I'm Stuck With Two Mortgages!

[@andicantu6490]

If you have to borrow from your grandmother, that’s a good sign you can’t afford it.

[@aliciaohara8794]

RIGHT? That could be a common sense motto.

[@xyzsame4081]

I disagree. If they have DIY skills (or are good in handling the contractors) and are willing to sacrifice they could pull it off. Living on the new property w/o heating (a yurt or whatever). They both work their butts off to get an emergency fund. and as soon as they sell their former home they can pay back grandma. They have a cashflow problem. And maybe not the skills, endurance and savvy to do a renovation. But if their estimate is correct (and they are not looking through rosy colored glasses) they could get a dream location AND built equity. A dream location in CO and eventually a well fixed home ... that is going to hold the value !

[@tw1876]

Isn’t that the whole thing to Financial peace cash flowing everything

[@MillieonaVespa]

If she really insisted on keeping the doer upper ....she needs to move into it as is and rent her first home until the market picks up ..

[@thomasreedy4751]

@@MillieonaVespa She has no walls in her second house, and it’s cold in Colorado. I am not sure how she can live in it.

[@markg999]

If you think a house will cost 30k to rehab it better have 60k just in case.

[@SynterraSteen]

Factual

[@cramos8782]

Yup! Have a remodeling/construction business and always ends up being more than the original estimated cost.

[@youngtimer964]

@@cramos8782 yes, and takes about twice as long

[@Indianahillclimber]

Another option if it's allowed in your area. Sell you current residence, by a used RV for less than 5,000 grand. Park it on the 13 acres while you rehab the fixer upper. Make new memories of fixing it up and living in the RV and enjoy your rehabbed house on 13 acres and tell your grandkids all about it. Take lots of pictures of your adventure and then sell the RV.

[@FariborzSoroush]

Liked this idea better than Dave’s

[@rustybell2722]

Great idea. Themechanicj suggested this too. I replied to him, not going to type the reply 2x. But Yes! you got the right idea.

[@ladweeb1798]

👍🏽

[@xyzsame4081]

The fact they they did not figure that out already (there are also ways around the RV ban) - is a sign that they are rookies, do not plan and do not have the practical skills and nerves. They have deluded themselves (likely watched too many renovation shows on TV) and are simply not able to handle that project. - there are persons who could do the RV / container living style. And do the rehab while already living on site. But if at least one of them had any realistic idea about home renovations of that scale, they would not be so surprised / overwhelmed now. That they have been caught in a trap (they feel like that) is a sure sign that the project is out of their league. They need to find a buyer - another rookie wannabe home renovator - or someone who has a realistic idea what this is about and can handle the DIY / contractors / financial part. If you are fairly experienced in DIY and have practical skills (ideally working in construction) you are also much more likely to discern between the good and the nightmare contractors. THAT is immensly important if you do a renovtion to the core. Sloppy incompetent construction workers can create a nightmare. If they do not get it right, they can cause you a lot of damage down the line. (insulation, mold, water leakages, electric problems). I would ask around if people I know can recommend trustworthy companies, but they are going to have higher rates, it does cost. Rookies like that couple will be at the mercy of contractors. And you bet they would go for the cheap offers. And if they would NOT be rookies they would have paid an expert (and very well) to do a deep dive and to advise them BEFORE buying. The expert would of course have told them that 30k is nothing when it comes to such a project. they were stretched thin for cash (so borrowing from grandma) - they were leaning themselves out of the window with that project. With their construction / DIY expertise AND with money. You can compensate for lack of expertise with paying good money, and with a careful choice of the contractors. And if you are really good in the practical skills you can compensate for lack of money (but people like that already have plan B and C, how they will live on site while renovating the home. - The rookies fled back to the functioning home instead of executing plan B or immediately coming up with one). There is no shame in not being practical / skilled enough to handle such a project, but you have to be realistic about your limitations. People that have what it takes, would already have the yurt, RV, containers on their property. (it would be enough if ONE of the partners is up to the challenge, often it is the husband, but ONE of them needs to be competent with the construction stuff). People that _could_ handle that project would have expected that it could come to this, and they would have their plans readly to fix the house maybe with a wood stove to be able to live in a part of the house w/o getting it all moldy. While sleeping and cooking in an RV, yurte ..... People that have a chance to make it work would be already gearing up to do the kinda off-the-grid / pioneer lite lifestyle. Sleeping, washing, living for the most part not in the home, because they invariablywould get mold into it. The house could be storage and they could do the laundry in it, if they have a dryer. At the max fixing one room for living and one as bath and heating and AIRING that VERY well so that they can take showers and have a living area to hang out. Plus using the toilet. That they cut corners on getting expert advice before buying (or were not able to FIND a trustworthy advisor) shows that they are out of their depth.

