The Ramsey Show - App - DAVE RANT: Stop Rationalizing Bad Money Decisions! (Hour 1)

Episode Date: December 6, 2021

Home Buying, Debt, Home Selling, Career As heard on this episode: Sign Up for a FREE trial of Ramsey+ TODAY: https://bit.ly/3rZTUAx Tools to get you started:  Debt Calculator: https://bit.ly/2Q64HME Insurance Coverage Checkup: https://bit.ly/3sXwUn5 Complete Guide to Budgeting: https://bit.ly/3utmVXi Check out more Ramsey Network podcasts: https://bit.ly/3fHhbVE

Live from the headquarters of Ramsey Solutions, broadcasting from the Dollar Car Rental Studios, it's the Ramsey Show, where dad is dumb, cash is king, and the paid-off home mortgage has taken the place of the BMW as the status symbol of choice. Ken Coleman, number one best-selling author of Ramsey Personality, is my co-host today as we answer your questions about your life and your money. Merry Christmas to you, America. Merry Christmas. Well, it's nice to hear those two words.

It's good. It's the way it should be. Yeah, I like that. I noticed you didn't say happy holidays. Well, that's me because my political correct stuff is kind of way low on the thing. So open phones at 888-825-5225. Ken Coleman is all about the Ken Coleman Show. And what he does there, of course, is help you with your career and your jobs

and making decisions on the move. And this is a season when a lot of people reevaluate coming into the new year, heading that direction. So you've got questions on your mind about the great resignation, about jobs or careers or whatever. Ken's here to help. And we're here to help about life and money and any part of it. We'll just talk to you.

It's what we do. Phone number 888-825-5225. Colin is in Dallas, Texas. Hey, Colin, how are you? Rave, I am better than I deserve. How are you doing? Just the same, sir. How can I help?

Wonderful. Well, first off, it is an honor to speak to both you and Ken. Really big fans. Discovered you about a year ago, and unfortunately, got into a lease a little too late on that. And so my wife and I were in baby step two. Really, our lease is the only thing that's really keeping us outside of our mortgage from being debt free. So I had a question.

The buyout on this lease is about $27,000. And we could actually, the Kelley Blue Book value of the car is close to about $40,000. And so my question for you is perhaps should we actually take out a loan, do the payoff of this car, and then turn around and sell it, and then take that profit and put it toward a cash car? What's your household income? So it's roughly about $85,000, $90,000. Okay.

So the car is really probably, if you own another vehicle or two or a lawnmower or anything, you have too much tied up in car. So the car is too expensive a purchase. You've got to move it, right? Yeah. Okay. So why don to move it, right? Yeah. Okay. So why don't you just sell it? Well, so, yeah, so it's a lease right now.

I know. So that's what we're just saying. Should we buy it out? It works exactly the same way. You can go get a loan if you want to, but it works exactly the same way with a fleece as it does with just paying off a car. There's a car loan. If you had a $27,000 loan on the car and you sold it for $40,000, the buyer would give you a check,

and you would have to take it to the bank, and it would take a couple of weeks for the title to come in because the bank has stored the title in another city. And so you would give the buyer in most states, now I don't know how it works in Texas, but in most states you give the buyer a bill of sale, the keys, and the car, and they drive off, and the title will come a few weeks later when you get the title after you paid the car off.

Okay? Same exact thing here. You're just going to pay the car off. You're going to send them a check for $27,000, purchase and pay the car off simultaneously, and you're going to send them a check for 27 000 purchase and pay the car off simultaneously and they're going to send you a title okay so you're saying to find a buyer first for the car the buyer has to be willing to buy a car that has a lien against it got it like it does like pretend you had a 27 000 loan which is what you're talking about doing over at the bank anyway right if you want to go the bank and the

bank's not going to charge you any fees and just get a loan and pay it off that'll get the title in your hometown and you could go to the bank with the buyer if it's sitting at a branch or something right if you're dealing with a local bank that you have connection with if the title's sitting at your branch manager's desk and you run over there with the buyer, you can do the transaction all in one fell swoop. That makes a buyer much more comfortable, typically. Got it. Okay.

