Moving In With Mom?

My fiance, Chris, and I had an exploratory discussion about what we want to do in the near future regarding our housing situation. We currently rent a 750 square-foot apartment for $1000 per month. It's a second floor walk-up with easy access to the highways and centrally located near the center of town and shopping centers in two directions. We have a huge living room and bedroom. The kitchen and bathroom are on the small end, but it's okay for the two of us and our dogs. It's lacking a fenced in yard and we share the driveway with two neighboring houses. So it wouldn't be a home we settle down with a few kids.

We had brought up the subject many times in the past, but with our wedding coming up soon, it's more than a passing thought. It's the beginnings of our future home plan.

Some Advice for Paying Off Student Loans

I posted yesterday about my burden - student loan debt - and how we're not alone in this. I came across an article, How to Pay Off Student Loans Now, that gives some advice on tackling student loan debt and why we should do so now rather than later. I am currently doing two out of the four strategies. I live with my fiance, prior to that, I lived in a house with 3 other roommates. My current living situation is cheaper that living with my roommates, which is surprising to me, but not unexpected.

Chris and I try to be energy conscious. We turn off lights when we're not in the room, turn off computers when we're not using them (I usually use the computer during the weekend), keep the thermostat set at 68 degrees in the winter, opt not to use an air conditioner unless it gets extremely hot inside the apartment (so far it's been actually okay), and we don't buy food we will not eat during the week. Small things, but they add up. When I was living with 3 roommates, I couldn't control all their money-wasting habits.

The other strategy that I try to follow is to not get into more debt. I pay off my credit card in full every month.

The other two strategies - get a second job and drive a beater - I didn't quite make it there. I'm still going back and forth about a second job, which I mentioned in my last post. I gave my 2001 Chevy Malibu to my mom since her 1996 Dodge Caravan was on it's way out. I decided to get a new car, a 2012 Mazda 3 hatchback, since I knew I was going to keep it until it dies. I also drive 40 miles a day to work and back, so I wanted a reliable car that wasn't a maintenance nightmare. I knew I could have bought a used car, but after going back and forth, I decided to buy new. I worked out all the numbers and with the payments, I was still able to contribute to my savings, Roth IRA, and still have money left over for extra student loan payments. All in all, I'm doing okay, but I will be stepping up my student loan payments more aggressively in 2013.

The Burden of Student Loan Debt

I know I'm not alone. I have student loan debt, more than the average, but I have it. According to the Project on Student Debt, the Massachusetts state average for 2010 grads was $25,541. I wish that was the amount I owe. Multiply that by 3 and that's closer to what I still have left to pay - I started repayment in December 2009. I went to a private university and it wasn't cheap. It could have been more affordable, but I wasn't as smart as I am now about my finances. See my post One Year After Graduation.

I came across an article about a Harvard Business School graduate who got rid of his $90,000 student loan debt in 7 months. That's amazing. His story is the extreme of what one person will do to be done with the payments. At times I feel like I should do something drastic. I'm caught in a current state of analysis paralysis.