My primary goal is still to semi-retire as early as possible. My situation keeps changing but at the moment, I think the fastest way to do this is to rent out my house so that I have 2 rental properties which will together bring in $1,200 a month after expenses. So, I need to make a snake-proof living space out on my property and track down a reliable water delivery service. I have $15,000 in savings. Some of that is for property maintenance and emergencies. Some I can use to fix up the property. I found a tow truck driver who will tow my old cars to my house in town for $100 a piece. It will be easier to sell them if people don't have to meet me at a remote location and they don't have to tow them down a scary dirt road. The quote for tearing down and hauling away my old garage is $2,500. That's $1,000 cheaper than I expected. I can get a 10'x20' shed built for $6,000 on the old garage slab and turn it in to a tiny house. A block wall built on the perimeter of the garage slab will give my dogs a snake-proof yard. I'll get started on clearing out the garage when the weather get cooler.
In order keep my rental proceeds, I will have to pay off my house. I owe $70,000. I've been playing with my mortgage payoff spreadsheet today. If you have been reading my blog for long, you know I love my mortgage payoff spreadsheet. I got the spread sheet from here: Get Rich Slowly's Amortization Calculator It helps me stay focused and is a great motivator. It worked really well for paying off my first mortgage. If I pay an extra $1,000 a month on my mortgage, I can pay it off in 4 years and 10 months. I really want to have it paid in 4 years or earlier. If I pay $1,200 extra per month, I can have it paid off in 4 years and 2 months. I think I should aim for that. My regular budgeted amount per month for my expenses is $1,500 which includes my normal mortgage payment. I will have $200 extra per month for savings or for spending. There's always something to buy like birthday presents or, um...kitchen cabinets for my house. The master bath needs a new cabinet too, and paint and... but I can do that a little bit at a time. My business doesn't need much investment right now. I just need to sell stuff so that I can buy more stuff to sell.
I think it is a good plan. 4 more years of office work doesn't sound that great and I don't know if I can actually stick with it for that long but it sounds much better than waiting 24 more years when I will be 65. This plan assumes I will live in this house for 4 more years so if I am able to move out and find a good renter then I will have more money to use for my payoff plan. And who knows, maybe my business will start bringing in a profit and then I can really speed up my plan.
4 minutes ago