So, I'm a loan officer at Stewardship Mortgage. Since that is the case, I thought it would be cool to post something once a week about mortgage topics! Now, you may say, "That sounds boring", but hopefully my amazing writing style will keep you interested. Additionally, I think the information will be helpful!
Today, it's keeping in line with the budget and paying off debt theme of this blog. A lot of people get stressed and panicked when they think about buying a house. They think about costs, fees, down payments, insurance, etc. and can't wrap their minds around everything. Well, instead of worrying about the million things that go into a mortgage, I would say just focus on ONE thing: The Down Payment!
When you buy a house, you have to put in a certain percentage as a down payment. Depending on the cost of the house will determine how much of a down payment you need. I always suggest at LEAST 5%. So, if you buy a $200,000, that will be a $10,000 down payment. Wow, that is a LOT of money. I know I don't have that much cash to just drop on a house. Also, the more money you put as a down payment, the more money you save every month! You get a better rate, which lowers your monthly payment. To be perfectly honest, it's ideal to put 20% down on a house, which is pretty daunting to think about.
So how do you save for that? It could take YEARS to save that much money! Exactly, it will take years. In fact, in order to have a $10,000 down payment, it would take about 4 years of saving $200/month. In my opinion, the BEST way to save for a house is to pay off debt! Imagine if you could put all those monthly student loan and credit card payments towards saving for a house? Saving for a house and paying off debt don't just happen by throwing cash at it, hoping you can save enough. It's about making a game plan! It's about... BUDGETING!
Stephanie and I having certain goals we have written out before we start saving for a house. We figure, putting $20/month towards 10 different things makes no sense. Instead, we use the Dave Ramsey Snowball theory, only with saving. We save like crazy for a new car, then move on to the 3-6 month emergency fund, then move on to another goal. Again, this will only work if we make a budget and keep to it. If every month we are dipping into our savings because we overshot our budget, it's pointless.
I can't stress enough the importance of mapping out your financial goals. However, I can tell you from experience, the people who have saved for the down payment and the cost of buying a house have a MUCH smoother process when they do decide to buy a house. They have options and are picky because of all the time they spent saving that money. If you are married, sit down with your spouse and think of 5 financial goals you have for the next 5 years. Once you do that, it will make budgeting and saving a lot easier because you actually have a reason to keep to that budget!
Also, if you want to buy a house in the next 5 years, lets hang out (I will even provide the coffee)! I will help you make a game plan so that you know when you are ready to buy! I would love nothing more than to help you write out those goals and give you some confidence and knowledge. If you are already in a house, maybe write down how you plan on paying the house off early. Imagine not having a mortgage payment? Think about making that final payment 5 or 10 years early. You can do a LOT of awesome things with that money.
Money does whatever you tell it to do. God is allowing us to use HIS money, so lets use it wisely!
- Brian
Tuesday, November 26, 2013
Tuesday, November 19, 2013
Sacrifice and Why My Wife is Awesome
Stephanie and I have had MANY discussions about what we want for the future. It's quite fun to talk about your goals with your spouse. To know that you have someone who will support you and be excited with you whenever you achieve on of those goals. It's also great when you are both on the same page when it comes to what it takes to achieve those goals.
Recently we have actually sat down and written out ALL the things we want to accomplish over the next few years: Fully funded 6 month emergency fund, 10% down payment for a house, fully funded baby fund (have a baby is expensive!), save up for a new(er) car, and pay off ALL of my student loan debt. Now, those are not easy goals. Those things don't just happen by accident. In fact, I would guess that the majority of married couples never achieve those things. Why? Well, it's hard! It takes a crazy amount of sacrifice. You have to give up some things you want now for things you will want later.
I would say that the biggest goal we have is that Stephanie will be able to stay at home with our (future) kids. In order for that to happen, we can't have any debt other than a house. We also need to have a good amount in savings in case anything happens. All those goals above bleed into the stay-at-home-mom goal. When we think about our future of Stephanie staying at home with our kids, pouring into their lives, we get excited! What does that mean for us now? Well, that means we don't get to be your typical newly married couple.
