>The hubs and I had an interesting conversation on the way home from work last night. We were talking about how drastic we could get if we wanted to free up $$$ to pay our debt down as fast as possible.
Currently we live in a two bedroom condo that we own. We have two cars but only one car payment and right now we can commute to and from work together until my office moves next April.
We have a budget we follow that includes bills such as savings and extra debt. With this budget we will be able to get all of our consumer debt paid off in just under three years. Mind you, the stuff I am more concerned about will take less time.
If we were desperate we could rent out our condo with the expectation of receiving enough in rent to cover the mortgage and home owners dues. That would free up around $1100 per month.
But where would we live? We could move to my parents (about ten minutes away) and sell all unnecessary items/furniture so we would not have to store it. Our utilities would go down as we would be sharing a house with my parents. We would of course pay them some rent unless they wanted to allow us to live there rent free to help us get out of debt and their house as fast as possible.
In this scenario of living at my parents house and renting out our condo out for one year. We could funnel a total of $13,200 extra dollars to our debt on top of the minimum payments and extra money already being paid out. That would be a total of $25,716 for the year. That would leave us with a car payment and a student loan payment, we could move back to our condo and go about our lives.
The trade off would be living with my parents which I just don’t think I could do. I don’t want to give up that amount of freedom for a year to knock roughly a year and a half off my debt repayment plan. So, this is a worst case scenario in my book.
What would you do?