Frozen Assets - Update

Let's not dwell on the negative.

Like the $3 I sorta accidentally spent on iTunes.

Or the $300 I spent on the ITT tour to Mt. Fuji*.  (You have to pay now to go in August.)

Let's talk about the positive. Or rather the negative amount I've spent on other trifles.

Here's what I haven't spent money on this month:

I haven't purchased any books on Amazon. Not even "The Kids N Clay Ceramics Book" for $15.25 or used copy of "Bleak House" Norton Critical Edition for $2.44.  (But I will!  Oh yes, I will...)

I didn't buy any new shoes from Target's 75% off section.

I haven't mailed any packages or love boxes...not even the three baby gifts I need to send.

I haven't gone out to lunch or dinner--not even to celebrate Max's last day of school last week.

I've refrained from scowering clearance clothing racks.

The 100 Yen Store has been completely neglected.

The Bunny Store is dead to me.

Yes, I'm that good.  

The problem is, I'm done being good now.  This month is dragging on far too long.  I have needs!  I need to get these packages mailed and off my counter!  I need to read Bleak House**!

THESE ARE REAL NEEDS, PEOPLE!

But Doug isn't letting up.  He's STRICT!  He's the no-spending Nazi!  He wont budge!!!

And so I plod on.  Thriftily pinching my pennies and pining away for July.

I don't know if this experiment is teaching me the lesson it's supposed to be teaching.   But I'll persevere.  

*sigh*

But nobody said I had to like it!!!

*Yes.  I'm planning to drag my sorry butt up to the top of Mt. Fuji (with some lady friends from church) even if it kills me.  Which it most assuredly will.  Doug talked me into it.  I don't know what I was thinking.  I'm going to go cry now.

**My sister Jenny got me the BBC mini-series "Bleak House" by Charles Dickens (on DVD) for my birthday.  Doug and I just watched it together (over the course of a week) and LOVED it.  But now I MUST read the book to find out all the juicy details that were left out!!!  (Though Jenny said they did a great job staying true to the book.)  Like I said, "need" not "want".  Yes, I know they probably have it at the library, but I can't highlight library books or write notes in the margins, now can I?!?!?!

Spending Freeze = Brr Cold

It started with an article in Reader's Digest.  (One of the perks of military life=free Reader's Digest)  It describes one family's "No-Buy Experiment":  A quest to live one whole month without spending any money.  It was a great article and I mentioned to Doug maybe we should try it sometime.  (Him="YIPEE!")   Later, I read that my friends did something similar.  I was definitely intrigued, but still not quite motivated.

And then we went to Hawaii.  ($$$)

And I went to Costco AND Target.  (And thoroughly enjoyed both trips:  $$$$$.)

And now I'm motivated.

So we're trying it.

One whole month without spending money.  

Except not really.

We're not doing it quite the same.  We didn't plan ahead so we're still going to have to get groceries and diapers.  But the goal is, nothing extra!!!

• No on-line shopping at Amazon.
  
• No unnecessary BX purchases.
  
• No eating out.
  
• No on-line shopping at Target.
  
• No 100 Yen store. (No 100 Yen Store???!!??)
  
• And finally,
  
• No on-line shopping.  Period.  (!!!!)
  

Flashback to Monday; the first day of the month.  Doug had the day off.  We went to the BX to cancel Max's school lunch account.  (He was buying hot lunch just to get the dessert.  Even on days he had a sack lunch.)

On the way in, we walked past Cinnabon.  All of the sudden, I have an overwhelmingly desperate desire for some warm gooey goodness.  Never before had a carton full of saturated fat and high fructose corn syrup seemed so tempting.  The smell almost overwhelmed me.  But alas...I had to walk right on by.  (Fortunately Doug was there to keep me strong.)  

We walked into the main store.  (It's sort of like a Mervyn's...not quite as nice as, say, Kohl's, and nowhere even in the same galaxy as Target.  And yet they sell Coach bags.  So bizarre.) 

Doug headed to Customer Service to take care of the school lunch account.  I took Gabey back to look at the toys.  Soon it was time to go.  And I was empty handed.  It felt very strange.  Very uncomfortable.  I didn't like it at all.  It's not even a place I love to shop, but to leave without buying something felt all wrong!  Doug grabbed my arm and pulled.  It was painful on so many levels.

