Valued Contributor
IOBA
Posts: 2,697
Registered: ‎08-13-2009
Re: Hop in! On my way to a 100k!
[ Edited ]

Weeks nine and ten, combined.

 

HOLY COW --- I closed on a house AND paid cash for a vehicle!

 

It's been a stressful month, to say the least.

 

* Bought a house, put 20% down, and was able to close in two weeks.  Having the regular savings pattern helped.  Having the CD"s REALLY helped!

* They lender forced me to "close" out three CD's, but I really didn't want to do that.  They were larger CD's with excellent rates - 2% and 3%.  I explained the situation to the bank (Navy Federal) and asked if I could do a withdrawal on the CD's, pay the penalty (very much an ouch) and leave the CD open.  Navy said yes!!!   

* I stopped buying the $100 or so CD that I was purchasing every payday for a month.  Just to keep the cash and to get through closing.

* Paid cash for all of my inspections and insurance.

* Becuase I had to cash out three CD's and they weren't used for purchasing the house (read the post under mortgages), I had leftover cash.  I knew I was going to need a new vehicle soon.  Like real soon.  So I shopped for a used one.  Found it.  Waited almost two weeks to purchase it.  (The dealership put it on hold for me.)

* Guessimated my new expenses for planning purposes.

* Asked the utility companies what the last tenant paid in average yearly costs, so I could get an idea of my bills.  Tripled it for budget purposes.

* Through ALL of this, my loose change still went into the bank.

* Surprisingly, the auto insurance increased.  ** I asked to be on monthly billing - there is no extra charge for that.  It will make the bill affordable until I can get ahead of the curve ball and actually save up 6 months worth of payments and pay the lump sum.  Once I can do that, then I can go back to saving the monthly premium and earning interest in on it.

* Surprisingly, the house insurance increased.  I definitely shopped around, but would NOT authorize anyone to pull credit.   Found a company (local guy to the neighborhood) was the most affordable, by several hundred dollars, and did not require a credit pull.   Bless his heart.

* Furnished the house with "freebies" from friends and neighbors.  I lived in a studio, moved to a house.

* Bought USED appliances.  Yes, used.  So much cheaper than new!  Perspective  - gas stove, dishwasher, front loading washing machine, and a gas front loading dryer, to include the delivery fee - $600.  Everything has a 6 month  warranty on parts and labor.  

* Moved myself - saving bucko bucks.  I had help loading on one end and sometimes (most of the time not) help unloading at the other end.  What I paid in gas for multiple trips is still much cheaper than having friends help me move.

* August 2012, I will be back on budget - a new budget with my new expenses.  Not July 2012, becuase I am still paying cash for those odds and ends that I find myself needing to take care of.  

 

I am not sure where I stand with the plan for a 100 grand.   I will be updating that in the next month or so.   

 

All though this sudden house purchase and vehicle purchase, I still did some of my basics -

 

* tried like the dickens to keep to my already established budget which included regular savings.

* although part way into the process, I did stop buying the paycheck CD's, I stashed that money into savings.  (so it was still tucked away)

* I paid cash for the extras that go with purchasing.

* I paid 20% down and cash for closing costs.

* I staggered the costs of doing the utilities to my name.  Went wtihout internet for 2 weeks!

* No cable/satellite.

* Used appliances.

* Used furnishings.  <---- basically free.