[BayMoWe335]

Who here owns both their house and cars, free and clear? Do you have CC debt, student loans, or other debt?

What's it like living with no payments?

[bimmette]

Me. No debt feels awesome and gives one some freedom in life.
(Due to hard work, smart decisions and spending responsibly.)

[pmeloche]

No debt also. Feels good to not know how to spend my money.

[M_Six]

Close. Got about 5 years left on the house. No other debt. Got a ton going into retirement accounts. Still plenty comfy, though.

[Mr Tonka]

Pretty much anyone under 21 on this forum owns their own M3 free and clear and a huge house in Malibu. All paid for because they're a laptop CEO. haha

At least that's how it used to be on this forum.

Not me. I don't own shit except for a bunch of notes payable. Well, we do have a rental and 2 cars that are clear. And it is nice to have other people paying for the other debt.

Still owe a crap ton on my personal residence though. However, we just built it in 2009. The only debt we have is in real-estate and the only real-estate we pay 100% of is our personal house. While i don't know what it's like to have no payments, it's nice to not have any CC debt. I learned my lesson when i was 19 with CC debt. Built up what i though was an insurmountable amount of debt ($1500) and my dad paid it off and i had to pay him back. Last time i used a revolving credit card.

[kscarrol]

Free and clear here...

[Alpine435i]

Why would anyone want to own anything "free and clear" when money is cheaper than it will ever be again in our lives?

[P1]

Originally Posted by Alpine435i

Why would anyone want to own anything "free and clear" when money is cheaper than it will ever be again in our lives?

When you have the ability to pay cash for houses and cars and have money left to invest, it makes perfect sense. I personally would not have it any other way. Zero stress.

[Alpine435i]

Originally Posted by P1et

When you have the ability to pay cash for houses and cars and have money left to invest, it makes perfect sense. I personally would not have it any other way. Zero stress.

Anyone with the ability to pay cash for any house worth living in ($1m+) is wise enough not to pay cash for it.

And cars shouldn't even be in this convo.

[Nkc]

Originally Posted by Alpine435i

Anyone with the ability to pay cash for any house worth living in ($1m+) is wise enough not to pay cash for it.

And cars shouldn't even be in this convo.

Dumb as box of rocks here.

[Vic311]

2 cars, condo, free and clear. No debt, totally liquid.

[dreamingat30fps]

Originally Posted by Alpine435i

Anyone with the ability to pay cash for any house worth living in ($1m+) is wise enough not to pay cash for it.

And cars shouldn't even be in this convo.

You could of simply stated, no, I'm in debt up to my eyeballs.

It's a given that it's awesome super savvy billionaire playboy debt.

[jlstyle]

Nearly half a million debt in a mortgage and auto loan.
But I'm so happy that I don't have to think about making down payments anymore!

[zx10guy]

Originally Posted by Nkc

Dumb as box of rocks here.

I whole heartedly disagree with you here. Alpine is actually smarter than you give him credit.

Originally Posted by Alpine435i

Anyone with the ability to pay cash for any house worth living in ($1m+) is wise enough not to pay cash for it.

And cars shouldn't even be in this convo.

I totally agree with you. With mortgage rates being so low, I decided to keep my 30 years fixed rate mortgage (3.75%) going and not worry about paying it off. When you dunk money into something like real estate, it does turn into an asset but good luck trying to get your money out of it without having to spend money to do so. Also, turning a real estate asset into liquid cash isn't instantaneous. Unless you're in a really hot market, it's going to take weeks if not months to convert that house over to cash.

In contrast, I've decided to dunk the money I would have put into paying down my house into investments which last year resulted in a 24% return.

In addition, I have even less incentive to pay off my beach house property where I have a 30 years fixed at 3.25%.

But to get a little back on topic, I have no credit card debt; pay off all my credit cards in full each month. I own both of my motorcycles free and clear. My daily beater is paid off but unfortunately, I may not have it any more due to hitting a deer recently. The only debt I have is my wife's 2013 RDX and my 2013 135i. I put over half of the total price of the car as a down payment on the RDX and the wife is making the monthly payments at 1.49% for 5 years. I put almost half of the total price of my 135i as down payment with the same financing as the RDX at 1.49% for 5 years. I intend on paying off the BMW in a year or two. Even though the interest rate is low, having payments on a car just annoys me.

It was nice to have no payments other than my mortgages for a few years.

[Billup]

I own my motorcycle, car has maybe a year or two left. Since I currently rent, I don't have any other overhead, other than two CC's which I use just to keep trying to build my credit score.

#thesimplelife

[PSUSMU]

My BMW is a 5 year finance @ 1.9% with 5 months remaining. I could have paid it off over a year ago, but what's the point when interest is like $0.20/day? It will be very nice to not have a car payment though.
My townhouse is 30yr fixed @ 3.75%. I'm in no rush to pay it off faster, but again, it would be very nice to not have a mortgage payment. My roommate cover over half of it anyway.

[jasonX]

Have no debt (paid off graduate school, both cars, and no CC debt) but am looking forward to getting a mortgage. Working my way to save up 20% so I don't pay any PMI but housing in NJ is pretty damn expensive.

[MidwestGolfBum]

Own all of my cars and one bike free and clear but have a mortgage payment on my primary residence so that I was able to build my cottage. Second home is free and clear as well. No CC debt; did what Tonka did and learned my lesson young with that.

I also have debt for my apartment complexes, but that's seen more of a business expense as we are continually buying and building more properties as that nets me money in the long run.

[Nkc]

Originally Posted by zx10guy

I whole heartedly disagree with you here. Alpine is actually smarter than you give him credit.

I was referring to myself but cool story bro. Thanks for the lecture.

[KingOfJericho]

Originally Posted by jasonX

Have no debt (paid off graduate school, both cars, and no CC debt) but am looking forward to getting a mortgage. Working my way to save up 20% so I don't pay any PMI but housing in NJ is pretty damn expensive.

FYI, there are programs available that allow for 10% down and no MI.

[jasonX]

Originally Posted by KingOfJericho

FYI, there are programs available that allow for 10% down and no MI.

Admittedly I know little when it comes to the Real Estate market. Could you post or even PM me information about such a program. My Fico scores are in the high 700s and I do have about 10% saved with absolutely 0 debt.

[wakeboarder109]

Like many others have said my wife and I have a low 30 year note on our house which we picked up as a foreclosure. We have no CC debt and one car payment which my job covers. Its a great feeling to have low overhead.

Its very nice to have newer and nicer things but since we're both in our mid 20s we are trying to save as much as we can for down the road. At the same time its very hard to find the balance between having fun today and saving for 30 years down the road.