I need about $20k to get us through a layoff-home equity loan?

[Anonymous]

Anonymous wrote:

Anonymous wrote:I doubt you’ll qualify for a loan if you don’t have the income to pay for it. If you can get one, this seems like a good option if you pay it off quickly when you go back to work.

Op here. My DH works, but makes less than I was making and he doesn’t make enough to cover all our bills.

In theory, he could cover the mortgage though if we just didn’t pay other things.

I think you should sell your house and get 5-700k in cash. That will get you through the next year or so.

[Anonymous]

No expenses you can cut? Family to borrow from?

It sounds like you are going to have to see if you can get a loan from your bank or credit union, HELOC, or rack up some credit card debt.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:You have a million dollar house and no savings? Start driving uber.

Op here. $1.5 million, but yeah. We had savings but it’s been wiped out in the last few months.

So, you live in a $1.5 million dollar house and living pay check to pay check. Good luck with that. Sell the house and move into something 1/2 that. You are living over your means if one emergency wiped you out.

Op here. I mean, yeah we are house poor. But we bought our house in April 2020, got a screaming deal on it, and it was a fixer upper/foreclosure. Our interest rate is 2.25%. We poured our sweat equity and our hearts into it, our area absolutely exploded (even more than other places-like not even just our city but our specific neighborhood went completely bananas the last 3.5 years). We paid $800k, it’s worth $1.5 mil now.

We want to do whatever we can to hold onto the house because of the interest rate.

[Anonymous]

Can you or DH take a 401k loan or IRA distribution?

[Anonymous]

Anonymous wrote:No expenses you can cut? Family to borrow from?

It sounds like you are going to have to see if you can get a loan from your bank or credit union, HELOC, or rack up some credit card debt.

Op here. We already cut way back, sold a car, etc. No family to borrow from.

My question is the best way to cover these costs, a personal loan? HELOC? Credit card debt is an option (can get a 0% card), but we can’t pay our mortgage or childcare with a credit card.

[Anonymous]

Anonymous wrote:Can you or DH take a 401k loan or IRA distribution?

DH will get a pension so we can’t borrow against that

My 401k doesn’t allow loans

We don’t have IRAs I don’t think.

[Anonymous]

Anonymous wrote:

Anonymous wrote:I doubt you’ll qualify for a loan if you don’t have the income to pay for it. If you can get one, this seems like a good option if you pay it off quickly when you go back to work.

Op here. My DH works, but makes less than I was making and he doesn’t make enough to cover all our bills.

In theory, he could cover the mortgage though if we just didn’t pay other things.

Which things specifically?

It would be better to skip on some bills and pay them when you’re working again then start paying interest immediately on a new debt.

[Anonymous]

Anonymous wrote:

Anonymous wrote:Can you or DH take a 401k loan or IRA distribution?

DH will get a pension so we can’t borrow against that

My 401k doesn’t allow loans

We don’t have IRAs I don’t think.

Is your DH a teacher or something?

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Can you or DH take a 401k loan or IRA distribution?

DH will get a pension so we can’t borrow against that

My 401k doesn’t allow loans

We don’t have IRAs I don’t think.

Is your DH a teacher or something?

Op here. College professor.

[Anonymous]

Anonymous wrote:

Anonymous wrote:No expenses you can cut? Family to borrow from?

It sounds like you are going to have to see if you can get a loan from your bank or credit union, HELOC, or rack up some credit card debt.

Op here. We already cut way back, sold a car, etc. No family to borrow from.

My question is the best way to cover these costs, a personal loan? HELOC? Credit card debt is an option (can get a 0% card), but we can’t pay our mortgage or childcare with a credit card.

You only pay mortgage. You skip out on childcare without notice and lose your spot. You do NOT take out a high interest loan to save face/avoid losing childcare. If you haven’t paid for October, DON’T.

[Anonymous]

What is your job? What kind of salary do you earn and does DH earn? If you give some sort of numbers about what your income is now and what it expects to look like if you work, we can give better ideas.

I think you should sell the home. Taking out another loan now and then having to pay that back and having your savings already wiped--not a good place to be, even if you find a job.

[Anonymous]

Anonymous wrote:What is your job? What kind of salary do you earn and does DH earn? If you give some sort of numbers about what your income is now and what it expects to look like if you work, we can give better ideas.

I think you should sell the home. Taking out another loan now and then having to pay that back and having your savings already wiped--not a good place to be, even if you find a job.

Op here. Selling simply doesn’t make sense. Even if it did, I’m not going to. Our interest rate is 2.25%. Housing costs have gone bonkers. We could sell but we’d still have to live somewhere.

[Anonymous]

Go fund me?

[Anonymous]

Anonymous wrote:

Anonymous wrote:What is your job? What kind of salary do you earn and does DH earn? If you give some sort of numbers about what your income is now and what it expects to look like if you work, we can give better ideas.

I think you should sell the home. Taking out another loan now and then having to pay that back and having your savings already wiped--not a good place to be, even if you find a job.

Op here. Selling simply doesn’t make sense. Even if it did, I’m not going to. Our interest rate is 2.25%. Housing costs have gone bonkers. We could sell but we’d still have to live somewhere.

You’re right. Holding onto your house is the most important thing. Stop paying water/power (you have months before they shut it off). Stop paying childcare. Stop paying anything other than what you actually need to pay.

[Anonymous]

Sell wedding ring?
Sell other car and husband Uber to work?
Pull child out of daycare until you get another job? (Even though it would be hard to take care of child and interview.)
I wouldn't skip paying for insurance, but are there other bills you can push?