I'm in Love

Scott,

I’m in love! I met a guy six months ago, and he’s now moving into my house and wants to put his income into paying down my mortgage while we use my income to live on. I am on $105,000 and he is on a $90,000 base (more with overtime). He has no debt, while I owe $330,000 on my home, $250,000 on an investment property (barely breaking even), and $20,000 on my credit card (from a holiday). We are going to get married eventually, but the plan is to live together and pay down my mortgage for a couple of years until we need more space for kids. The trouble is, I do not want him taking on my debt. So should I sell and start again together?

Melanie

Hi Melanie,

“I feel it in my fingers, I feel it in my toes, when love is all around me” …… you’ll probably make dumb money decisions.

Seriously, I’ve had little lambs last longer than you’ve known this bloke. (And you know what eventually happens to them, don’t you?)

A few things:

First, keep everything separate until he puts a ring on it. If you want to live in sin (as my grandmother calls it), charge him rent, and pay that straight off your mortgage. Easy.

Second, get rid of the credit card debt pronto. (Seriously? On a holiday? WTF?). Do the sums on your investment property and then ask yourself the ultimate question: would I buy this property again today? If not, get rid of it.

Now’s the time to get on top of your debts. But don’t do it for him. Do it for you. Repeat after me: “This man isn’t my financial plan.”

Finally, it sounds like you’ve fallen hard for this bloke. The best way to see if he’s as committed to your future as you are (other than checking his phone) is to sit back and watch what he does over the next 12 months. If he’s serious he’ll be working and saving like a man possessed. “Come on and let it show!”

Scott