And then we got in the car.  We had time to kill before Sam got out of school.  It would have been the perfect time to drive off-base for some Ramen and Gyoza with only ONE kid in tow.  But alas.  We were destined for PB&J's at home.  The rest of the day passed in a blur of self-deprivation and self-pity.  

Pathetic, I know, but I never claimed to be a saint!  (Genius, yes! Hard-core Athlete with lightning reflexes?  Of course.  Saint?  No.)

It is now day 4 and I'm staying strong.  I've found it helps to stay in the house but away from the computer.  The trampoline has been a safe-haven, for example.  (Ahh, the trampoline.  One of the best investments we ever made!!!)

I'm a little afraid of going to the grocery store--I don't want to go overboard--but eventually I'm going to have to test my resolve and see if it's possible for me to just buy the necessities.  (i.e. no stock piles of food storage Nutella.)

I'll let you know how it goes.

In the mean time though, I think I'm going to go make Cinnamon Rolls.

Like I said...

I'm no saint.

To cheer me up, tell me some of your tips and tricks for saving money.  I need all the help I can get!!!

"On The Home Front" or "The Dreaded Short-Sale"

Many of you have been asking about our house, and I realize I've left you all hangin' with nary an update. So here it is!
We sold our house!
We're still in it, and we haven't closed the deal so it's not official. But we got an offer, accepted it, and things are going well. That's the SHORT story. And if that's all you wanted to know, STOP READING NOW!!!
For the rest of you who are bored and like knowing numerical details, here's the LONG story: (My favorite kind...)

Two years ago, we bought our home for $250,000. Having just come from San Francisco, we thought this sounded pretty darn cheap. Especially for a whole HOUSE with a YARD!
The MAIN reason, though, was that I wanted to! It was my idea. I was sick of staring at white, unpaintable, rented walls that we weren't allowed to change. I missed having my own house and really wanted a yard and garden.

Final reason? I have heard, my whole life and in numerous books, that BUYING is always a better investment than RENTING.
So we BOUGHT!

Rewind to this past January: We contacted our Realtor Lori. She said that although the housing market had slowed down, our neighborhood had stayed strong and she felt confident we'd get close to breaking even. With the weak economy, we were totally fine with that.

We fixed a few more things on the house, refinished the hardwood floors, replaced the kitchen counters, and called her again in March.

This time she had BAD news. A comparable house in the neighborhood has lowered their home price from $259,900 to $219,900.

At this point, Lori introduced us to the dreaded "SHORT SALE"! A short sale is when you sell your house for LESS than you still owe on your mortgage. (It's getting to be quite common these days.) But first, you have to get an offer and take it to the bank with a "hardship" letter. Sometimes the bank forgives the debt. Sometimes they set up a payment program so you can pay back the difference over time. But ALWAYS they cease any assets you might have and ding your credit BIG TIME!

Needless to say, we were NOT excited about this option. Not because we have any assets to lose (Unless you count student loans) but because of the Credit issue. Our whole marriage we've been trying to protect our credit and both have pretty high scores. This would have put an immediate end to that.

We were also worried that since the Short Sale is pretty new on the scene, there would be unforeseen credit consequences in the future...like when it comes time to buy another house, or even a dental practice.

SO, we hoped for the best but prepared for the worst.
We listed the house for a VERY optimistic $259,900. We had some interest, but no offers.

A month or two later, we lowered the price to $249,900. Nada.

We said good-bye to all hope and lowered it a final time to $229,900 and prepared our financial documents for the Short Sale.

All of the sudden, we got an offer! It was low, but we were excited! That weekend, we had an Open House. Lori told all the interested visitors that an offer had been made and they'd better bring their best offers to the table if they wanted a chance at our DARLING home.

Two more offers came in!
One low, and one...HIGH!!!
We got an offer for $249,900!!!
Exactly what we still owe on the loan! We were ecstatic!

Until we got a call back from Lori.
After taxes and commissions, we'd still owe $19,000 out of pocket.
We fretted, weighed the pro's and un-known con's, and finally took out two more student loans totalling $20,000. (What's another $20,000 more or less?!?)

As of today, everything is looking up! The home closing is set for June 27th. We passed the home inspection and the house appraised for the right amount.

We will have to bring the $19,000 to the table, but will be able to avoid a Short Sale. (Good for us, AND good for the buyers!!!)

So that's the update. Assuming nothing unforeseen happens in the next few weeks, we should be able to close on the house no problem.

Wish us luck!
And if you want to send us pity money, we'll gladly accept it!