Hi Money Minder,
I’ve been struggling for years, but finally hit a good stride with my job in my 30s. Looks like we’ll have an extra $2000/month now – awesome, right? But here’s the catch, our roof needs fixing ASAP and it’s gonna cost around $18,000. Should we go into debt for that too? Maybe we could use that money to pay off our high-interest credit card debt instead? And on top of that, we need new siding and windows. Would a home renovation loan be a good idea? I really need some advice because our house definitely needs some love, but I’m also worried about wasting all our hard-earned cash.
Thanks for your help!
Struggling Homeowner
Response from THE MONEY MINDER:
Hello There,
Congratulations on finally hitting a groove with your jobs! It’s a great accomplishment to have an excess of $2000/month. Regarding the roof repair cost of $18,000, it’s understandable that you feel the need to take care of it sooner rather than later. Going into debt for essential home repairs like a new roof is a practical decision, especially if it protects your home and overall investment. In this case, taking out a loan for the roof repair might be a sensible choice.
When it comes to managing your finances, prioritizing higher interest credit card debt is crucial. By paying off this debt first, you can save money in the long run. As for the siding, windows, and potential home renovation loan, it’s essential to weigh the costs and benefits. Prioritize based on urgency and potential return on investment.
It’s essential to strike a balance between addressing home repairs and maintaining financial stability. Consider creating a detailed budget, exploring different loan options, and seeking advice from financial professionals to make informed decisions. Remember that taking steps to improve your home can also increase its value over time.
In conclusion, taking on debt for necessary home repairs while also focusing on paying off higher interest credit card debt can help you achieve a more stable financial position in the long term. Stay focused on your financial goals and seek guidance when needed. Best of luck with your home repairs and financial journey!
Farewell from THE MONEY MINDER.