Could we take big vacations, go on awesome expensive dates, and spend every night together? Probably, but we are both choosing to give those things up for our future. I am just getting started in my career so the money isn't as good as it will be in 2-3 years. We realize that the financial sacrifice now will be worth it in a few years. I am also an assistant basketball coach which means my free time right now is very limited. Stephanie and I don't get "date nights", we get "date hours" maybe once a week. Again, it's a sacrifice now for benefit later.
Stephanie is now working TWO jobs; Starbucks and Hobby Lobby. This puts an even greater strain on our time together. It means we have to be crazy intentional about the time we do get to spend together. Most wives would never do this. A lot of wives are so concerned with seeing their husbands as much as humanly possible, and being selfish about that, they aren't willing to give up date nights now for date nights later. My wife, however, is not like that. Thankfully, I married a woman who understands sacrifice better than I do. She knows this isn't forever. I could not be more thankful to her for all that she has done, and is doing, for the future of our family.
All that to say, it's important to think about what you want most. Do you ALWAYS want to live paycheck-to-paycheck? Do you ALWAYS want to be in debt? Sometimes it's about looking ahead towards the reward of all the hard work. We get so pumped when we talk about taking fun vacations with our kids and NOT putting it on a credit card. We look forward to the day when we will get to see each other everyday and have "date nights". But for now, we will sacrifice. We know it's worth it.
What are things you have sacrifice for a future reward?
How do you feel when you are able to achieve that goal you have worked so hard for?
Recently we have actually sat down and written out ALL the things we want to accomplish over the next few years: Fully funded 6 month emergency fund, 10% down payment for a house, fully funded baby fund (have a baby is expensive!), save up for a new(er) car, and pay off ALL of my student loan debt. Now, those are not easy goals. Those things don't just happen by accident. In fact, I would guess that the majority of married couples never achieve those things. Why? Well, it's hard! It takes a crazy amount of sacrifice. You have to give up some things you want now for things you will want later.
I would say that the biggest goal we have is that Stephanie will be able to stay at home with our (future) kids. In order for that to happen, we can't have any debt other than a house. We also need to have a good amount in savings in case anything happens. All those goals above bleed into the stay-at-home-mom goal. When we think about our future of Stephanie staying at home with our kids, pouring into their lives, we get excited! What does that mean for us now? Well, that means we don't get to be your typical newly married couple.
Could we take big vacations, go on awesome expensive dates, and spend every night together? Probably, but we are both choosing to give those things up for our future. I am just getting started in my career so the money isn't as good as it will be in 2-3 years. We realize that the financial sacrifice now will be worth it in a few years. I am also an assistant basketball coach which means my free time right now is very limited. Stephanie and I don't get "date nights", we get "date hours" maybe once a week. Again, it's a sacrifice now for benefit later.
Stephanie is now working TWO jobs; Starbucks and Hobby Lobby. This puts an even greater strain on our time together. It means we have to be crazy intentional about the time we do get to spend together. Most wives would never do this. A lot of wives are so concerned with seeing their husbands as much as humanly possible, and being selfish about that, they aren't willing to give up date nights now for date nights later. My wife, however, is not like that. Thankfully, I married a woman who understands sacrifice better than I do. She knows this isn't forever. I could not be more thankful to her for all that she has done, and is doing, for the future of our family.
All that to say, it's important to think about what you want most. Do you ALWAYS want to live paycheck-to-paycheck? Do you ALWAYS want to be in debt? Sometimes it's about looking ahead towards the reward of all the hard work. We get so pumped when we talk about taking fun vacations with our kids and NOT putting it on a credit card. We look forward to the day when we will get to see each other everyday and have "date nights". But for now, we will sacrifice. We know it's worth it.
What are things you have sacrifice for a future reward?
