An update on my long walk (88.39%, .13m)
So it's been a while since I updated on my journey to financial freedom so I figured I would take a moment and catch you up to speed. I have made some fairly heavy decisions so here is an update on what my thoughts have been.
In January, I made one of the biggest decisions I have had to face since beginning this journey. After a slow Decemeber, (typical in real estate) I faced the sincere reality of having no money and nothing coming in with bills due NOW! Not a wonderful place to be in. My choices: go backward into debt to survive or cash in my investments. One of the few places of diligence in my financial life over the past years was saving 10% and investing for the future so this was not an option I particularly relished. Add the fact that pretty much all of my investments were below what I paid was not increasing my attraction to this option. Capital losses only ever look good on a tax return. But in the end I made the choice no going backward, I am committed to getting out of this hole so no digging deeper, not if I can help it anyways. So I cashed in my entire investment account, RRSPs, the whole works.
This turned out to be a very good idea in the end, with what I had I was able to 1. Pay my mortgage and eat until my next payday. 2. Payoff some of my smaller balances. Dave Ramsey calls this the debt snow ball and I am impressed with how well it works. It was absolutely freeing to see my excel spreadsheet where I have all my debts laid out shrink by those few lines. I think part of what draws us into debt is that we think $500 here and there is no big deal, and then part of what keeps up there is we get overwhelmed when we look at how they all add up.
And now I am through the tough part of the year for Realtors, this week I should get a few payouts that will add some much needed stability to my bottom line. I've been working my butt off these past few months and its about to pay off. Now though, I need to remain focused and not lose the desperation that I have been carrying. In real estate it can be easy to sit back a bit once we have a cushion and I can't afford to do that. The goals I have set for the year and in my life require that I keep moving, looking for new clients and new opportunities. And so thats what I am doing.
Till next time, Plan to Prosper!
David Whitrow
Royal Lepage Regina Realty and Trademark Homes
@whitrow on twitter
In January, I made one of the biggest decisions I have had to face since beginning this journey. After a slow Decemeber, (typical in real estate) I faced the sincere reality of having no money and nothing coming in with bills due NOW! Not a wonderful place to be in. My choices: go backward into debt to survive or cash in my investments. One of the few places of diligence in my financial life over the past years was saving 10% and investing for the future so this was not an option I particularly relished. Add the fact that pretty much all of my investments were below what I paid was not increasing my attraction to this option. Capital losses only ever look good on a tax return. But in the end I made the choice no going backward, I am committed to getting out of this hole so no digging deeper, not if I can help it anyways. So I cashed in my entire investment account, RRSPs, the whole works.
This turned out to be a very good idea in the end, with what I had I was able to 1. Pay my mortgage and eat until my next payday. 2. Payoff some of my smaller balances. Dave Ramsey calls this the debt snow ball and I am impressed with how well it works. It was absolutely freeing to see my excel spreadsheet where I have all my debts laid out shrink by those few lines. I think part of what draws us into debt is that we think $500 here and there is no big deal, and then part of what keeps up there is we get overwhelmed when we look at how they all add up.
And now I am through the tough part of the year for Realtors, this week I should get a few payouts that will add some much needed stability to my bottom line. I've been working my butt off these past few months and its about to pay off. Now though, I need to remain focused and not lose the desperation that I have been carrying. In real estate it can be easy to sit back a bit once we have a cushion and I can't afford to do that. The goals I have set for the year and in my life require that I keep moving, looking for new clients and new opportunities. And so thats what I am doing.
Till next time, Plan to Prosper!
David Whitrow
Royal Lepage Regina Realty and Trademark Homes
@whitrow on twitter
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