But if you're dealing with a bank that's going to hold the title out of town, it's not much different than where you are today. Okay. Now, you can also check with a car dealer friend of yours locally and find out how it's done in texas but that's how it's done in most states um some states are wacky on everything and it's worth checking on but um you know that that's the big thing the good news is you're going to get a car that you pay thirteen thousand dollars cash for and you're not going to have any debt anymore when the smoke clears. That's the bottom line.

Yeah. Yeah. And the only thing I would add to that is dealers are looking for cars. They're advertising everywhere. We'll buy your car. We'll buy your car. And a dealer, maybe where he got it from, probably buy it back for that account of money and take care of all that for you.

Yeah. If you can get 40 on a trade-in, I don't know what the sales tax rate is in Texas, but in Tennessee, we have no income tax, but we have pretty healthy sales tax. And so if you were to do a trade and walk out of a dealer with a $13,000 car paid for and let the dealer handle all this transaction, now you don't want to take a $10,000 good buy out of a dealer on the purchase car and on the sale of your car, you might save sales tax on the whole transaction. You would in Tennessee. And the only reason I say that is because it's just bustling crazy out there. Right now, it's crazy.

Traditional history, you'd take a hit on that. Yeah. But now, I'd kick the tires on it. No pun intended. Yeah. There it is, folks. Walked right into that one. Yeah, you did.

You just underhand pitched, man. That was a harmless one, thankfully. You know what I mean? I couldn't get in trouble with that one. But it could work out to where it's an easier transaction is the point. Might be much easier. Yeah. There you go.

Tony is with us. Tony is in Kansas City. Hi, Tony. How are you? Better than I deserve, Dave. Good. How can I help? So we were in Baby Steps 4, 5, and 6, and my husband got an opportunity to move to a different state, and so we made it to be closer to family. And the housing market here is double where we were at. No, it's not.

No, it's not. There's not a place that's half of Kansas City in the United States. Okay, we lived in a smaller area in Illinois, and a good-sized house was $200,000, $250,000. We're moving here, and they're closer to $400,000. There's lots of $250,000 houses in Kansas City. Okay, but we want to be in a good school district. Oh, okay.

That's not double. That's I want to live in a better neighborhood. Okay. Okay, so our question is we are completely debt-free, moved into an apartment that was 25% of our take-home, but we're looking at do we live in the apartment longer than five years to get in the neighborhood we want to or do we go um more than 25 of our income or 30 or more or you look in a different neighborhood then we're looking at at least an hour commute for my husband you know what

you got house fever girl and you picked out a house and you're trying to convince me to let you do something stupid i'm not gonna play your game okay don't do it you you got you got house favorites dripping off of you go take a cold shower and drive it around in a different neighborhood than the one you've been driving around in you're trying to box me in the corner with like two stupid decisions and I have to choose between them. I'm not going to do that to you. If you want to go do it, it's not going to be on me. It's not going to be because Dave Ramsey said do it. But no, I think there's another house in Kansas City for you, darling. It's the third option. See none of the above. This is the Ramsey Show. Most people know me as the guy who did stupid with a lot of zeros on the end. I made my first million dollars in my 20s the wrong way and then

went bankrupt. That's when I set out to learn God's ways of handling money and I developed the Ramsey Baby Steps. By following these steps, I became a millionaire again and this time the right way. After three decades of guiding millions of others through the plan, the evidence is undeniable. If you follow the Baby Steps, you will become a millionaire and get to live and give like no one else. And now I'm excited to share with you that I've written a new book called Baby Steps Millionaires, and it's available for pre-order right now. You'll learn how ordinary people built extraordinary wealth and how you can too. I'll walk you through how to invest,

build wealth, and bust through the barriers preventing you from becoming a millionaire. For those who are ready, it's game on. You can baby step your way to becoming a millionaire. Pre-order your copy today at Ramsey personality is my co-host today. Open phones at 888-825-5225. Tristan is with us in Davenport, Iowa. Hi, Tristan.

