I kept the house after my divorce. I receive alimony/support until my three children all turn 18, in five years. Approximately a little more than half of my support goes to my mortgage and home living expenses. Once my support ends I can no longer afford to live in my home. In the meantime, does it make sense that a large chunk of my support goes to maintaining my home and just making ends meet each month? Real estate is expensive where I live so I have limited options. I am not sure if should continue to hang onto my home and not save any money each month or sell before my support comes to an end.
The primary objective is to “Create Margin” in your life. In this case, we are referring to how much financial margin you need now and for the future. Your first step in finding out what that looks like is to talk with a financial planner. A thorough review of a comprehensive plan for the future is the key to success here… Anything less will simply not work. Once you have this knowledge and information you will understand the changes/choices that are necessary for you to survive. No… THRIVE!
It’s obvious that you already see the writing on the wall… Divorce will require intentional, dedicated, and focused decision making. Some (or many…) of them will be sacrificial. Life and the finances are different now. Face it HEAD ON! From my perspective on your situation – Build cash reserves now and if you are not in the work force… build your resume and get in today!
I would recommend that you get an appraisal on your current residence to establish a payout/baseline. Then take a look at the marker that you would “downsize” into. You might even enjoy renting, as the landlord will be responsible for the burdening repairs and maintenance on the property.
Bottom line— Get educated by a professional, stay focused and encouraged with your plan, and enjoy finding ways to “Create Margin” in all the areas of your wonderful life!
Best wishes to you and your family!