Just so you guys know, I really really really wanted to title this post “How I Paid off 93k in Debt in One Day” But as much as I love a good clickbait title, I couldn’t do that to you guys. Because I hate those posts.
I got to do something really really cool a couple weeks ago. I got to pay off over 100k in debt. In just a couple days! It’s a pretty awesome feeling to watch those balances vanish away. I wish I could give you guys some cool tips for how to pay off 100k in debt in one day. Unfortunately, it all fell down to being able to sell our house for a pretty sweet profit and find a decent rental.
So you guys know some of how this came about, but here is the whole story. It started with Dustin’s new job. He left for the academy and we made it through 8 weeks of just seeing each other on the weekend. I know it’s fairly pathetic but it was so hard.
I am so proud of him, watching him graduating was one of the coolest things ever. And work has been going great for him. However, his job was over an hour away from our house, and that commute sucked. We owned the house, I had bought it a little over 4 years ago right as the market was coming up from the bottom for a good price. And now all of our wealth was tied up in the house.
And you guys know exactly how serious the numbers were for us on the debt side of things. We were left with the decision of staying in the house and building more equity or selling it and finding somewhere new to live. For a couple of weeks, we tossed around the idea of buying closer to Dustin’s job, and I honestly stressed myself out.
Dustin doesn’t have bad credit…he has no credit! Add to that we couldn’t even apply for a mortgage until he’d been on the job for at least 90 days (which would have been September). We went back and forth.
Deciding to just wait it out and stay in the house.
Searching for rentals, which wasn’t exactly fun with a large breed dog.
Torturing myself on Zillow looking at new homes.
Torturing myself looking at our debt snowball.
And hearing day after day about homes selling in our neighborhood within days of being listed just made me more anxious to sell before the market cooled.
But our biggest obstacle was trying to find a place to live. We knew buying was out of the question. My credit score was not enough and with our debt ratio, I knew there was no way we’d get approved for a mortgage, even with my VA option.
And the rental market is insane!
Once he started his on the job training and was driving to his facility every day I really hated the idea of him continuing that commute. With me working 1st shift and him working 2nd shift, plus the 1+ commute you can imagine how little we saw each other.
It pushed me towards selling even more, and luckily we found a rental that would work for us. If we could get in, and get a move in date. Seriously guys…the world was conspiring against me getting a good night sleep. But we found a place that would work and so I took the chance.
I listed the house on Zillow, just to test the market while we narrowed in on the rental. We listed it on a Wednesday….We had a signed offer on Monday. Are you kidding me?! Yes, it was exactly that fast. The first person who walked through the house bought it.
And now I had to survive the buying process! Oiy. We had to get through the inspection, the appraisal, getting a new lease, packing our house, physically moving, and not lose my mind.
Well obviously we did, though barely, and I got to do the really FUN part. A couple days before my 29th birthday I sold my house. I got to take that sweet check in my happy little hands all the way to the bank! And then I had to wait until the next day for the REALLY FUN part.
I got to start paying off those bills!!!
That was a dang good day. I thoroughly enjoyed watching those balances dwindle! Unfortunately, the profit off the house wasn’t enough to pay off all of the debt, but we made some serious progress! And as you can see in the numbers below we’ve still got some work to do.
But I know you guys will be happy and celebrate with me! Dustin’s new job is going really well, and moving has cut his commute down by almost 45 minutes. We get more time together. My commute is only a few minutes longer. And life is good.
Our housing costs went up, by a lot, but we’ve got a lot less monthly payments. So we’re ahead at the end of the month. Which gives us more room to pay down debt, pay cash for things we want to do, and save for the new house.
Because yep, that conversation isn’t over, it’s just been pushed back a year. I’ll be sure to do a post sometime on increasing credit scores because that’s what we’ll be working on a lot. And narrowing down where we’re actually going to live.
And learning our new neighborhood.
And figuring our new normal.
But life is good. And I miss you guys a lot. And I’m hoping to figure out where the blog fits into my life right now because I need this. It’s good for my soul.