh, throughout the day, my wife does work from home and then obviously, you know, working locally, driving around, I'd, I'd be out of the house too. I just don't know if we should continue to rent and rent something for about 2,500 and save the money and. Maybe save up a whole lot more money to fix and repair things like that.
Dr. John Deloney 3:36
Hold on. Let me interrupt you, Ryan. I can see why y'all are paralyzed. You've got 50 things going on all at the same time. Yeah. Let me start here. Do you owe anybody any money? Nope. Zero. So you're completely dead free. You don't owe anybody anything.
Dr. John Delony 3:52
We have one credit card that has $1,000, and her company that she works for now reimburses her for buying stuff like printer ink, things like that. They give her a stipend every month, and it just gets paid off. But that could be paid off right now if I wanted to. But that's all we have is literally $1,000 on a Chase credit card.
Kristina Ellis 4:11
Why don't you just do a debit card?
Dr. John Delony 4:14
We have a debit card for all that. So our credit got hit really bad. And so we've been kind of putting things on the credit card, pay it off, and then put it on the credit card, pay it off every single month. And that's kind of raised up our credit. When we were $170,000, that was like we were still renting.
Kristina Ellis 4:30
What kind of debt was that, that $170,000?
Dr. John Delony 4:34
That was a bachelor's or two bachelor's and a master's, truck payment, motorcycle payment, and about $35,000 in credit cards.
Dr. John Deloney 4:41
Do you know what my credit score is? Zero, probably. I don't even know.

What are the benefits of a credit card for mental health?

Dr. John Deloney 4:46
I don't even bother checking it. And that's not because I'm some kind of fancy rich or whatever. I just don't care.

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