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About Me:

Monkey Mama

Just a 47-year-old mom of 2 in Northern California. My kids are Monkey Monkey(MM) and Drama Llama (DL). I am married to Monkey Hubby (MH).

We were a one-income family for 13 years. In late 2015 my spouse returned to work (minimum wage/part-time/seasonal). Something recent on his resume just buys us more options for the long run. The main benefit of this job is that he just works while the kids are in school. As always, we are saving 100% of his income.

We saved a lot while we were very young and also moved to a lower cost-of-living area, to make life much simpler. We still live in California though (in one of the most expensive regions of the U.S.). *Simple* and *inexpensive* is relative.

Likewise, we have never had debt aside from our mortgage.** My blog is a testament to how much simpler life is without debt; how we have that much more money to both save and enjoy!

**Caveat: I have no problem whatsoever with credit cards paid off monthly, or low-risk credit arbitrage (for example, 0%-interest debt while earning 5% on FDIC-insured cash). These are the kinds of debt we have had. Just not interested in high-interest debt, using debt to buy beyond means, and not interested in the hassle that comes with loans and payments. With age and means, the latter (hassle) is our biggest debt avoidance motivation.

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2024 Goals

[ ]Small monthly Charitable Contribution
...($156 @ 6/30/24)
...Trying to be more mindful about how the little amounts add up and are helpful.
...This is not an all inclusive list of charitable giving but it is a new habit I want to add in addition to other donations of time, goods and money

[ ]Pay cash for college
...This is so much a given, to me. But I realize not everyone can read my mind, and so will memorialize in my goal list.
...#1 We don't do Debt
...#2 The student loan system is a scammy and corrupt mess.
...Seriously, wouldn't touch these student loan servicers with a ten foot pole.
MM YEAR 1 ✔
MM YEAR 2 ✔
MM YEAR 3 ✔
MM YEAR 4
MM YEAR 5

DL YEAR 1 ✔
DL YEAR 2
DL YEAR 3

[ ]$10,000 to savings
...($7,121 @ 8/31/24)
...$1,000/month, plus interest
...Topping off with snowballs

[ ]$7,500 to investments
...($3,691 @ 8/31/24)
...~~$350~~ $400/month, plus snowflakes
(Snowflakes: credit card rewards and dividends)
...Topping off with snowballs
...Note: Bumped up to $400 9/1, re: reduced food expenses

[ ]$2,025 to mortgage
...($0 @ 8/31/24)
...Topping off with snowballs and/or excess cash
...Keeps us on track with $10K principal paydown per year

[/]9% of household income to work retirement plans
...(9% @ 8/31/24)
...This is the minimum for the match; I'd otherwise rather fund IRAs.
...Note: Total retirement savings rate is 20% (with IRAs)

Goal savings rate = 25% of gross salary, plus funding IRAs from other sources.

[ ]$14,000 to IRAs 2024 (MAX)
...($0 @ 8/31/24)
...Will fund with MH's income
...Will not fund until the year is over. This is for tax and planning reasons. I won't know what mix of Traditional/ROTH IRA we literally can contribute until we do our 2024 taxes. In addition to that, can make a more informed decision based on our financial and tax situation for the entire year.

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**Long-Term Goals**

[X]$500,000 in retirement accounts by age 45.

Current big picture goal:

[ ]$1 Mil in retirement accounts by age 52.

Stretch Goal: Achieve by age 50

Have decided to pretty much stay the course. Keep saving 20%+ to retirement. This means taking 401K match & maxing out IRAs.

NOTE: WE HAVE NEVER CONTRIBUTED LESS THAN 10% TO RETIREMENT. NO EXCEPTIONS.

If we can't achieve at least 10%, then something else has to give. I share because it's infinitely easier to save for retirement if you start early. Let the investments do the hard work for you.

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Debt: $85,000 mortgage
{Home Purchase Price $290,000}

Ongoing goal is to *never borrow money again.*

Took on a $230k mortgage in 2001 and have not added to that.

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Net Worth: Increase net worth by $600,000 in the next 10 years. This is my "financial independence" goal.

2017: +$ 70,000 (partial year)
2018: +$ 51,000
2019: +$105,000
2020: +$104,000
2021: +$215,000
2022: <$ 65,000>
2023: +$ 90,000
TOTAL: +$570,000

This is in line with prior goal, saving 100% of our expenses every year.

{Our expenses are far more consistent than our income. Also, helps to prevent "living up to income."}

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My Pages

Another Foreclosure on our Street

January 15th, 2012 at 04:12 am

Noticed an original neighbor moving out a week or so ago. Keep forgetting to look into it.

Hard to know how accurate online data is at times. But I know the sales prices are probably accurate - just not sure on the default amount of loan.

Purchase price 2001 - $262k

Foreclosed mortgage balance - $333k

Sales price to third party - $250k

I wonder if appraiser knew about this sale (it closed the week after our appraisal, but I am sure he knew the offer/sales price). That $250k figure isn't sounding quite so "yeah yeah yeah" after all. I believe it is the same model as our home - probably same lot size. Just two doors down. It probably explains our $250k appraisal.