How are you? Better than I should be. Good. How about you? Better than I should be. How about you? Better than I should be. What's up? Well, long story short, I'm supposed to be moving to the apartments up near the Moline Western Illinois University facility for engineering. Well, I'm not going to have an income on there and they want triple the rent and income or a upfront payment fine by me. Can't do a student

loan. So thank goodness for that. And my family and I are having a little dispute about this. I'm thinking a gap year to save up as much money as I can and chunk it out. Like would be best in my head. And they're going, let's read or refinance the home and pay for it that way. What would you recommend here? Wow. A different apartment?

I have to go to an apartment. There's no dorms up there, and it's 100 miles from the nearest campus. No, a different one. Okay, so Western Illinois University has an engineering campus, and that engineering campus does not have dorms. I got that but the apartment that you have presented has terms that you cannot do so find a different apartment there's one apartment in the entire town no there's several and most of them have the exact same number. No, no, no, no, no, no, no, no.

Nope. Nope. You went to one. No, I've called 10. I have records. Okay. Okay. I'm calling bull, but anyway. Well, let's play it out. So you didn't say all of them okay how many how many how many apartment complexes are in the entire area you've done it i mean

there's a rich old lady with a garage rich old lady with a garage out back that you could rent her garage apartment for nothing and she'll work with you and oh by the way you need to work while you're in school i don't know what this crap is. You can't work. Fair enough. And pay for the apartment. It's just you. All you do is cover the rent. Living over a garage has got to be way less than all the fancy apartments

with all the stuff. There's a way to do this. But you haven't exhausted all of your options. Dave's absolutely right about that, and you have to exhaust all of your options dave's absolutely right about that and you have to exhaust all your options i i know you're right i've only got five weeks to figure it out though you ain't got nothing else to do you should be able to do this in 48 hours i could rent it you could rent something if you just get after it this thing called the interweb you get out there on that thing and you know thanks to al gore you could find out a lot of information

or just you know hey if if listen if i paid you a hundred thousand dollars to go solve this problem without borrowing money you could figure it out because you're a sharp dude you're getting ready to go into engineering that's right fair enough so here's the thing let me tell you what here's what you're bumping up against is two problems and i want to help you with those because it's going to help you with a whole bunch of things. Number one is if you will draw a line in the sand in your life that says, I don't borrow money, I have to figure out a way to do this without borrowing money, suddenly other options will come out because borrowing money is always the easiest way

to do almost anything short-term term but it destroys the long term but i mean if you want to get a car it's easier to go borrow money and walk off the lot with a car it's harder than working and saving up money to get a car if you want to do anything fill in the blank borrowed money is always the easiest up front and the hardest long term because you get to pay back payments with interest and it destroys and screws up your life and you look back later and kick your own butt because it didn't force you to seek out other creative alternatives to the problem the second thing you don't want to do is you don't want to deal in absolutes and fatalist thinking which is what ken's pointing out and that that concept is this when making decisions if the only options on the table are

dumb ones you need more options not not start rationalizing and declaring in your mind well this is in freaking nowhere near nothing and there there's only 10 apartments, and I called all 10 of them. And so that's it. Case closed. I'm screwed. And so now I have to decide which stupid thing I'm going to do of the two stupid options. And I will throw one other thing to add to that list, Tristan, and this is really important. You've got family that is recommending to you debt because that's what everybody else does because they think

