Less debt, less stress
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Introduction
Too many of us are facing financial crisis. We are in so much debt and we continue to get in more debt day after day. It is time for us to review our financial condition and one way to get out debt is to sell something and use the proceeds from that sale to reduce or clear your debt.
Let’s say you have total debts of $250,000 but you have a house valued $500,000. Perhaps you should sell that house, pay off the debt and use the rest of the funds to get a smaller house. You do not have to do that if you don’t want to, but it is a recommendation. Now suppose you have more than one house, then you should sell one. That is why I recommend individuals when they are building, build an investment home. For instance, you can build a duplex. You can own one part and sell the other. Alternatively, if you are living on a large acreage of land, mutate the property and sell either the one with the house on or keep the vacant lot and build another smaller home on it. If you have a vacant lot and have not built yet, make sure you do not build it in the middle of the property.
Sell something
Everyone that knows me knows that I do not like to recommend selling. However, if you are struggling financially, living from paycheck to paycheck and your liabilities exceed your assets, you need to consider selling.
You may say you don’t have anything to sell. I challenge you to document your assets and you may just be surprised to realize what you have.
You may have some jewelry that you can sell. You may have some clothes and shoes you never wear or perhaps hardly wear; you can sell. You may have more than one home. You may have some shares in a company. You may have a car and while you need to take that car to work and to drop the kids off, you may want to consider selling the car especially if you have two cars in your household.
I know there are some things that are of sentimental value, and you may find it hard to sell them. However, if you are struggling financially badly, then you should consider selling those sentimental items especially if the proceeds from the sale of these items can help reduce their debt. Take a video and photographs of the items and retain them as time sake.
Conclusion
If you are in great financial condition, then there is no need to sell. Obviously if you get a great deal whether you are in a bad state or not, then you should sell it. You can use the extra funds for reinvestment and pay off debts.
As we approach 2025, let us do our best to avoid getting in more debts and let us do our best to reduce our debt. The less debt you have, I believe the less stress you will have.