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[quote=Anonymous]Right now we have a combined HHI of 400k, but I'll be taking a 140k hit when I move out of a biglaw job later this year (so new HHI will be $260).  Right now I own two properties -- a rental property that has a PITI of $2100 a month that I rent out to my parents for $1700/month, in exchange for them taking care of my two kids.  We own a nearby primary residence with a PITI of $4300.  Both of the mortgages are at 3.5%. So the total amount I pay out of pocket for mortgages each month is $4700. This has been a great arrangement for us so that we can leave our preschool kids with people we trust, for less money than a daycare center or a nanny.

Is it crazy to try to tighten our belts and keep this same arrangement when we're earnings $140k less?  Although our base HHI every year will be a lot less, I will receive a discretionary annual cash bonus of up to $50k, plus stocks of up to $50k (that vest in 2 years).  I was thinking that I could base my budget on a probable $20k extra a year, and take out some $$ from savings to pay for living expenses.  We have about $80k saved (not counting 401(k)).

DH is pushing pretty hard for us to sell both properties, take the equity of $300-400k, and buy a house in the $600-700k range where the whole family, including my parents, could live together.  Of course, this would involve a major commute to get a big house like that for that price (whereas right now my commute is 20 minutes).

So what say you - crazy to try to reduce spending and keep both properties?  They are in Arlington if that makes any difference.[/quote]

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