How do you feel when you are able to achieve that goal you have worked so hard for?
Friday, November 15, 2013
A Penny Saved...
So, since this blog is about debt, budgeting, saving, etc., I thought would talk about our budget! To be honest, we struggle keeping our budget. Especially when it comes to groceries. I feel like every month our grocery budget goes straight out the window! It's very frustrating and discouraging. We have tried using cash, tracking receipts, tracking it online, but nothing works. I think PART of it is that when we actually do our budget, it's not a very organized process (the large part though is that we are undisciplined). We write out our budget, but forget to include certain things. Why? Well, we don't track passed budgets to help us out. It's very annoying. It's inevitable that something comes up we didn't plan for, our budget is busted, and then the rest of our budget goes down the toilet.
Well, we are determined to change that pattern. I actually enjoy doing our budget, but I'm not organized with it. However, this time I decided to put it all on an excel spreadsheet. Instead of waiting until the day before to do the budget, I started it about 2 weeks out. This allowed us to discuss it and think of things to add and subtract so that we can actually keep on track! Since our paychecks are different every month, I'm also tracking what we make a little closer. This may sound like common sense to you, but it's actually quite difficult to be disciplined in this area. I don't think we are alone either.
We also started a few different "Funds" so that we can save up for things later one. We have a "New Car Fund", "Baby Fund", "House Fund", and are going to start a "Vacation Fund" as well. The reason we are doing this is so that we can prepare ourselves for large expenses later on. Buying a car, having a baby, and putting a down payment on a house are all things that WILL happen in the future, so it seems stupid of us to not prepare for that. Now, we don't make a lot of money right now, so the deposits into these funds are very small, but you have to start somewhere! Being a mortgage loan officer, I get to see the benefit of actually saving up for a down payment and how much money people save on their monthly payment by doing that!
One more thing we did was start a "Yearly Budget" for 2014. The main reason we did this is so that we won't have to go back every month and do a new budget. This way, the whole year is mapped out. Sure, things will change and we will have to adjust, but that's a LOT easier to handle when you have things planned. This gives a huge piece of mind to us. We realized you don't need to make a lot of money every year to pay bills. In fact, I'm underestimating pretty heavily what our income is actually going to be. Since I'm commission based it makes more sense for us to budget based on a smaller income and if we make more, great!
I have to say, if you aren't doing a budget, you need to start right away. The bottom line is that the money we have is God's. If we aren't budgeting and using our money in a wise way, it shows how ungrateful we are. God wants us to be able to enjoy His gifts, not stress about them. No matter what the income is, we have to be conscious and aware of where our money is going. Some people view a budget as a type of bondage, but in fact it provides freedom! Knowing exactly where your money is freeing. No longer will you look at your bank account and say, "Where did all of our money go!?" You won't worry as much about spending money, because you already planned on spending it.
If you want ANY help with a budget or saving, please let me know! I understand it's a difficult process, but don't let that get in your way of doing something that will benefit you in the short and long term!
- Brian
Well, we are determined to change that pattern. I actually enjoy doing our budget, but I'm not organized with it. However, this time I decided to put it all on an excel spreadsheet. Instead of waiting until the day before to do the budget, I started it about 2 weeks out. This allowed us to discuss it and think of things to add and subtract so that we can actually keep on track! Since our paychecks are different every month, I'm also tracking what we make a little closer. This may sound like common sense to you, but it's actually quite difficult to be disciplined in this area. I don't think we are alone either.
We also started a few different "Funds" so that we can save up for things later one. We have a "New Car Fund", "Baby Fund", "House Fund", and are going to start a "Vacation Fund" as well. The reason we are doing this is so that we can prepare ourselves for large expenses later on. Buying a car, having a baby, and putting a down payment on a house are all things that WILL happen in the future, so it seems stupid of us to not prepare for that. Now, we don't make a lot of money right now, so the deposits into these funds are very small, but you have to start somewhere! Being a mortgage loan officer, I get to see the benefit of actually saving up for a down payment and how much money people save on their monthly payment by doing that!