[@gatewaysolo104]

If it's 13 acres it's probably pretty rural. Doubt there would be restrictions

[@Matt90541]

Lady: "Please don't yell at me." Dave: "The house sucks, this whole story sucks!" 😆

[@00Noontide]

🤣

[@Musicienne-DAB1995]

😂😂

[@MrApontjos]

Too much HGTV...

[@Jester556]

Hahaha. Very true.

[@blackworldtraveler3711]

People have been driving realtors crazy since that show aired. Also caused many to get in over their head financially with their his and hers toilets,double sinks,and granite countertops saying “I can see myself blah bla blah”... Then the housing crash happened. Must admit the show was interesting to watch though.

[@actuallyterry]

When I saw the title that's exactly what I thought.

[@kbanghart]

@@blackworldtraveler3711 ohhhh now I'm curious, what was it about and why are people calling realtors? Lol

[@dannyhantx]

Right after the call, she proceeded to take out another mortgage for a 3rd house on 20 acres of land.

[@nick000002]

Buy a small house and live big

[@dvelop4975]

100%

[@blackworldtraveler3711]

Many broke people think bigger is better with homes. So much wasted space to heat and cool. One of those many things financially stupid people do that slowly eats away wealth.and delay retirement.

[@adamwest5625]

When I think of a bigger house, l just think of the amount of cleaning and maintenance required. No thanks.

[@DannyBrooks1]

Well said! Words to live by.

[@sophiemcdaid542]

i agree! small all the way!

[@bk_deltor9155]

took it down to the studs she says, this isn't a renovation this is a teardown rebuild. she went all in and sounds like she is on the verge of tears if she wasn't already.

[@rudysalas9138]

No one is stuck with any mortgage. Sell the houses, problem solved.

[@bettysmith4527]

right now yes, but that is only because the market is good. If the market is bad and you are upside down then yes, you can be stuck in a mortgage!

[@leadnsteel1428]

Easier said then done... it takes a long time to sell and with the way the economy is not too many people will be running to by houses. I'm in Toronto area and houses go for 1 million, I had to move I couldn't afford them

[@arondag]

leadnsteel In the US, most areas are doing well right now. Houses staying on the market for a short period of time, multiple offers, going over asking price.

[@sami-9233]

@@bettysmith4527 they are not in the position to even consider "market good/bad" sell sell sell!

[@burritobrosvideos8060]

@@bettysmith4527 sell them anyway lol

[@Ryan_DeWitt]

You can tell she was upset that Dave gave her advice that she didn't want to hear.

[@IamtheGL]

@@saulgoodman2018 blocked

[@justinacase2623]

Bingo, he ain't broke, and people who follow him usually aren't either! And your issue is?

[@Ryan_DeWitt]

@@saulgoodman2018 Cult leader? Not everyone who follows Dave agrees 100% of the time with 100% of his advice. However most do simply because they believe in a majority of what he says when it comes to finances and real estate. Perhaps if you think it is stupid advice, clarify more and say why you think he is wrong and what you would recommend instead.

[@Jester556]

@@justinacase2623 most people that follow him are broke because they are getting out of debt.🤡

[@Jester556]

Dave Ramsey is for people who possess no willpower. just like religion.

[@gabe5892]

I love how dave ramsey is blunt with these ppl he tells it like it is 😂😂

[@00Noontide]

That's why we love him. It's the truth we all need to hear.

[@miketheyunggod2534]

Which is not reality.

[@Pandorash8]

The trick to property happiness isn’t finding what you want, but finding what you NEED.

[@Homeinspectorsny]

Budget 50 or 60 no way not when its down to the studs. People get googlee eyes when looking at fixers. They see HGTV and 📌 and magazines and think its simple.

[@JogBird]

why cant ppl just be happy with what they have

[@labornurse]

Find a relationship with God first.

[@NaNa-lt1po]

Because they are watching on KZbin and TV, that flipping house gets them hundreds of thousands, just like that...