it's going to pay off and they think it's normal and i think there's two things you're going to have to realize you have to do in this moment you wanted us to tell you that you shouldn't do debt and you know you shouldn't do debt so you're going to have to deal with either disappointing your family or resenting your family or finding a whole different way of doing it and them not understanding and that's okay that's what i'm saying he has to disappoint them well it's not like like he no no no what i shot the next door neighbor or something no no no no no i'm talking about the pressure he's feeling yeah he just went and got an apartment that's all he did yeah when family puts pressure on us here's what we have to do we do what's right and when

what's right may disappoint them and i don't mean they don't or confuse them yeah i'm just getting the point i'm making is you will resent them if you do something that you know is wrong exactly and so i always want to choose disappointing somebody versus resenting them you know why i think you've got i think you're you're obviously bright because you don't get into engineering school if you're stupid okay and um you know you've got an incredibly bright future and a gap year is not just not necessary i mean figure out a way to find some place to live get a get get somebody else that's got an apartment already that's a two-bedroom and become their roommate i don't know what it is but this idea that you have to come up front with money or take a gap year is

the only two possible options um it's just not accurate tristan just not accurate okay can uh that's two for two okay we got to stop a minute all right so when i'm teaching leadership to entree leaders people running businesses i teach them this same situation it's simple decision-making framework, okay? Human beings, if we're not careful, we can pick out something that we want to do, and we can't figure out a way to do the thing, and that's both of these last two callers. We can't figure out a way to do the thing that's in front of us, and so we box ourselves into a corner without enough options when you're making decisions. When you're making decisions, you need every possible option on the table until a good one sticks its head up.

Yeah. And when you're looking at things and you're saying, I've got a bad idea or another bad idea, and I have to choose between the two bad ideas, what's happening is you've convinced yourself that you have to do one of them and you're trying to figure out a way to justify, oh, well, it was the least of all evils. That's right. And that's just not good paradigm.

That's just not good critical thinking skills. So what it amounts to is you've got to be another way. There's got to be another thinking skills so what amounts to is you got to be another way there's got to be another way there's got to be another way there's got to be another way and you just keep asking that question until you figure out what that other way is and that's when you find the rich old lady with the apartment with the garage apartment out back and she thinks you're a cute young college student and you will clean her gutters for her that's right and you will mow her grass and you might end up with free rent and a new friend and you might end up with all kinds of things you know increased quality relationships in your life everything else

versus um i've got corporate apartments over here so i hear this all the time for instance with that's why i'm calling bs on his apartment thing uh because you know we've had different mz personalities anthony o'neill when he was here and others sit and call apartment complexes and they say do you have to have a fico score do you have to have a fico score do you have to have a fico score and nine out of ten of them say no but people tell me all the time you can't rent an apartment without a fico score because they call and talk to the one they wanted to rent right and so now I've got to go get a credit card because the one I wanted to rent. And so now I've got two stupid things.

Yeah. And they're boxing me in. More options. You need more options. Here's the key. You make the right decision, the big decision, then you manage against that decision. So I'm not going to go into debt while I go to school. I'm not going to go in debt to live.

So that's the decision. Now I go and I go in debt to live. So that's the decision. Now I go and I manage against that decision. That's the key. And I'm not taking a gap year. So am I living in a tent? Am I living in my car? That's right. Am I living in a rich old lady's apartment?

Am I getting a roommate? Have I gone up there and spent two weeks looking for properties? Because this is a problem I've got to solve. Ken Coleman, Ramsey Personality, is my co-host today on the debt-free stage in the lobby of Ramsey Solutions. Manuel and Zabina are with us. Hey, guys, welcome to Ramsey. Thank you. Hello. Good to have you.

Now, where do you guys live? Germany. All right, welcome to Ramsey. Thank you. Hello. Good to have you. Now, where do you guys live? Germany. All right. Welcome to Nashville. So this may be our first in-person international debt-free spring. Oh, really? You're German? Yeah. And you live in Germany. You're not Americans living in Germany. Okay. Wow. So how did you find us? Yeah, that's actually funny. About 10 years ago, someone on a Disney message board mentioned being debt-free and being on the Day for Amity plan and going to Disney completely with cash. That's cool. And that piqued your interest and you decided debt-free is a good idea. Yeah, a little bit, but it took me a while to get on board.

