How much should a family be making to afford to raise 2 children in this area?

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07/19/2016 18:57

Subject: How much should a family be making to afford to raise 2 children in this area?

quote

Anonymous

Anonymous wrote:Here's us. Not living comfortably.

3 kids

HHI 130

Rent is 1800.

We also have a rental property OOS costing 1300. Rental income is already figured into our HHI.

All 3 kids are home with me. I work two pt jobs from home while my husband works ft outside the home.

We have a car payment to be done by December. After that, our only debt is the rental mortgage.

Things are tight. Retirement isn't fully funded. Emergency fund is maybe 3 months of expenses. College savings are a joke. We are just dumping all our cash into debt and then savings. I hope to *activate* into a stronger earner once all kids are in school. I plan to trade my two pt jobs into something ft with nicer benefits.

We'd be on easy street if we both made 100 and could get rid of the OOS property completely.

I don't understand the rental income thing. Can you explain?

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07/19/2016 18:59

Subject: How much should a family be making to afford to raise 2 children in this area?

quote

Anonymous

Anonymous wrote:

Anonymous wrote:Here's us. Not living comfortably.

3 kids

HHI 130

Rent is 1800.

We also have a rental property OOS costing 1300. Rental income is already figured into our HHI.

All 3 kids are home with me. I work two pt jobs from home while my husband works ft outside the home.

We have a car payment to be done by December. After that, our only debt is the rental mortgage.

Things are tight. Retirement isn't fully funded. Emergency fund is maybe 3 months of expenses. College savings are a joke. We are just dumping all our cash into debt and then savings. I hope to *activate* into a stronger earner once all kids are in school. I plan to trade my two pt jobs into something ft with nicer benefits.

We'd be on easy street if we both made 100 and could get rid of the OOS property completely.

Can you foreclose on the rental or do a short sale?

Don't take this the wrong way but three kids isn't a joke. We make close to 400k and probably won't have three kids!

The PP says its $1300 "cost" and then says the "income" is figured into HHI. So is is earning them $1300 or costing $1300?
130k without childcare cost should be doable?

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07/19/2016 21:16

Subject: How much should a family be making to afford to raise 2 children in this area?

quote

Anonymous

Anonymous wrote:

Anonymous wrote:Here's us. Not living comfortably.

3 kids

HHI 130

Rent is 1800.

We also have a rental property OOS costing 1300. Rental income is already figured into our HHI.

All 3 kids are home with me. I work two pt jobs from home while my husband works ft outside the home.

We have a car payment to be done by December. After that, our only debt is the rental mortgage.

Things are tight. Retirement isn't fully funded. Emergency fund is maybe 3 months of expenses. College savings are a joke. We are just dumping all our cash into debt and then savings. I hope to *activate* into a stronger earner once all kids are in school. I plan to trade my two pt jobs into something ft with nicer benefits.

We'd be on easy street if we both made 100 and could get rid of the OOS property completely.

I don't understand the rental income thing. Can you explain?

Sorry!

PP here

Our 130 HHI includes rental income, so it's not strictly our paychecks. Out of our income, we're sending $1300 into the mortgage and HOA for that property as well as $1800 towards our 2 bedroom condo we currently occupy.

The property/mortgage is underwater, so we can't sell it. We merely break even with rental income and hope values come back up to sell it in the future. Being a long distance landlord is risky and not something we enjoy.

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07/19/2016 21:22

Subject: How much should a family be making to afford to raise 2 children in this area?

quote

Anonymous

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Here's us. Not living comfortably.

3 kids

HHI 130

Rent is 1800.

We also have a rental property OOS costing 1300. Rental income is already figured into our HHI.

All 3 kids are home with me. I work two pt jobs from home while my husband works ft outside the home.

We have a car payment to be done by December. After that, our only debt is the rental mortgage.

Things are tight. Retirement isn't fully funded. Emergency fund is maybe 3 months of expenses. College savings are a joke. We are just dumping all our cash into debt and then savings. I hope to *activate* into a stronger earner once all kids are in school. I plan to trade my two pt jobs into something ft with nicer benefits.

We'd be on easy street if we both made 100 and could get rid of the OOS property completely.

I don't understand the rental income thing. Can you explain?

Sorry!

PP here

Our 130 HHI includes rental income, so it's not strictly our paychecks. Out of our income, we're sending $1300 into the mortgage and HOA for that property as well as $1800 towards our 2 bedroom condo we currently occupy.

The property/mortgage is underwater, so we can't sell it. We merely break even with rental income and hope values come back up to sell it in the future. Being a long distance landlord is risky and not something we enjoy.

You need to call the bank asap and attempt the shortsell. It could be years before you break even. Even if you're out only $500 a month that's 6k a year. Over five years that's 30k. Seriously don't just consider yourself stuck in this. Try and do a short sell which doesn't stay on your credit as long

report

07/19/2016 21:26

Subject: How much should a family be making to afford to raise 2 children in this area?

quote

Anonymous

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Here's us. Not living comfortably.

3 kids

HHI 130

Rent is 1800.

We also have a rental property OOS costing 1300. Rental income is already figured into our HHI.

All 3 kids are home with me. I work two pt jobs from home while my husband works ft outside the home.

We have a car payment to be done by December. After that, our only debt is the rental mortgage.

Things are tight. Retirement isn't fully funded. Emergency fund is maybe 3 months of expenses. College savings are a joke. We are just dumping all our cash into debt and then savings. I hope to *activate* into a stronger earner once all kids are in school. I plan to trade my two pt jobs into something ft with nicer benefits.

We'd be on easy street if we both made 100 and could get rid of the OOS property completely.

I don't understand the rental income thing. Can you explain?

Sorry!

PP here

Our 130 HHI includes rental income, so it's not strictly our paychecks. Out of our income, we're sending $1300 into the mortgage and HOA for that property as well as $1800 towards our 2 bedroom condo we currently occupy.

The property/mortgage is underwater, so we can't sell it. We merely break even with rental income and hope values come back up to sell it in the future. Being a long distance landlord is risky and not something we enjoy.

You need to call the bank asap and attempt the shortsell. It could be years before you break even. Even if you're out only $500 a month that's 6k a year. Over five years that's 30k. Seriously don't just consider yourself stuck in this. Try and do a short sell which doesn't stay on your credit as long

It's in a state with no forgiveness. So, it'd wreck my credit and we'd owe the difference. It's currently underwater roughly $30k. Aside from that, we really truly want to buy a forever home. There's no real easy way out of this that doesn't negatively impact our goals.