[@topcomment3816]

Why can’t you be happy with not commenting?

[@staceystrukel1917]

@ ok, because people weren't like this BEFORE social media.

[@gamerji-li4755]

Because comparison is the thief of joy, but we as humans can't help but compare ourselves to others and want to improve our situations. A lot of people have been able to successfully do things like flip houses, so caller sounded like she was hoping they would succeed too but it was a risky move that could fail and this is what people may not always account for when taking these risks just cause it worked well for someone else.

[@jphickory522]

Don’t agree with Dave’s advice. They may very well love this place on 13 acres once the rehab is complete. Saying they will never like that place is nonsense talk. I had similar experience .... bought an existing old house on acreage while I owned another house. It was a tough two years of paying two mortgages until I got the old house ready to move in. Never had a single regret.... lived there for 15 years and then sold it for 4x what I had invested in it. Each situation is unique and you have to look at the details. Rash statements like “you’ll never like that house” or it’s a “money pit” are not helpful and add no value for the person seeking advice.

[@bunnie1294]

Exactly. They are just having a hard time with it because they can't get the equity out of the first property. There's no reason to assume they won't love the second property after it's done. And it sounds like the remodel on the 2nd property is worth it given how much the property will be worth after the remodel.

[@xyzsame4081]

She did not have the numbers down (seemed a little wobbly about them, and also DR had to ask her, she did not volunteer them like a WELL PREPARED person would do, to lay out the case. In other words they are confused. overwhelmed, have a cashflow problem and are surprised that there are unexpected high costs = bad planning and deluding themselves because they like the location = inexperienced rookie wannabe home renovators. I think DR sniffed that out immediately so for _them_ the advice is sound. if a couple bites off more than they can chew, they might survive financially. But the marriage and the children are not going to thrive. At the end of this the children might be out of control and they set themselves up for a divorce. No dream location is worth that. Live modestly, work fewer hours and do a lot of outdoor activities. Improve your DIY skills - that might help with a later, less ambitious project. They have deluded themselves to the point where they _assumed_ investing 30k would be enough for a rehab, enought that they can move in. and who knows if her estimate about the value of the property is realistic. (I also assume they did not invest the money to get a good and trustworthy expert and pay him or her good money to give them a honest assessment. Because that person would have told them, that 30k could be only the beginning. and they do not have more than the 30k, because they had to lean themselves out of the window to do that (incl. borrowing from grandma. Of course they could already have sold the old house (does the job of both allow them that ? is it close enough) and prepared to do the off the grid lifestyle. Well prepared people that are likely up to the task would do that. Rookies move back to the house and can't figure out they have to sell the former home asap to free up the funds for the renovation. it is O.K. if you do not have the practical skills or the willingness to suffer for a few years to do your dream (nightmare) renovation. Not everyone must kill it with DIY. But then they better be realistic about their abilites and what projects they can take on. They sound inexperienced and a victim of blogs and home renovations TV shows. A person working in construction could take on such a project. +JP Hickory likely has experience with DIY and a good way to deal with consturction companies (if you have enough expertise you can control them and also find the good contractors. you do not need to be quite as professional as them, but good enough to find the bullshitters). It helps if you can do a lot yourself. and if you can resign yourself to a "pioneer" living style for a few months. They did not have enough "unwelcome surprises" funds - in other words they are clueless regarding renovations. so the house and rehab likely overwhelms them. First I disagreed with the advice of DR. But I think he sniffed it out immediately that THEY are not able to handle such a project. If they could they would have prepared better and not be surprised that after spending 30k they cannot live in it (if you cannot heat it and live in it you will get mold). They may have smaller kids, so the not heating part is a problem (yes they lived like that back in the day. But nowadays CPS is breating down your neck).

[@BigChuck525]

@@xyzsame4081 Wow. It took me longer to read your post than to watch the video.

[@greenearthblueskies8556]

@@BigChuck525 🤣

[@kbanghart]

I'm sure that's why she was pausing and not saying anything, letting it sink in. Which is fine. Decisions like that shouldn't be made in a quick fashion anyway. Think about it, let it sink in a while, look at the numbers.

[@livefreewithcalebd]

Wow two mortgages and one of them isn’t a rental

[@sunset6010]

They were trying to OWN one, FLIP one. Now they will lose BOTH ✔

[@elmagnificodep]

I have two, but I rent one out.