Years later. All right. So how much have you paid off? We paid off $119,000. Very good. And how long did that take you? 23 months. Good for you. And your range of income during that time? We started at about $180,000 and we ended at $230,000. Good. What do you guys do for a living? I'm an actuary. I'm an electrical engineer.

Ah, very good. Okay, cool. Well, thanks for doing all the conversion to dollars so our audience will have a clue and me will have a clue what we're talking about because i just spent half my time in the math but very good so what kind of debt was the 119 000 um it was two cars and um home uh remodeling ah okay all right so you found us on a disney message board but somewhere along two years ago, something happened, and you decided, oh, we're doing this Ramsey stuff. What happened?

Yeah, so back then, I was doing our friendances by myself, and I was always stressed out because for some reason there was just never any money left, despite me knowing in my head we made a lot of money. And then in the spring of 19, our golden retriever puppy got meningitis. And so on top of worrying if our dog was going to make it, I was also stressing out about how we were going to pay for the treatment. And that was kind of my I've had it moment. And I went online and I found your website and I remembered the name from years back.

And then, yeah, I bought the total money makeover, read it, was completely on board. And, yeah, then I talked to him and it was completely on board and um yeah then i talked to him and he was like um i'm the spender so he was just not convinced that i was really gonna do it but he said yeah not necessarily of the system but of the person doing it so yeah and then he said well let's just try it and then he saw how uh committed yeah, and then he said, well, let's just try it. And then he saw how committed I was. And then, like, a couple of months later, we were on board, and it was time to go. Game on. Yeah.

Okay. And both of you joined hands and are working on it together. And game on. And $119,000 knocks out in 23 months. Magical, isn't it? Yeah, well. Yeah. Way to go, you guys.

You've really sacrificed. I mean, you really poured into this. Did you sell anything big? No, just little things on eBay. But yeah, most of it was just, what do you say? Beans and rice, rice and beans. Yeah, right. What's the German version of that?

Is there, well, literally translated, it's Bohnen und Reis. But that's not a German dish. Oh, no, sorry. What's a cheap German dish? Oh, potatoes. Potatoes. Kraut and potatoes maybe?

Yeah. Something like that, yeah. That's awesome. Sounds pretty good. It actually does. Better than rice and beans, I think.

Possibly, yeah. Way to go, guys. Congratulations. And you just had to make a trip all the way to Nashville to do this? Oh, yeah. I wanted to come here from the Congratulations. And you just had to make a trip all the way to Nashville to do this? Oh, yeah.

I wanted to come here from the beginning. Anyway, this was an excuse. Yeah, no, I wanted to do the debt-free scream all along. But we're also here because a friend of ours is getting married at Disney next Sunday. So we're going to go to Orlando afterwards. So you're heading down to Florida. That feels poetic. You hear about Dave Ramsey as you're on a message board on a cruise.

And now you're going to do your debt-free scream and go ahead and celebrate at Disney. Yes. That's incredible. That's full circle. I like that. That's really great. I'm a big Disney fan, so that worked out. So while we were here in the States, we just wanted to have a huge car.

Oh, yeah. So we got were here in the States, we just wanted to have a huge car. Oh, yeah. So we got an F-150 for a rental. Of course. Massive. Way to go. Well, we are German, so we kind of love cars. Yeah.