One more thing we did was start a "Yearly Budget" for 2014. The main reason we did this is so that we won't have to go back every month and do a new budget. This way, the whole year is mapped out. Sure, things will change and we will have to adjust, but that's a LOT easier to handle when you have things planned. This gives a huge piece of mind to us. We realized you don't need to make a lot of money every year to pay bills. In fact, I'm underestimating pretty heavily what our income is actually going to be. Since I'm commission based it makes more sense for us to budget based on a smaller income and if we make more, great!
I have to say, if you aren't doing a budget, you need to start right away. The bottom line is that the money we have is God's. If we aren't budgeting and using our money in a wise way, it shows how ungrateful we are. God wants us to be able to enjoy His gifts, not stress about them. No matter what the income is, we have to be conscious and aware of where our money is going. Some people view a budget as a type of bondage, but in fact it provides freedom! Knowing exactly where your money is freeing. No longer will you look at your bank account and say, "Where did all of our money go!?" You won't worry as much about spending money, because you already planned on spending it.
If you want ANY help with a budget or saving, please let me know! I understand it's a difficult process, but don't let that get in your way of doing something that will benefit you in the short and long term!
- Brian
Tuesday, November 12, 2013
Key to Happiness
2 posts, in 2 days! This must be some kind of record!
I have always enjoyed writing. I tend to get inside of my own head a little bit too often and I love how writing allows me to flush all of that out. I truly believe that people who read books and put their thoughts down on paper (or on computer) are more likely to achieve great things. Why do I believe this? Well, it just makes sense to me. Think about it, how many REALLY successful people never read? I'm not defining "success" as "makes a ton of money" but as impacting the world. Every person I know who impacts the world for the Kingdom of Christ not only reads, but also puts their thoughts down. If that's the case, why doesn't everybody do it?
Well, that is a question I have asked myself recently. I think we can all agree that it is a great idea to do these things everyday: exercise, eat healthy, read Scripture, pray, read a "spiritual" book, and serve others. I would venture to say, if there is a person who does those 6 things EVERY day, they would not only be impacting the world, but also be filled with a crazy amount of joy. So, why don't I do those things? Why is it SO hard to "find" the time to read Scripture and pray to my Savior? I think a lot of it has to do with the fact that I don't really believe they are that valuable. If I REALLY believed they were the keys to joy I would do them. Right?
I'm also going to guess you don't do those things either. In fact, there are many other things we should do on a daily basis that we never, ever do. There are things we know we should do, but don't ever get around to doing. In my humble opinion, we get so unbelievably distracted with quick pleasures that we fill our whole day with those things. Don't believe me? Well, CS Lewis was a pretty smart guy and he had this to say:
I have always enjoyed writing. I tend to get inside of my own head a little bit too often and I love how writing allows me to flush all of that out. I truly believe that people who read books and put their thoughts down on paper (or on computer) are more likely to achieve great things. Why do I believe this? Well, it just makes sense to me. Think about it, how many REALLY successful people never read? I'm not defining "success" as "makes a ton of money" but as impacting the world. Every person I know who impacts the world for the Kingdom of Christ not only reads, but also puts their thoughts down. If that's the case, why doesn't everybody do it?
Well, that is a question I have asked myself recently. I think we can all agree that it is a great idea to do these things everyday: exercise, eat healthy, read Scripture, pray, read a "spiritual" book, and serve others. I would venture to say, if there is a person who does those 6 things EVERY day, they would not only be impacting the world, but also be filled with a crazy amount of joy. So, why don't I do those things? Why is it SO hard to "find" the time to read Scripture and pray to my Savior? I think a lot of it has to do with the fact that I don't really believe they are that valuable. If I REALLY believed they were the keys to joy I would do them. Right?
