Johnsons, Wendy, Smiths discussed on WREC Programming

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It is not there are many deals where you can get in with zero down are three and a half down or three percent down. So talk to me at love to talk to you about that. But the Smiths they were very clever they made money each month because their son actually rented out two of the rooms in that house to other students in the rent that those other two students were paying more than paid the mortgage payment so kudos to the Smiths for really making a winning play on buying that property down there instead of renting they made money each month, and Tom they built equity and their son built his credit at the same time to who do you know that could use this smart strategy for their college student. Let's talk. So, you know, and we're talking about colleges a lot. It reminds me of yet another client. I know I'm telling these stories, I'm not using the real names or anything, but we're gonna call this couple, Mr. and MRs. Johnson. Now, they managed to get their kids through college their kids already gotten through college. But it took all of their savings. And now, they were just drowning in debt the this kept compound in, you know, if you don't only credit cards, if you don't pay the balance off these balances are like a snowball, they just keep snowballing, and before you know, it you're paying double digit interest on double digit growing tests. You know, that's where the Johnsons were. But just recently they were blessed with their first grandchild. What was the problem here? Well, the Johnsons wanted to spend time and money on their grandchild. And they knew their grandchild and five or six years was gonna want to go to DisneyWorld and make some memories and they wanted to go with with them, but they were strapped with debt with no end in sight. They came into my office with a plan to gradually pay off the big bills. I but on that plan their grandchild would be grown by the time the dead released its chokehold on them. Here's what the Johnsons wanted first. They wanted to get their mortgage paid often less than fifteen years since that's all that was left on their mortgage second they wanted to get rid of the big balanced student loans. I they had done for their children. Like, some of these football coaches strategies, the Johnsons ended up doing the opposite of what they originally thought. But they scored big instead of trying to pay off the big student loans. I we got rid of we got rid of nineteen hundred dollars in monthly payments that were choking the Johnsons cashflow, we paid off about sixty six thousand of those debts, plus the existing mortgage they had for about one hundred and twenty-five by refinancing their home and pulling that cash out, but we had to extend the mortgage back to thirty years. Instead of fifteen said that the Johnsons could afford the payment now at first it looked like they were having to give up ground because they went back to a thirty year loan. But here's where. The brilliance of their playing really became real they committed to use half of the nineteen hundred dollars per month toward regular that. They had saved. This is savings per month, by the way. They used half of that to start making prepayments two principal on their new mortgage. And we set that up on a little amortization schedule. So it was easy and at their request. I did that Amer does Asian schedule. But guess what they were still getting their mortgage paid off in less than fifteen years even those at thirty year loan because by getting rid of sixty six thousand dollars worth of compounding double digit other debt by doing that cash-out refinance they took half of the nineteen hundred. And when they started prepaying that amount every month on that thirty year loan it turned out that there were gonna pay their mortgage off still in less than fifteen years. That is fantastic. Hey for the Johnsons. I mean, they freed three up their stranglehold and now they were already thinking about that DisneyWorld trip a few years from now with their grandchild. That's fantastic. It really is. Well, you know, Tom, I'm sitting here. And I've just have so many customers that are heroes in my mind, and in they have really they really come to the table knowing what they want, and we just helped them brainstorm look at numbers and programs and possibilities. They're really the ones who are the ones he step out there and do it. I mean there that he wrote, but they come to you with a problem, and you try to solve it. I've got another one. I just got to share this one is about Wendy waiver. Now, I know this lady personally, it's not a real name. Let me introduce you to her. She's a single mom recently, divorced and still in college trying to earn her counseling degree. She was trying to get a degree as a counselor. She really needed to get her degree in counseling in order to do what she loved to do. But also so that she could make enough money to support her to elementary school aged children, but the child support from the father was not enough to make this possible. You know, there's a saying necessity is the mother of invention, well, which certainly held true for Wendy waiver. She went on to search her area where she was living for a cheaper apartment. She couldn't buy right now because she didn't she wasn't in a position to buy. But she found a a large seven room apartment in an apartment house that needed some plumbing repairs and major cleanup major cleanup, even to get it habitable Wendy made a deal with the landlord. She had a friend of hers come over and fix the plumbing. And she said, look, I'll clean all polish all paint the apartment in exchange for a three year lease at half the market rent. Well, the landlord agreed immediately. And Wendy moved in. And that three years was the time. She had left on her college to graduate, the landlord. Agreed Wendy moved in rented two of the extra rooms in that apartment to university students and that helped her afford to stay in school. Get her degree. She eventually all she eventually bought her own home after she graduated and got settled she bought her own home in an area where she could raise chickens and have eggs to trade and sell on this. This lady was an inspiration because she thought outside the box she made it. So that everywhere she ever lived. She was ever whatever live. Her house would help pay her house would help pay for her mortgage payment way to go, Wendy, we fantastic. Well, we're getting ready to go to break. If you've got a story you want to share? We would love to hear it and what numbered..

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