Well, we know how to buy cars. So what kind of cars have you got at home? Yeah, we have two BMWs. Of course. And those were the dead. And that was our biggest fight if we were going to sell one of them i wanted to sell it because i was all in it was like she was more than i was yeah well i mean but 23 months you got them done that's perfect yeah good and they're great cars so well done i love it this is so fun okay so i've had a limited exposure to german culture um been there a couple times

visiting but um uh the the the stereotype is the best way of saying is positive on money that germans are very frugal in general is that true yeah um there's definitely unless they go to buy a bmw but yeah exactly that that's the thing um there's I don't think there's big credit card debt issues or anything but people do go into debt for cars but yeah I felt a bit weird um having that much debt and realizing I had that much debt and I think I felt a bit ashamed because I do think most Germans don't go into debt as much um they do um have mortgages so that's completely normal and accepted, but anything else, yeah, not so much.

Canadians kind of have that same thing, except they're very, almost, until this generation, a mortgage in Canada was just unheard of, and they picked up the mortgage thing and running with it. But Canadians are that way, too, in general. But again, there's massive numbers of both that do dumb things with money just like there is in america so and i'm sure there's there's actually a lot of germans who are in debt but we just don't talk about it as much i don't hear either they just wear it yeah uh good for you guys i'm so proud of you congratulations and thank you for making a trip to nashville to share this with us

we've got a copy of the brand new book baby, Baby Steps Millionaires, that will come out in January, but we're going to give you guys an advanced copy today, and also a copy of the Total Money Makeover for you to give away and pay it forward to someone. Maybe that couple getting married, maybe they can get started on that. You never know. So very, very cool stuff. Congratulations. Now, what do you tell people that the key to getting out of debt is?

You paid off $119,000 in 23 months, and very little of it was due to selling things. Being disciplined. Yeah, that's the German version of it. Budgeting, definitely, and being on the same page, and then just knowing that you want it. You really have to want it otherwise you're not going to stick with it because you had to say no like a lot yeah what was the hardest thing that you had to say no to uh vacations but then but then covet helped with that someone else said no

for you yeah yeah i like it okay cool well have a good time while you're here in america and in orlando you'll have a blast down there as well. We're so proud of y'all. Very, very well done. Congratulations. Good stuff. All right. Manuel and Zabina, and I probably destroyed that, but that's the best I can do at it.

$119,000 paid off in 23 months, making $180,000 to $230,000. Count it down. Let's hear a debt-free scream. Three, two, one. We a debt-free scream. 3, 2, 1. We're debt-free! Yeah! How fun! Woo-hoo!

Here's the interesting thing. The law of gravity works in every culture. Yeah, it's true. The truth works in every culture. When you know what the truth is and you function in that, it works developing countries, countries that are very sophisticated. It turns out the truth works in all of them. And this idea of, oh, I woke up and I'm going to get on the same page with my husband and we're going to get out of debt and we're going to sacrifice. We're going to say no to things. And now we free yeah yeah it's it's fascinating to see and i love little

nuances to the story first of all i got to say i love hearing the international countdown i hope that catches on i hope people from all around the globe decide to come here we'd love to treat you with great southern hospitality and hear your story but one of the things i think is great is is for those the whole tribe that's listening right now, when you just go on a Disney message board and you're there to book a cruise, but you say, you know what? Because of this Ramsey Solutions, Dave Ramsey guy,

we were able to pay cash for our cruise, and you just put it out there having no idea the impact that it had. I just love that part of the story. This stuff still works, and share it. Don't be ashamed. There was someone else that won and wanted someone else to win

and who knew they were going to reach all the way across the Atlantic. That's the butterfly effect. Really cool. Yeah, that's powerful. That's a good point.

That's a very good point. Very, very good point. This is The Ramsey Show. We'll be right back. Well, we all know the story of the tortoise and the hare. Of course, it's one of my favorites because the slow and steady tortoise wins the race every time. We often overlook the reason for the hare's downfall. He didn't lose because he was slow. He lost because he took a nap. He chose to put off what he knew he should do in favor of what he wanted to do.

