Put equity from the 2 homes you’re selling into the 1.5M one and pay cash. In 10 years you’ll have a 1.5-2M primary home with no mortgage and 3-4M liquid retirement fund if you keep working and the market goes in your favor. 3M might not be enough though. Wait until you’re at 5M liquid to retire.

While some of the previous posters were inelegant, their final conclusion boils down to:

you can either afford early retirement or this 1.5 million dollar house.

You cannot afford both.

I do agree with them.

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:We make about $400K from both salaries.

We have close to $1.5M for retirement. Small amount for college. About $100K in cash.

We have $600K in equity now. Plus a second vacation home with mortgage. Selling a third home and expect to net $800K.

We had kids late and so while close to retirement we have young kids.

Are you selling both homes? If you have $1.4M to put down, then yes: you can afford a 1.5M home.

With young kids I'm not sure how realistic early retirement is - you're going to need good health insurance at the very least and much more in college savings - but swapping whatever you're paying in housing now for a $100k mortgage shouldn't break you.

+1

My thoughts too. If you are selling both homes, then yes, you can afford a new $1.5million one.

I also agree that early retirement may not be feasible considering college on the horizon.

+1. It sounds like you can afford the house but with young kids, no college funds, good but not amazing retirement savings at 50, and two properties - both with mortgages, why are you both retiring at 57? You are living and planning like you don’t have kids, but you do. You will be paying out of pocket for insurance for years if you require at 57. You should both suck it up and work until 65, putting as much money as possible into retirement and 529s.

Full benefits begin at age 67 now. Medicare is still 65

Anonymous wrote:We make about $400K from both salaries.

We have close to $1.5M for retirement. Small amount for college. About $100K in cash.

We have $600K in equity now. Plus a second vacation home with mortgage. Selling a third home and expect to net $800K.

We had kids late and so while close to retirement we have young kids.

You would be better off selling the vaction home and taking the 800K and investing in your kids education and putting the remainder where it can grow to fund the exorbinant health care costs you will have at age 57 dragginga few dependents for quite some more time. Given all your money is tied up in homes and you have very little set aside for college, and you plan on becoming self pay insurance buying more house is...dumb.

Anonymous wrote:We are both 50. Would like to retire in 7 years.

You have "young" kids and you are 50? You want to retire in 7 years? At Age 57? How do you plan to afford heath insurance? Mortgage is the least of your worries, especially since you have young kids at late middle age.

DH and I are self employed and pay 4,000/mo in health insurance and are younger than you (we are 46). We have one off to college in August and do not see us being able to cut the kids off inurance until AT LEAST my yongest graduates college in 2032 when we are 54 and that is assuming both have good jobs that cover insurance. Even then when we drop the kids when we are 54, our premiums will be higher becuase we will be older.

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:We make about $400K from both salaries.

We have close to $1.5M for retirement. Small amount for college. About $100K in cash.

We have $600K in equity now. Plus a second vacation home with mortgage. Selling a third home and expect to net $800K.

We had kids late and so while close to retirement we have young kids.

Are you selling both homes? If you have $1.4M to put down, then yes: you can afford a 1.5M home.

With young kids I'm not sure how realistic early retirement is - you're going to need good health insurance at the very least and much more in college savings - but swapping whatever you're paying in housing now for a $100k mortgage shouldn't break you.

+1

My thoughts too. If you are selling both homes, then yes, you can afford a new $1.5million one.

I also agree that early retirement may not be feasible considering college on the horizon.

+1. It sounds like you can afford the house but with young kids, no college funds, good but not amazing retirement savings at 50, and two properties - both with mortgages, why are you both retiring at 57? You are living and planning like you don’t have kids, but you do. You will be paying out of pocket for insurance for years if you require at 57. You should both suck it up and work until 65, putting as much money as possible into retirement and 529s.

Anonymous wrote:

Anonymous wrote:We make about $400K from both salaries.

We have close to $1.5M for retirement. Small amount for college. About $100K in cash.

We have $600K in equity now. Plus a second vacation home with mortgage. Selling a third home and expect to net $800K.

We had kids late and so while close to retirement we have young kids.

Are you selling both homes? If you have $1.4M to put down, then yes: you can afford a 1.5M home.

With young kids I'm not sure how realistic early retirement is - you're going to need good health insurance at the very least and much more in college savings - but swapping whatever you're paying in housing now for a $100k mortgage shouldn't break you.

+1

My thoughts too. If you are selling both homes, then yes, you can afford a new $1.5million one.

I also agree that early retirement may not be feasible considering college on the horizon.

Anonymous wrote:We make about $400K from both salaries.

We have close to $1.5M for retirement. Small amount for college. About $100K in cash.

We have $600K in equity now. Plus a second vacation home with mortgage. Selling a third home and expect to net $800K.

We had kids late and so while close to retirement we have young kids.

Are you selling both homes? If you have $1.4M to put down, then yes: you can afford a 1.5M home.

With young kids I'm not sure how realistic early retirement is - you're going to need good health insurance at the very least and much more in college savings - but swapping whatever you're paying in housing now for a $100k mortgage shouldn't break you.

Anonymous wrote:

Anonymous wrote:We are both 50. Would like to retire in 7 years.

Do you plan to live in this 1.5M home with a mortgage in retirement? If so, I’m not sure you’ll have enough saved to do that unless you get a windfall.

This ^^. I'd be concerned about the cost of the mortgage. You can always refinance though it rates come way down. I wouldn't hold your breath on that though.

So you inherited a bunch of real estate but can’t do the most basic of finances.