.

[Pembo]

.

 

[BHFan25]

I see people who do this all the time. Housing is so high anymore. I'll probably stay in the house I'm in because if I went to a bigger better house, there'd be no more WDW, Christian school, or fun around here! I don't think it would be a mistake to take the pressure off of yourselves or probably even your marriage. It is sad that so many couples and families do find themselves in this situation. There is a lot of peer pressure on adults even. Good luck with your decision!

 

[tiggersmom2]

I not only think it is the right thing to do, but also the responsible thing to do. You know in your heart that you just can't afford it. I know whenever I am worried about money I'm a nervous wreck. Heck, sell it for more than you paid (with the prices of houses on the rise it shouldn't be too hard to do) and use that extra money for a WDW vacation!

 

[believe]

I would downsize. Nothing is worth losing your peace of mind.

 

[clh2]

Here's my 2 cents on your dilemma:

Be careful - How much are you going to pay in realtor fees to get out of your house? Then there are 2 possible scenarios to consider:

If your house has appreciated: if you paid $250,000 for your house, and it is now worth $275,000. You are going to pay 6% for fees. This is roughly $16,500 in realtor fees. Any additional fees you would need to pay to close on the house would be extra. If your home appreciated - most likely the home that you want to move in has also appreciated 10%. So if the proposed house would have been $200,000 last year - now it is going to cost you $220,000. Would you really be happier - and have more cash flow in the "down-sized" house?

If your house has not appreciated in the last year - your $250,000 house would be sold costing $15,000 in realtor fees. This will most likely come out of your downpayment for your new house. What happens to your downpayment if it is ~15,000 less than what money you would expect to take away from the sale? Would that impact your downpayment for your new home?

Of course the current interest rates also affect everything. If you try to stick it out for a couple of years in your current home - it could be harder to unload a home when the interest rates are higher.

I would assume you have looked into refinancing? Are you currently getting the best deal you can? It sounds like you may be a SAHM. If you are - is there anything you can do to help out with the cash flow?

These are not easy decisions to make - there are many different options - that will impact you for years.

Good luck!

sorry for the long post pop daddy!

 

[Tuffcookie]

It doesn't hurt to start going to open houses in your area. The fact that your house is so new should work in your favor for selling quickly if you find something else.

TC

 

[ScarlettO]

I agree with "cl"...sit down and figure realtor fees, closing costs, etc. Divide this figure by 5 years , lets say, then 12...this is how much it will COST you-per month- to do this. Now figure how much cheaper a month a smaller house will be. Only when you 'do the math" will you be able to find out if it is a sensible thing to do.

 

[Pembo]

clh2 - Thanks for the great advice. I need to sit down with all the figures and do the math. And ScarlettO, I like your idea of dividing it by 5 years etc.

The housing market is tight where we are. That was why we were buying "up".

Thanks for your replies.

Any more opinions out there?

 

[Microcell]

To add another wrinkle to think about is save the realtor fee and sell it for sale by owner adding 3% to anyone who buys with a realtor to cover thier payment. It really is easy once you get an offer, all you have to do is write up a contract ( our mortgage company helped us with that, if they don't there are copies of contracts all over the internet for sure) and set up a time with the title company and get the contract to them. They do the rest. You can also check out FSBrg and they will help you for a fee of course. It can save money if you live in an area where houses are in demand.

 

[Cindy B]

Think of being a good steward with what you have.

We personally went for a smaller house, and are soooooo happy.