For all you tortoises out there, we know how hard it is to keep pushing, fighting, hacking away at your debt, especially when you see all the hairs around you quitting their jobs, deferring their student loan payments, financing vacations in cars they can't afford. Wouldn't it be great to get a boost this time of year? What about our Ramsey Christmas Cash Giveaway? This year we're giving away up to $5,000, and you can enter to win at ramseysolutions.com slash giveaway. No purchase is necessary, and you can enter every day to increase your chances of winning.

For an extra dose of motivation just in time for the new year, our team is featuring a new deal every day. So today only, when you buy the Total Money Makeover book for $10, you'll also get Know Yourself, Know Your Money gift card for free. Make 2020 your best wealth-building year yet. Shop our one-day deal at our online store at RamseySolutions.com. Andy is in Stockton, California. Hi, Andy.

Welcome to the Ramsey Show. Mr. Ramsey and Mr. Coleman, great, and what an honor to speak to you guys. My wife and I are wanting to come to you for some wisdom today. So my wife and I want to know if we should pay off our house today and use it as a rental property and wait till the housing market cools off, or should we sell our house and apply the proceeds to a newer and bigger house since we have an eight-month-old son and possibly adding another little one to our family soon. Okay, I'm a little bit confused on the details. So you own a house today. You have the money to pay it off today. Correct. So what do you owe on the house? 120. And you have how much in the bank?

120 with a $20 dollar emergency fund on top of that okay you have a hundred you have exactly the amount you need without touching your emergency fund to pay off your house and your house is worth what uh conservative estimates are anywhere from 375 to 400. And the house you want to buy is how much? About $600,000 to $650,000. Okay. And what do you guys make a year? $158,000. Okay.

So when would you buy the two different times? In either case, you're going to sell the current home that you're in, whether you sell it now and buy later or buy now. Is that your question? Well, correct. So the idea would be whether or not my wife and I are kind of in the discussion phase of whether or not we should pay off because this house that we're currently living in is a house that I bought before I met my wife.

Yeah, but you don't have the money to pay cash for the other house, so you can't keep this house. Okay. It's got to go because you're essentially borrowing on your new home to buy a rental. Okay, that's what I thought you were going to say. I just wanted to make sure that I had a feeling you were going to say that. Oh, okay, so that was the question. Okay, you were going to say that. Oh, okay. So that was the question. Okay.

I misunderstood what the question was. Okay. Yeah, if that's the question, that's easy. No, we don't borrow on our current residence to buy a rental. And in essence, by keeping a paid-for home and then going and borrowing that much more, $400,000 more in debt on your new home, it's as if you borrowed $400,000 to buy that rental. And no, I would not do that. So just reverse engineer it, right?

Yeah. And again, I think here again, I mean, with the income they've got, the money they got in the bank, they can certainly go up to a $600,000 house, but only one eight-month hold? I don't know. I don't know that I'd want to jump. It's okay to move up to that. I mean, you've got a $200,000 mortgage making $158,000, and he's young. He's going to pay it off.

Put it on a 10-year mortgage. Yeah. Knock it out. Our question today comes from Blinds.com. They have a 100% satisfaction guarantee. That means even if you mismeasure or you pick the wrong color, they'll remake your blinds for free. You get free samples, free shipping, and with the new promos they run every month, you'll save even more.

Use the promo code RAMSY to get the best deal. Today's question comes from Joe in California. My family and I are relocating to Knoxville, Tennessee, and I'm finding it hard to secure employment since we still live out of state. We're debt-free except our current mortgage. When our home sells, we'll have $330,000 in addition to $40,000 in cash already saved for the move. I'm a skilled telecommunications tech, and I don't anticipate finding a job once we arrive, as my job types seem to be in high demand

in that area. We would live off of our savings until I find a job. Can we move as soon as our house sells and worry about finding a job after we get there? I would not do that. Seems to be some irony in this question. If it's in high demand and you're skilled, I think this is a couple of trips. Use some vacation time beforehand. You know you've got the cash. I would not live off of it once I move there. I would delay the move until I had something waiting for me because I just don't think it's going to be that difficult for you to move into Knoxville, Tennessee as a skilled telecommunications tech and get a gig. You may have to go there several times. You have to make several trips. Make some great connections ahead of time.

