In Real Estate, there are so many avenues and paths of learning/risking and not just about Real Estate itself but all that is connected to it especially the people factor. Getting upfront, close and personal with your like kind and thinkers when they are handling large transactions with big sums at stake is intimate in its nature. One of those intimacies is buying a home
That is a big accomplishment in itself. You are going to always need shelter and have to pay for it assuming you don't live out in the wild in a lien too or tree house. That being the case, consider what I am about to tell you because you don't hear about it often but you should.
PAYING THE HOME OFF
Once purchased via leveraging, the usual approach to this is to now establish a quality of life and a routine based on being a homeowner and while going about your daily life and all it has to offer, adding to your likes and subtracting from your dislikes, you end up in what they call or refer to as follows..
A COMFORT ZONE
Here is where the famous cliche of "water seeks its own level" can be lived and observed. Each one of us will settle into a life routine called budgeting with no two being a like but very similar and it has short and long term benefits while doing so. Lets approach the crossroad of our mortgage subject
We know typically that one can set-up the borrowing of funds traditionally with money down and a long term 30 year commitment to repay the funds. Whoever came up with 30 years must have based that on the average income and expense of a person in America with a typical job. Who knows?
On average, the mortgage consumes anywhere from a third to a fourth of our income. That's a large bite of anyones paycheck. Whats left is used to make life make some sense and keep us going while we keep going. If we get into too much debt, the joy of living is jeopardized. Why?
Because we focus exclusively on the fact of working to keep ourselves afloat and nothing else. Its a subtle dynamic but a powerful one. If one takes on debt for different reasons, it is hoped for that it makes sense and is and was worthwhile. It owns you and is a crule task-master if not obeyed
Little purchases come and go, the larger ones last a little longer but the house is a lifetime partner that needs and requires time, money and attention. What if we focused on taking that house debt and either reducing significantly or paying it off as soon as possible?
First off, it appears to be a daunting endeavor but only from the thought of it. Remember, when digging a hole or moving a pile of rocks, it starts out slow but through consistency and commitment it moves slowly and surely. Overtime, a hole is dug deep and a pile of rocks is now somewhere else
Sacrifice will have to enter into a persons life if they take this debt reduction idea on. Perhaps the lack of toys, vacation or being minus a quality here or there may kick in, but the gain is at work too. Also at the same time, while reducing the debt loads as your amounts shrink, something interesting happens
At some point, you have more disposable money. As you reduce the debt even more, your income is freed up. In five to ten years time, you will have noticed that what you owe is a long way off from the original debt. That in and of itself is very satisfying. It is encouraging too
BUY & WHY
In America, we are bombarded daily and everywhere we go to spend not save our hard-earned monies. Lets face it. We do need a car, washer/dryer, clothes and all the rest plus the costs of maintaining or replacing. The trick is to stay focused and always have something put away that allows for these things
HAPPY MORTGAGE DAY
But the picture of paying off the house debt goes on. Decades ago, it was so doable & easy to pay off a mortgage that they had deed burning parties just like a birthday party or celebrating a holiday. That's how common it was. As homes became more expensive & the cost of living didn't keep up; debt loomed
WHAT A RELIEF
Lets fast-forward to the end where someone has paid off the home by hook, crook, luck, focus or determination. All I know is it has been done. We are there and it feels great. No longer is a big bite of your income disappearing. You now feel and act lighter in your thinking, doing and being
FREE AT LAST
A whole new way of looking at something is presented. Just the fact that we were never created to bear such a burden or be in debt for a lifetime to anyone or thing is rewarding and self-satisfying beyond words. No longer bound, we become free in the truest sense of the word which begets more freedoms
INVEST IN WELL-BEING TOO
That's what your money should really buy i.e. this type of freedom. It is empowering to the practitioner allowing for the mind and the abilities to be wielded for other more meaningful and productive pursuits. We all know that the material aspects of life only make sense as long as we are alive but the well-being condition out weighs that considerably
DEBT TAKES YOU CAPTIVE
Remember it is not so much how you look as it is how you feel. Having less burden and debt allows one to step lighter and see things differently closer to their natural state and purpose. Debt is a distraction that lurks in the background of it all. When using debt be aware, it is using you too
PAY IT OFF
It pays off in so many ways. Don't listen to anyone telling you otherwise. Just yesterday, I spoke with a young man who was wrestling with this. His friends said to leverage and invest more and go out on a limb. I said don't listen to them and pay off your home. He thanked me profusely (twice)