The guy was actually kind of creepy, so I am not too sad. Was just a single guy from what I could tell. He was just a little *off*, and that was just from seeing him around. (Plus all of our other neighbors are so friendly, in comparison). HE was very reclusive. Which says a lot because dh and I are probably a little reclusive, too. Wink But not to that extreme.

This is why I guess the foreclosure/short sale rate will be 90% around here when all is said and done. Almost every single house on the street. Just not all at once.

& it's never anyone who bought high or anything like that. Though admittedly I know nothing about this man. But considering all the people I know, it's just, "yeah yeah, bought a bunch of cars and a lifestyle couldn't afford, lost house." That's the usual. Being single in a 5-bedroom home doesn't help my impression of the whole thing.

I suppose a more interesting statistic will be how many of these homes foreclose twice in the same decade. I know a lot of people out there buying homes they couldn't possibly afford. This is one reason why I feel like home prices are still over inflated. I don't know if any homes on our street have foreclosed twice - two different owners. I wouldn't be surprised if a couple of them have been lost to the banks twice.

Posted in Just Thinking | 6 Comments »

6 Responses to “Another Foreclosure on our Street”

frugaltexan75 Says:
January 15th, 2012 at 06:22 am 1326608579
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Do you remember elevator guy that I dated for awhile a few years ago? He was a single guy who owned a 4 bedroom home. Here comes one reason our relationship (if you could call it that) didn't last long ... he'd bought the house in anticipation of marrying a woman with three kids... (i.e. he wasn't over her)

Maybe this guy had some kind of similar story ...
MonkeyMama Says:
January 15th, 2012 at 04:01 pm 1326643278
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Oh yeah - I have heard of that one too. I know someone who did something similar. Didn't even think of that!
PauletteGoddard Says:
January 15th, 2012 at 06:21 pm 1326651671
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Don't know of any foreclosures on our block of the street, the block below us had one last year. Values in our MSA slid by 15% on average over the past twelve months. Last January a man a mile southeast of us broke into his neighbour's house, tied her up with duct tape, threatened her with a mallet, took her debit card, demanded her PIN. He was jailed last week (DNA evidence takes awhile, but detectives saw the tire tracks and light burning in his home at 3:30 am just after the attack): he'd been to bankruptcy court and had a Notice of Trustee sale against the home he bought in November 2005.
What I am seeing in the local news are stories of people, probably with 5/1 ARMs or interest-only loans, who bought in November 2005, stopped paying in December 2010, and are now at risk of losing their homes to Sheriff's sales auctions fourteen months later.
LuckyRobin Says:
January 15th, 2012 at 09:26 pm 1326662774
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Wow, 90% of the neighborhood. That's just unreal. I mean, I believe you and all, just it must feel unreal to you to have so much of it surrounding you when you guys are perfectly fine and actually thriving.
Maismom Says:
January 15th, 2012 at 10:58 pm 1326668294
1326668294

My street has been pretty stable and saw only one foreclosure in December. But that's about it. I thought foreclosure is kind of settling down, but I guess it is still going on.
MonkeyMama Says:
January 16th, 2012 at 12:24 am 1326673486
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@Paulette - everyone who bought here in 2005 foreclosed in 2005. The home prices were ridiculous. I have no idea who bought homes they could not afford for even a few months. But those foreclosures are long said and done around here. But I do know some people in other areas who bought in 2005, have interest-only loans, and are still in deep denial to this day. (They will lose their homes, unless they win the lottery). I guess it plays out differently, everywhere. I just find it weird that no one in our neighborhood could even possibly hold on near that long - WAY overbought. I've been just as shocked by the denial in those still holding on.

One reason that foreclosure is so common in our neighborhood is that the neighborhood is brand new. Meaning, literally everyone bought at higher prices than where they are now. In older neighborhoods, hopefully some more older people with more common sense. Who maybe paid off their house and didn't see the point to run it up again?

@Maismom - I see absolutely no end in sight to the foreclosures. It's only gotten worse over the years. I know several people who bought with $0-down the last few years, so it feels kind of like nothing has changed.

@LR - it was as simple as never borrowing against our house. That's all there really is to it. Actually the difference between us and the "90%" is we wanted to pay off our house some day. That's about it. We haven't even made any pre-payments of any note or been very aggressive on that front. Heck I'm in the middle of my third 30-year mortgage refinance - starting the clock over again. But, I just find it frustrating. That basic common sense is SO lacking. I have blogged before that people ask us all the time "what we are going to do about our housing situation." & when we say "we don't need to do anything" the blank looks we get? I find them so frustrating. It's not rocket science to not borrow against your house. Why is a "down payment" and "no cash out refis" such an impossible concept to understand?

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Monkey Mama*s Monkey Money Blog

Over Prepare, Then Go With The Flow

Another Foreclosure on our Street

6 Responses to “Another Foreclosure on our Street”

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