[@blackworldtraveler3711]

@@sunset6010 Many got hammered like this during the Great Recession/housing crash. If you were looking to buy a home and had cash back then you were in a good position to make a killing. And many did including myself.

[@LetsTalkPersonalFinance]

Two mortgages is hectic!! Dave gave them good advice but I doubt they are actually going to do it

[@TeKnoVKNG23]

I wouldn't doubt it, they had savings/emergency fund and have been able to weather it thus far. This situation would have financially demolished most "normal" people. It's clear they've been on the plan and this was just murphy stopping by for a visit, they just need a bit of guidance to get out of it and back on track.

[@00Noontide]

Sell the house, sell the wife, sell the car, rent a $100 bedroom, eat beans and rice, rice and beans.

[@76482]

🤣

[@defaultname7685]

Sell the house, OF the wife, Uber drive the car, Airbnb a 15x15 crawl space, monster energies and zyn, monster energies and zyn

[@brianparrish4649]

People need to feel good about themselves by being recognized by others. The problem is that those feelings dont pay the note.

[@faithhernadez8714]

I love that Dave admits his defeats and comes to a human level to meet his call ins. It humanizes the call and brings comfort and confidence

[@Musicienne-DAB1995]

I don't know him personally, but I do get the impression that his financial mistakes still hurt. Or at least the consequences of those mistakes still hurt. He has said that your emotions catch up with you much later than your intellect. That admission really influenced me. It is fine to feel hurt and still remember your mistakes.

[@ryancampbell9605]

Lady asks him not to yell and dave just roasts her anyway

[@0.o650]

she was annoying and all “woe is me” but she asked for his advice and didn’t like it, smh not sure why she called him, everyone knows Dave doesn’t change his opinion on this

[@littlebritian2822]

Dave won't entertain your stupidity not EVER. And it seems she still hasn't learnt her lesson. You had no business buying that 2nd property considering you didn't have cash to remeovate upfront and had to burrow from your grandma and then ontop cant afford 2 mortgages....I would have brought ONE property with a mother in law, rented the mother inlaw out as its seperate living quarters and saved saved saved and then taken taken money cash to buy a 2nd property/fixer upper etc & i would have gotten atleast 2 quotes to confirm the repair cost & slapped on 20k for unforseen situations and delays... too much linda don't listen and watching HGTV. They HAVE time and resources to handle this YIU dont... common sense is NEVER common smh

[@nleem3361]

Great advice about not holding onto things with bad memories. Nothing ruins a bad day like seeing/touching something that that brings back a bad memory. It's like shockwaves through the system. I just because the dollar value is high, doesn't mean the thing will bring joy. But, the cash from selling it can.

[@umairahmad4711]

Two mortgages and no rental income! Ouch ! 🤣💀

[@kbanghart]

Same thing happened to my dad. It was awful. My sister and brother-in-law too, they had a rental property that turned into a money pit, fortunately I think they got out of it with some equity.

[@tymom9313]

Why not fix up dream house & keep it? Sell first house, and live in a RV on 13 acres until house ready

[@gamerji-li4755]

The more I hear about crazy mortgage stories, the more I think we're going to be buying our first house in cash when we decide to finally get one. Debt free currently and I can't even imagine having a mortgage much less 2 right now!!

[@marneycoleman4987]

She’s gonna do what she wants to do. She didn’t listen to his advice. My opinion...

[@kbanghart]

Actually she just might, she didn't start yelling or anything lol

[@patty109109]

Dave is wrong here. They should actually sell the new one. Now. Selling both and finally buying a third is pointless.

[@burritobrosvideos8060]

Depends how cheap the new one costs. Thats why he asked how much their houses cost

[@TheePrettyGirlSwag]

But my 13 acres I want to be able to tell people I live on....

[@virtuosowins]

Miyagi says - first stand, then run

[@kbanghart]

Remember, it's only stuff. We can't take it with us when we die!

[@TheePrettyGirlSwag]

@@kbanghart I think you missed the sarcasm in my statement.

[@Cbv1914]

She didn’t want to hear it but sometimes that’s the only way to learn. She needed the unbiased opinion and I hope she listens bc he’s so right.

[@ashleyvelasco919]

There should be a drinking game for this show. "Here's the thing" = 1 sip

[@dmitriyr4095]

“Please don’t yell at me” = 2 sip “Rice and beans” = just chug the rest down.

