Wwyd? House or pay off everyThing

[76s]

Struggled with mental health forever, currently undergoing the beginning of ab ADHD assessment journey as this has caused me such pain, wrong decision making and disasters throughout my life- all aspects!

regarding money. I have struggled with it my whole life. Great job but have always lived month to month as my brain is addicted to spending (and food). My Brother chose drugs. But is in recovery.

i have a house with small mortgage, a 20k loan, 16k on cc, spent on shit. Counselling is helping me realise what I have done and how I can stop this cycle. I have a good job which covers this shit show but never any left for savings or holidays (they’ve always gone on cc e😔)

we are so very lucky as we have inherited a house worth a lot of. Money. I appreciate this is amazing but wwyd?

1, rent It out- but I know this comes with issues, will need constant work etc, but will be there for retirement in about 10 -15 years

2, sell it- pay off every single bit of debt including mortgage, use remainder to lock away in pension?? For retirement. Then have more money to save/use each month from wages as not paying mortgage or cc debt interest.

i think I know but I worry about everything and sat up last night going through every what if. Wish I could just decide, do it and live. Wwyd?

very grateful for your responses, please be kind I’m currently off work after burn out/ break down. This is one thing I can control and be decisive about to make a change xxx

For you in your circumstances option 2. That is because I think for most people being a landlord is hard work, if you struggle to organise yourself and think ahead and anticipate decisions and make decisions, it would be a nightmare

I also wouldnt beat yourself up too much about your debts, they are manageable, they're going to be sorted out (even if you hadnt inherited), you can afford it. Life is for enjoying. I understand if its giving you angst but perhaps reframing it is helpful.

Enjoy your inheritance.

I think medication would be great but adhd is not yet diagnosed but I 100% am. I have spent my whole life feeling like a square peg in a round hole and when I now see how it has affected everything I am devastated and angry about why I let it happen. The doctor suggested depression, I suggested burn out/ breakdown and adhd and he agreed. So I’m going for the assessment. I’m hoping g it will be life changing for me and make me realise that decisions haven’t always been my fault as it were. Struggles- school, tics, speaking out of turn, people pleasing at my own expense, being a doormat in every single past abusive relationship, spending, eating, taking risks, cannot make a decision, anxiety, worrying about literally everything, bullied I. School currently at work, paranoia, worried to death about what people think about me….the list goes on

@76s

I hope you're able to be kind to yourself. It's great there's lots more information out there now but people have been left for far too long feeling like they're broken/wrong when actually their brain just works differently. ❤️

Yes I'd say go for number 2

2 without a doubt
better quality of life without the stress of being a landlord and any wayward tenants. All the rules and regulations, the ad hoc expenditures etc. I just wouldn’t do it and not on one property. I’d be more likely to spread the risk it on a couple of flats rather than one property - if you see what I mean.

and I say that as a renter.

Option 2. Living debt free is a life changer. It removes so much stress.

My only suggestion is that after all debt paid, put some in an emergency fund before you lock away the rest in a pension.

No 2. But make sure you lock away some of the proceeds so you can't easily fritter the money away.

Definitely option 2. Personally with the rest clear debts, max ISA / pension contributions for a few years. Decent amount in a stocks and shares account.

Also I’d have a fuck it, let’s do this fund. Holiday of a lifetime, special peice of jewellery but mss as ke the decision that it has to be amazing rather than frittered away,

2 definitely.

Echo everyone else - definitely sell it

i think there is still money to be made in property, but being a landlord has a lot of rules and regulations and tax and to be honest I don’t think in your situation it is worth the stress. Take all the advice on how best to invest the 400k and it will return what a property would, with much less work required.

I think the advice is to have 3-6 months of expenses in savings. I personally have a few K in an instant access savings account for true emergencies and then the rest of the 3-6m expenses in premium bonds, which take a couple of days to access. The rest of my money is in S&S ISAs, fixed rate bonds and other investments. You could let your DH manage the savings account if you don’t think you can.

I also agree if I inherited 400k I’d definitely set aside 10k (or whatever it costs) on a lovely holiday.

I'd be tempted to do a variant on Option 2.

I'd sell the house and then pay off the 20k loan, pay off the mortgage, put 10k in a savings account in your husbands name and then put the rest into pension with a view to using that as a monthly annuity once you retire.

I think that you should then pay off the cc yourselves from earnings. It is so so easy to end up back in debt once you have cleared it, so its super important to make the lifestyle changes needed rather than just tackling the money. I'm worried if you pay everything from inheritance then you'll end up back in the same place in a year.

Imagine you'd inherited £400K as a cash lump sum. Would you have opted to use it all to buy a rental? If not, then sell the house.

100% NUMBER TWO

1. Clear the decks and you can breathe. You will sleep much better knowing that you don't owe anyone a penny.

1. Make a budget - get help with this if you can. This will give you control and every greater peace

1. Live within your means and be content with your lot in life

Sending good wishes to you OP. This is such an exciting moment for you to be able to take control and turn things around.

If it's your inheritance, I wouldn't put anything above what you use to clear debts /mortgage in your husband's name. Having not long come out of a divorce, a hefty amount I'd inherited was kept out of the assets pot as I'd kept it all in my name. Cynical viewpoint but just something else to consider.

Many thanks to all of you for your suggestions which have helped me no end. Wishing you all the best