Go in and do interviews and find something. You've got some relationships in that area i just think this is a false narrative so i would not uh move as soon as the house sells uh without a job because i don't think it's necessary but you do have the savings so i don't think it's a bad decision yeah it is it's a bad decision all right well that's good don't do it i just don't i don't think it's unnecessary to do well here's what's gonna happen joe you're gonna move over there and then you're gonna screw around for six or eight weeks goofing off. Blow through too much.

And say, I was looking for a job. No, you weren't. But if you go get a job first, you'll go to work when you move. That's right. That's what will happen. That's just human nature. And you'll use, well, I didn't look that hard. And you're going to have all this crap in your head, all these reasons why you didn't go to work.

But if you've got a job and you start two weeks after you move, you know exactly when your start time is. You're hired. Your butt will be in gear. You'll be going to work. And that's what you need to do. You need to drive your butt over there and get you a job lined up and then put your house on the market.

It'll sell in 20 minutes, and then you make your move. It's very easy to do. But don't go over there and, I'm going to work it out. It'll all work out. You know, it's not like, you know, that's how people end up waiting tables that didn't want to wait tables. That's right. Well, and so it's not convenient from California to Knoxville, back and forth, to be in person. But guess what?

You have $40,000 in the bank. There's a thing called a jet airplane. Just do it. Get on one. That's right. Get on one. There's direct flights into Nashville. It's a beautiful two-and-a-half-hour drive over to Knoxville.

And probably a direct L.A. flight into Knoxville. I don't know. And you're not the only person in California coming to Tennessee. Oh, my goodness. I'm seeing those life plates everywhere. There may be more Californians here than Tennesseans by the end of the year. Uh-oh. It's getting scary.

Y'all don't California our Tennessee now. That's the truth. Open phones at 8 eight eight two five five two two five you jump in we'll talk about your life and your money so ken the beauty of a job market like this is that um i mean you talk about this in paycheck to purpose your best-selling book the one we just did but is this market so hot, if you will apply some basic principles, you can land something in 20 minutes nowadays. I mean, it really is a buyer's market if you're looking for a job.

Yeah, you're going to have to own the fact that, yes, I've got to put myself out there. But if you use different tools, and that is relationships, relationships, relationships, get yourself out there. Companies are in a situation right now, Dave, here's the last two job numbers. August and September, 4.3 million left in August, changed jobs, 4.4 in September. That's nearly 9 million people have changed locations.

It is a game of musical chairs out there right now and companies are paying more. They're willing to hire you. All you've got to do is put yourself out there right now and companies are paying more they're willing to hire you all you've got to do is put yourself out there and say hey i've got the experience i've got the skill and i've got the desire to be here you're going to be an extremely attractive candidate and so the the kind of the psychology around the job search i mean you have to flip the rock over for something well you have to but that's the point is most people don't want to do that but if you're willing to do it now it's going to be the best payoff for that.

Put the work in. Do what we teach in the book, From Paycheck to Purpose, the Ken Coleman Show website, kencoleman.com. We've got free tools, tools that you can pay for. And let me tell you something, now is the time to get it. It's not going to stay this way. Yeah, it's like a seller's market on a house. That's right. I mean, you know,

you just, stinking houses are going crazy. And it's a great time to sell, horrible horrible time to buy it's a great time to look for a job horrible time to be hiring yes but you know it's that's the process and so we've got an advantage here because we've got an unusually awesome culture and people want to work here but a lot of companies are struggling with that because they're not that appealing. This is The Ramsey Show. Did you know you can listen to The Ramsey Show on your smart speaker? Just tell Alexa, Google Assistant, or Siri to play The Ramsey Show podcast. Check out all Ramsey Network shows on your smart speaker today.