[@tombellamy7167]

If I were drinking listening to this, my liver would revolt against me, lol

[@capitalg4112]

Dave I got the dumb question 🙋🏻‍♂️ of the day. Why is there not a Dave Ramsey, endorsed list or book of mutual funds, for sale? I’m talking about ones that have the long track record, that you speak of...

[@hall0341]

That could open him up to liability

[@capitalg4112]

@@hall0341 IC, thanks, thought maybe it was illegal or something...I’d certainly buy it tho..😀

[@markg999]

Well if you have land get a trailer cheap and live at the new property if you can. Sell the first house Lower the price to 339k to move it. Pay granny off. Finish the new place and I'm not sure if you really love it stay there when done.

[@milkncookie]

If you have two mortgages, you either have a plan or you're doing it wrong. **Watches video** You're doing it wrong.

[@thomasmorrison3279]

I don't understand the big deal. She has an offer for her current house. Sell it, rent a place until the other house is remodeled and move in. That is what many people do. Prior to moving into the fixer upper house, evaluate if it is worth moving into or not. If not, continue to rent and sell it. No biggie. I spent 32k on kitchen only. Down to the studs is probably $125k to remodel or more.

[@person-ie1fe]

Dave: I dont want things that remind me of my stupidity. Dave's wife: *ahem*

[@moneybee]

For all the emotional turmoil, they'll still probably come out with a profit! Certainly a high stress scenario to be in though!

[@JessNova]

I do appreciate that even though deals fell through and emergencies that were not their fault came up, the caller took responsibility and was clear that "we put ourselves in this position." Gives me hope that they will also take responsibility for getting themselves back on track in life. They'll succeed eventually!

[@katieonlyusernameavailable]

She’s not ‘stuck’ she and her husband applied for the loans, persuaded someone to lend the money. They own all these properties. Just sell what you have and rent a condo while you renovate. Or sell the project and stay living where you are.

[@MS-ey3lb]

I feel like she is one of those people that leave comments on how they agree with dave's advice but they feel they can do better by tweaking his plan.

[@makesaveinvest1401]

🤣She starts: "plz don't yell @ me"!! Well we humans we live and learn!!🧐

[@TheTbabylati]

They thought 30,000 would be enough to renovate a whole house? They underestimated everything. Very bad planning. They need to sell everything and get a rental until they learn money management. Edit: I wrote this before Dave response. I agree with him.

[@labornurse]

Wow, this feels and sounds complicated.

[@blackworldtraveler3711]

All about choices.

[@76482]

I think it sounds complicated because grandma is in the mix AND they're over thinking it. Get that good house back on the market and sold to free up some cash, then move into a cheap monthly rental while professional contractors complete electric, heat, plumbing, roof (if needed) on the farmhouse. Then move into the farmhouse and live in one room with a microwave and dorm fridge, finish one room at a time themselves, then work on the exterior. If any money is left it can go toward an early payoff for grandma

[@edwardrhoads7283]

Sells house one to pay off grandma and pay for repairs. So they have fixed up house and 280k debt. Sell at 500k get 450k after. After debt 170k. They could maybe buy an entire house for 170k and have no mortgage.

[@hyrumgomez3969]

How were they off by THAT MUCH? Like +$30k and all they were able to do was get it down to the studs? I mean..it’s a financial problem...but it started by a rehab planning problem. Correct me if I’m wrong?

[@edwardrhoads7283]

Yeah as someone who has lost 60k on a rehab I would have made money on if I had done NOTHING with it I can tell you rehabs are hard because contractors rob you blind.

[@hyrumgomez3969]

Edward Rhoads 😯😖 Oh wow. I guess I’ll just stick to myself fixing up the places as I have been...that OR maybe use family that knows a thing or two about rehabs.

[@TeKnoVKNG23]

Because it isn't quick and easy like they show you on HGTV, lol. When you tear a house down to studs you find out all kinds of issues, mold, the electric isn't to code and the entire house needs to be rewired, all the pipes need to be replaced, etc. It adds up really fast. HGTV and most realtors/contractors would have you believe you take 2 weeks to renovate your house and magically improve your home value by 200k, lol. Reality is that it is often very expensive and you find a ton of problems when you start to renovate.

[@hyrumgomez3969]

Greg McLaughlin For sure. My thing is just that they spent 30k and it’s at the studs? Like 30k down the drain and nothing to show for it? They can’t sell it like that. They’re gonna have to spend more

[@andreagodwin2069]

Hi, im the caller. We we not off by that much. We had 30k to start off until our house sold which would bring the other 60 to do the rest.

