30 years of debt

Boomerang girl here! Happy Sunday, peeps. I hope you had productive/relaxing/fulfilling weekends. The hubs and I just returned from a bomb trip to the Dominican Republic, where we soaked up some rays and consumed some cocktails. The details on how we finagled that trip while paying off loans will be another post.


Today, let’s chat about the lovely thing that is a mortgage! Specifically, why we have one when we’re a young couple that started out with $60k + of non-mortgage debt.


Boomerang Guy went to a private university 30 minutes from his parents. Two years in, his younger sister decided to go there as well. His parents did some research on university housing and the local rental market, and realized it could be more cost effective if they had a house for both kids and then rented out other rooms. So, in summer of 2006, they purchased a 3 bedroom, 2 bath house about 2 miles from the campus. While it was pretty outdated and had horrible wallpaper, it was a great college house with potential to be fixed up into something cute. BGuy, his sister, and two other friends moved in.


Fast forward to spring 2011, when we’re about to get married. BGuy and his dad have done some SERIOUS work on the house – redoing bathrooms, finishing the basement, adding master suite. The house has since dropped in value by 20%, thanks to the ole Bubble bursting. The inlaws are well underwater on the house, and we are not sure what our housing plans are. Long story short, we decide to refinance the house and take over the mortgage. At this point, sister and another friend are living in the house, and we agree that they’ll stay and start paying us the rent that had previously been going to the in laws.


So, that’s how we ended up three years into our marriage and our thirty year mortgage. I’ll save details on the roommate situation, my thoughts on owning a home while being in student debt, and homeownership in general for future posts. Did you ever have student loans and a mortgage? Credit card debt and a mortgage? Thoughts either way?