I'm also going to guess you don't do those things either. In fact, there are many other things we should do on a daily basis that we never, ever do. There are things we know we should do, but don't ever get around to doing. In my humble opinion, we get so unbelievably distracted with quick pleasures that we fill our whole day with those things. Don't believe me? Well, CS Lewis was a pretty smart guy and he had this to say:
“It would seem that Our Lord finds our desires not too strong, but too weak. We are half-hearted creatures, fooling about with drink and sex and ambition when infinite joy is offered us, like an ignorant child who wants to go on making mud pies in a slum because he cannot imagine what is meant by the offer of a holiday at the sea. We are far too easily pleased.”
So, what do we do about that? How do we turn the corner from doing what we "feel" like doing to doing what we KNOW we should do? I think the first step is to actually admit that we live our lives based on our feelings and emotions. Take budgeting and paying off debt for example. Stephanie and I both have acknowledged that making and sticking to a budget is a great thing, but yet we still find it difficult. The reason for that we sometimes let our emotions and feelings dictate our actions even though they directly contradict what we know is the right thing. It usually sounds like, "We have worked so hard, we deserve a break from the budget!" Well, that usually turns into spending money we didn't plan on which causes unneeded stress.
Also, I think a lot of comes down to recognizing that we desire things other than Christ. Think about if the ONLY thing you desired was a relationship with Him. Don't you think that would make doing things you don't "feel" like easier? I think so. I think that would cause you to not follow your emotions as much because your joy comes from knowing Christ and not from some temporal thing, like buying something you don't need or eating something that is bad for you.
All that to say, I think the first step on the road to joy is realizing that Christ is truly the only source of actual joy. Happiness is the emotion behind joy, so if you have tons of joy, you will probably have tons of happiness.
- Brian
Monday, November 11, 2013
Changes!
Since the last time we posted anything, a LOT has changed.
We moved (again), both got new jobs, and are even attending a new church! God
has been so very good to us in our first 17 months of marriage. It’s really
easy to look ahead and think about how great life will be when this happens or
when that happens. Every now and then I forget how truly blessed we are. Not
just by things that God has given us, but by the love He is so constant with.
For starters, I FINALLY became a licensed mortgage loan
officer at Stewardship Mortgage! This has been a long time in the making. I originally
started working at Stewardship in July of 2012 (the day after our honeymoon!)
with the hopes of becoming a loan officer. Well, after taking and retaking
tests, studying for hours on end, I was able to get my license! This is beyond exciting
as I now feel like I am in a career. The company and people I work with are
huge blessings to us. I have the opportunity to help people EVERY day with the
biggest financial decision they will ever make, it’s pretty amazing!
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| That is one good looking group! |
Stephanie is now at Startbucks and is loving it! Having jobs we enjoy has definitely helped us in our marriage and the joy we have. A lot of times people just work a job they hate without ever thinking there is something better out there. That’s a miserable life! Find something you enjoy! Not only is she at Starbucks, but her and her mom also started a little business called “Thread to Sew”. They make headbands, bow-ties, and other “crafty” things. In fact, you can find her headbands at a few stores around town!
All that to say, our goal of paying off our debt has slowed
down considerably. My job is now 100% commission and I have NO idea if I’m
going to be getting a paycheck each month. It’s quite scary, to be honest, but
at the same time it is putting our faith in Christ to the test. Do we REALLY
believe he will provide for us? If so, what does “provide our needs” actually
mean? The Bible tells us that God will provide, but his provision is often not
what we think it is and that can cause some worry! We are putting off paying
debt for now as we don’t know what our income will look like month-to-month.
Hopefully within the next year our income will be more stable so we can tackle
that stupid debt!
We understand that building a life and family takes time and
it’s not easy. For us, it’s knowing that the time we have on earth is short, so
why fret? There is an inheritance waiting for us in Heaven! We want to enjoy
Christ while we can and take joy in every blessing He gives us.
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| Every marriage should start with shoving cake into the bride's face! |
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