[@ChrisMFlorida]

Thanksgiving is going to taste very weird with Grandma wanting her 70k back 😆😆

[@j.l.salayao8055]

Poor grandma...she will not be able to have a turkey on thanks giving day...darn grand kids.

[@KS-cl8br]

@@j.l.salayao8055 If she loaned 75k she probably has 1.5+million or else it was probably stupid to loan it.

[@kbanghart]

Sometimes it's best not to have any source to borrow from family. My wife borrowed from her family, just a little bit, and her grandfather gave her such guilt that she swore never to do it again.

[@jimroscovius]

We made an offer on a house a number of years ago and didn't get it. We were so disappointed. Now, we're so happy we didn't get it. We have a much better place.

[@-Wreckanize-]

Sell both houses, forget the renovations, break even if you can. Rent and start over.

[@araineacutebrownnurse7315]

Amazing how quick a dream can turn into a nightmare

[@elpusegato]

Wait...so they borrowed 70 thousand dollars from grandma...as a down payment...for a dilapidated farm...in Denver...when they already had a perfectly good house which was already halfway paid off... I cant even

[@kbanghart]

They made a mistake. It happens

[@RiverflowwcutzTV]

I appreciate the solution driven wisdom ✅

[@C7SuperFly]

Rookie. Had no reserves for the surprises that come along with renovations. She’s lucky she will profit/break even.

[@SamWesting]

That's if her $450-500K valuation of the house is correct. Sounded like the caller really had to think hard about that. If she overestimated, then she & her family gets taken to the cleaners.

[@C7SuperFly]

@@SamWesting Yes big IF.

[@SpartanHighKing14]

Back in Russia my father has two mortgages, one for each of his wives.

[@alexlewis8143]

😂😂😂😂😂

[@ChrisMFlorida]

Papa was swimming in it tho.

[@j.l.salayao8055]

He is a good man! He bought his wives a house and none for him. I hope he is always welcome to visit any of his wives whenever it pleases him😉.

[@KS-cl8br]

@@j.l.salayao8055 You are so weird.

[@dmitriyr4095]

Rice and borsht for both of them from now on

[@NaNa-lt1po]

Ah.. her silence on never again question, tells me that she's going to do it again.. lol

[@ddfamf88]

Ajay Pai - I think the silence was an additional realization moment of just how dumb they were. The sound of her voice tells me that this likely won't happen again.

[@NaNa-lt1po]

@@ddfamf88 may be, i certainly hope so

[@kbanghart]

As outsiders, we never can tell. It can take people a while for it to sink in. The way she reacted, I honestly think she will do what he says.

[@machintelligence]

Given the housing market in the Denver area (typical time on market = 6 days) this sounds like a solvable problem.

[@dodger1x]

Keep the new house.....Sell the old one. If this is the home of their dream they eill regret if they let it go and it will cost double of what they sold it for the next time He never asked how much they earned though.

[@j.l.salayao8055]

Its just a house that will cramble and fall in time...we are just here temporarily. Our permanent house is in heaven in the presence of our heavenly Father. I love houses and planning on buying more but it is just another tool, not something to glorify or be emotionally attach to.

[@thomasthumim7630]

Amen

[@GardenerEarthGuy]

They should be able to deliver pizza and hand out flyers to sell the other one with each delivery.

[@jojokeane]

I want to develop property in rural Texas, but I realized I should buy a move in ready house in that area first. I paid cash for it, and I will do the development by using other people's money. That's how it's done--convince others to take the risk.

[@GoWestOfEden]

Imagine if you where in HS and every day in Home Room you had to watch 3 Dave Ramsey videos a day?? WoW

[@miketheyunggod2534]

Brainwashing. There's a book about that. It's Orwell's 1984.

[@tw1876]

Mannnnnnnn Dave tells the truth... pain medicine... served with peace...

[@miketheyunggod2534]

His truth.

[@skip123davis]

great response. really brilliant!

[@truthlove1114]

‘Colorado got really really cold..’ and this a surprise?

