Saturday, January 30, 2010

Update: Bad News

After a ton of phone calls and number crunching, RNH and I found out that we cannot purchase the land. Why? Because we don't have $44,000 in cash. Yup!

We were hoping to refinance the home and roll the new acreage into the loan. Apparently its not that simple. This is why.
If RNH and I got into financial trouble, the first thing we'd default on is the land. There is not a building on the property, making the land not very valuable to a bank. This is considered a high-risk loan because the bank would also loose out if we had to fold it all in. Because of the risk, the bank is asking that we put at least 20% down on the loan. That is a little over $44,000. Nope. Sorry, we don't have it.

We can easily afford the extra mortgage payments, but unfortunately they want money down. At the rate RNH and I are saving, we could afford to purchase the land in 9 years. We are also planning on bumping up the amount we save each month, so maybe we could decrease the amount of time needed to come up with the cash.

Despite the disappointing news, RNH and I are so blessed to have what we already have. The land we're trying to purchase, isn't even for sale! We've got a wonderful home, all the pets we could ask for, tons of land, endless opportunities and each other. That is the most important thing to us. God has blessed us with more than we both ever thought was possible. I thank Him every day for blessing me with a husband that loves Him as much as I do, and for surrounding me with His nature so I can see His goodness every day. I'm blessed beyond belief!


  1. I wanted to stop by to thank you for visiting my blog and taking the time to leave a comment. I've read through a couple of your posts and really enjoy your writing as well as what you're writing about.

    I empathize about trying to purchase undeveloped land. We tried that about three years ago, 5 acres adjacent to a home we were trying to buy. The land purchase was a fiasco and eventually both purchases fell through. Now I can say it's a blessing, but back then it was a heartbreak. $44 grand is a lot of money to put down. I doubt that too many folks would have it either.

  2. Thanks Leigh!!! Its good to know that it was a blessing in hind-sight. Hopefully we'll feel that way down the road!!! Thanks for stopping by!!!