[@evanbuchalski3132]

As a Colorado resident for over 20 years I can tell you this , "13 acres in an excellent location for $450k-$500k within a half hour of Denver" does not exist,. Any 13 acre property even in a moderate location with a 45 minute drive to Denver is well over a million dollars. I'lm currently looking on Zillow as of November 15th, 2020 and the cheapest property that has at least 10 acres is around 1.2-1.3 million dollars. Yes, Colorado is becoming the next California (aside from state taxes...for now) On the off chance this deal is true buy the house then sell it for a million dollars in under a month then retire in Texas. Happy Saving Everybody!!

[@TURBULENCE1202]

Is it just me or am I starting to hate the whole long explaination. I feel like Dave sometimes when he cuts them off and wants to get to the point

[@mph5896]

One needs to sell. To much hgtv? You Can’t live in a house down to the studs. Down to the studs, much more than 50-60k to put back together. I just did a shoebox house down to the studs myself and it was 50k in materials which included all mechanicals Marc furgeson on KZbin, InvestFourMore is in Greeley area. Maybe he could be of assistance?

[@TheFinanceZone]

*Wow two mortgages and one of them isn’t a rental...*

[@jessicahalfmann7218]

Ken Coleman's grinning on this video is priceless

[@bunnie1294]

I don't get it. She clearly loves the second property. Why not just help her figure out what's the best way to sell her first house? It's way too much work to sell the second property and buy a third one.

[@bindingcurve]

Because they are going to treat the 2nd house like a business and not a home. Otherwise they are going to invest too much into it and are going to get hurt worse.

[@agjios]

@bunnie1294 because she doesn't love it, she hates it first of all. 2nd of all, they can't afford it if they had to borrow money from granny to put a down payment. When you mess up, you reverse course, not go deeper. They need to get all houses sold, get money in their pocket, and then go buy a house like normal. 20% down, no longer than 15 years.

[@bunnie1294]

@@agjios Where did she say she hated the house? She can afford the house if her current house was sold. She has a lot of equity in that first house.

[@bunnie1294]

@@bindingcurve When did she say that she was going to treat the second house like a business?

[@bindingcurve]

@@bunnie1294 She NEEDS to. She had to borrow money. She is not taking the remodel seriously (if she was the first home would have been price reduce to get the money to finish the remodel and she would already be in a rental that is close by. Any kind of emotional investment and they are just going to keep digging the hole they are in.

[@justinfreeman4614]

I would personally take out a HELOC or cash out refinance on the first property to pay a pro to take care of the 2nd home's rehab. Then, If rent out whichever one would cashflow better and live in the other.

[@BigChuck525]

Refinance? Put the shovel down.

[@anthonyfoster6549]

Lololol I died when he said the house sucks 😂🤣🤣🤣

[@yamamancha]

I so hope she listens to Dave. This is the most accurate advice she could ever receive. A money pit doesn't stop being a money pit unless you rip it up from the foundation and build an entirely new property, and even still there's no guarantee something else won't come up with the land. They've already poured $30k into it and need to pour another $50k, which means they probably need another $75k in reality. They can sell it now and at least break even but pour another $50-75k in renovations and it will be a loss with, as Dave says, a bad memory. Pull out before you dump your load.

[@jimroscovius]

It's only a house. Big deal. Follow Dave's advice and fix your mess.

[@bunnie1294]

If the sale fell through the day before closing, don't they get to keep the deposit the buyer paid?

[@miketheyunggod2534]

Depends on why it didn't go through. Also, we are talking only a couple thousand dollars here. My deposit was only $3K. A week before my closing, there was a shooting down the block from the house. I got my deposit back.

[@fhuber7507]

Buying 11 acres because I want to "play hobby farmer." But I can afford it even if the farm makes nothing. 5 year plan to build on the land and sell the house I am in (which has no mortgage) and live the debt free country life.

[@djpuplex]

Women and these houses atleast this one called in and didn't hide behind the hubby. It's all these 💩 flipper shows it's subliminal.

[@kbanghart]

So it's all the women's fault?

[@youngtimer964]

Had themselves in pretty good shape, then BOOM! Had to go and do something really dumb.

[@cwilliams855]

Well said guys‼️

[@yellowtrain3161]

Never mortgage a house!! People will argue this idea tooth and nail.....but I think a mortgage is the biggest scam on the face of the earth!!

[@bettysmith4527]

They just better hope the real estate market stays as hot as it is until after they sell both!

[@HarshRealityNewsletter]

Keep a few of the 13 acres at the sale and build a new home using a professional builder.

[@amyh4202]

I live in a barnhouse.... truely a one of a kind property.... we are very emotionally invested in our home! With all its quirks lol

[@xfhnhhgjbvcfg]

If you are borrowing a down payment then you can't afford it

[@AIrn6087]

She’s gonna keep that house... I can just tell by her voice when he told her to sell both

[@TheMechanicj]

If it was me and I didn’t have kids I would sell my nice house take my 150000$ buy a 5000$ camper move it to the fixer upper stay in camper till it’s fixed and sell the new house for 50000-75000$ profit take what’s left 225k profit pay granny buy a 150000$ house cash or down payment depending on where the live

[@Wablestomp2]

Yeah I’ve never spent a winter in a camper in Colorado but it’s probably pretty rough haha

[@TheMechanicj]

Lots of blankets and clothes and about 300$ a month worth of propane is cheap living

[@rustybell2722]

Exactly what I was going to suggest but you said it so much better. People have done this, (and yes, it was in a winter harsh environment) and it saved them a lot of money. Then at the end of the 2 years it took for them to get the house to be "move-in ready" they sold the towable camper for more than half of what they paid for it.

[@xyzsame4081]

If you do not heat you will get mold in. And they do not have the money to buy a camper. Plus they may have kids, so problems with CPS, kids doing school work. I mean if someone were to lend them a vehicle (could be a broke camper, it does not need to be able to drive. Then there is trouble if the authorities let them. It is also possible that they are not good with renovations.

[@TheMechanicj]

@@xyzsame4081 it’s called propane heater did you not see my message

[@jcastaneable]

Take the emotion out of it then sell it because it won’t feel right

[@darbyohara]

This isn’t hard. Sell house, pay back granny, finish renovation, rent for 3 months while renovation is finished. Back on track

[@lionheart93]

All the way to the studs ?? 🤦🏾‍♂️

[@melanieb2132]

Reno budget doesnt compute with "down to the studs".. unless the square footage is small.

[@businessexplained9578]

I mean... that’s like saying I accidentally have two houses! All jokes, your friends at Business Explained!!

[@nigelmcgill4916]

I don’t get why they can’t sell their current house, have more than enough money to renovate, and then just live in the second house?

[@whatevergoesforme5129]

It is hard to operate on a lot of IFs. Decide based on what you actually have.

[@bpaige12]

I'm curious if the house even needed to be gutted in the first place. I have found that people watch HGTV and go overboard.

[@CaseyBurnsInvesting]

Time for those mortgages to do the fusion dance.

[@alexgvo]

Question: Dave always says that that you need close your debts first. I have a linear mortgage with 1.44% interest rate for 20 years & monthly payment is less than quarter of my monthly income. Average inflation rate is 1.5% in my country. So is it worth to pay that kind of debt? Would it be wiser to invest money into funds?

[@MP-nj1qy]

I disagree with Dave. People need to learn to struggle. I brought another house while the first one became a rental. The second one was a big bad surprise with mold and water damage. I survived it and I’m happy I pull through it and proud of myself.

[@Carl-bu8in]

Wow, that was really good advice. Hope they did well!

[@AlexanderRamsey]

If you are to rehab a house you should budget a lot more than 35k. That could just be the price to gut.

[@mikefordyce4660]

First time i really disagree with this guy. There mistake was not selling the house before jumping into the next one. He says sell the first one and the second one. If it was so easy the first one would already be sold and she would not be calling you. The sale of the second house has nothing to do with it unless they sell it and keep the first. I have a 750 thousand dollar home paid for at 35 with a 50 thousand annual income before taxes because i worked hard and you can make deals like this work but they got ahead of themselves and will be fine if they can sell the first home even if its at a lower price. I know he passes off location but location can equal a lot of money if you buy at the right price. He is telling you to do things without knowing the current market where you are.

[@randallanimal]

Dave's acting like it's a haunted house... He seems superstitious about this house

[@Sizukun1]

He's probably seen those black holes of houses that constantly need monthly $5000 repairs. Original plan was to spend $35k renovating it, and now they're over $60k and still no end in sight.

[@moneybee]

Well there is no proof that it *isn't* haunted... 👻haha!

[@SimonSaysyo]

Am I the only one who re watch the videos about two or three times to get all the information? Haha

[@bethanyboothe4817]

I bet theyre having a hard time affording both though. Same with renting a place. Still have a mortgage and rent.