The Ramsey Show - App - Should I Quit My Job To Start a Business? (Hour 3)

Episode Date: November 30, 2022

Dave Ramsey & George Kamel discuss: When home insurance won't cover the value of the property, Whether or not to start your own business when expecting a baby, How to navigate combining finances and households when getting remarried, When you should sell property you own that is out of state. Have a question for the show? Call 888-825-5225 Weekdays from 2-5pm ET Want a plan for your money? Find out where to start: https://bit.ly/3nInETX Listen to all The Ramsey Network podcasts: https://bit.ly/3GxiXm6 Learn more about your ad choices. https://www.megaphone.fm/adchoices Ramsey Solutions Privacy Policy

Девочка-пай Live from the headquarters of Ramsey Solutions, broadcasting from the Pods Moving and Storage Studio, it's The Ramsey Show, where debt is dumb, cash is king, and the paid-off home mortgage has taken the place of the BMW as the status symbol of choice. We help people build wealth, do work that they love, and create actual amazing relationships. Thanks for joining us.

George Campbell, Ramsey Personality, is my co-host today. Open phones at 888-825-5225. Angela is with us in Jacksonville, Florida. Hi, Angela. Welcome to the Ramsey Show. Hello. Thank you. Thank you.

How can we help? Yes, sir. About three years ago, my husband and I, we purchased a 2019 triple wide manufactured home. Oh, no. Yes. And with the cost of living and everything else rising, we just found out that to replace our same model, it's $120,000 more than we can get insured for. And, you know, we've caught around, we've gotten additional quotes that will go up to about 190, but still nothing that would, you know, offset the cost if we had a, you know, a total loss. And we're kind of confused on how we should move forward because we are

You are what? We are pretty much debt-free. That's good. Well, you're going to have a total loss on this. Over the next 10 years, 15 years, it's going to become worth zero. They go down in value. Mm-hmm. So you've got to – i would sell it today so while you can get some money out of it before it goes down in value more every year you wait it's going to go down in value not up in value the home you own should go up in value triple wides double wides do not go up in value. Yes.

The hardest part about that is we do, I am on family land, which is mine. It's deeded to us, and I could sell it, but then we would have somebody we didn't know, you know, right beside us. I do have another acre of land that I could build on, but, you know, that's where we were kind of, you know, we're torn. But financially, we want to make the best decision for us. Because, like I said, you know, we are almost completely debt-free. We only have $12,000 vehicle payment, and we'll be completely debt-free. Yeah.

Well, here's the thing. What would it sell for today? Probably around $315,000 around $315,000. $315,000. That counts the ground. Right. What's the dirt worth? The dirt is probably worth about $75,000.

Probably worth what? About $75,000. $75,000. Probably worth what? About $75,000. $75,000. Okay. So you think that the trailer itself has a value of $200,000? Yes, sir. Okay. All right.

And so here's the thing. Ten years from now, the $200,000 is going to be $20,000 or $40,000. Agreed? Yes, sir. Okay. That tells me I have to do something. I don't know what it is exactly we're going to do, but I'm not going to ride that. I'm not going to ride the horse until it dies. The horse is sick.

Yes, sir. And so it could be that I sell it dies the horse is sick and so um it could be that i sell it without the land under it and move it somewhere or i buy a little piece of land somewhere move it to that land and then sell that package somewhere uh and get it off the family land and then build a house on the family land eventually um it may be it may be that this process takes a year or two um but the insurance problem is just highlighting the asset depreciating, losing values problem. It's telling you you can't do that. It's telling you you shouldn't keep it.

Right. So, you know, if the family land, who's on the rest of the land? My mother. Your land? My mother. Your brother. My mother. Oh, your mother. I see. Okay.

Yes, my mother. Okay. And what's your household income? About $115,000. Very good. Okay. Well, it might take a little time to execute, but one option would be to buy a piece of property somewhere to move this to, move it there, get the septic in, get it hooked up, have a full property there with land and trailer and sell the whole thing. You're probably going to get a lot more for the trailer if you do that than if you just sell it with no dirt under it. Agreed?

Correct. Yes. That would be my guess anyway. I fool with these things over the years a few times in the real estate business, but I'm not an expert on them. But I think you're going to – and here's the thing. It's very tempting because you're debt-free to just sit there, but we have to say out loud over and over again that you're getting ready to lose

a lot of money when you do that. Over a decade, over a period of time. And I would rather you make a shift here now that's painful and very, very inconvenient. And, you know, end up building you a nice home on there. And even if you took on some mortgage and you turn and get the mortgage paid off, that kind of thing. But just riding this thing all the way down it doesn't make sense yeah i'm wondering if there's an option where they hang on to the family land but they go move into a neighborhood and get a normal house that will appreciate and value until you get them but but you can't hang

on the land you can't leave the trailer there you got to sell it yeah and if you sell it you're going to sell the property next door your mama which is that's hard to do i mean that's very hard to do that's even more inconvenient than my idea because it's inconvenient family-wise um and sounds like they would prefer to live there next to her mother you know and so forth so yeah um so i i just want to see him build i'm not gonna it's not a panic but two years from now i'm not gonna be sitting in the same exact place watching this thing go down in value because your net worth is going the wrong direction and um and and just because you don't want to face the inconvenience of of somehow getting rid of this trailer yeah uh and it's going to be very it's

going to be a pain in the butt and paid for real estate is a big part of the building wealth yeah and keeping not paid for trailers no because that's backsliding yeah it's just a large car financially it's a large car you sleep in yeah i mean they go down in value it's that simple well there's a reason the insurance company's not messing with it exactly they're not going to cover it jacob is in albuquerque new mexico hey jacob how are you hey doing pretty good um my question is me and my wife are having our first child and i want to start a new business we both agreed on an action plan, but I kind of wanted to go over the particulars with you and find out, you know, if I might be missing something. Okay, cool. Tell you what, we are

heading into a commercial break. It sounds like a really important question. I'd like to get the details and give you a proper answer instead of trying to do it in 24 seconds. And so if you'll hang with me, we'll come back to you, Jacob, and Georgia and I will walk through this with you, my brother. This is the Dave Ramsey, or the Ramsey Show. Where did that come from? The If you've gone through Financial Peace University, chances are it's because someone in your life lit a fire under you. Mom and dad gave it to you. Your pastor offered it at your church.

A friend wouldn't stop talking about it. So you finally took the class. Then when you started working the baby steps, they worked and everything's different. You changed your entire future. Well, now you can light a fire under someone else. You can give someone you care about, Financial Peace University, and share the same hope you've discovered with money. And with Christmas coming, this is the perfect time to do it. And when you give FPU as a gift, they get more and more and more.

It's more than just the course. You're going to get the premium version of every dollar. You're going to get a group call with our coaching team uh all of this this christmas give the people that you care about a gift that actually matters it's called hope it's freedom by financial peace university is a gift go to ramsey solutions.com slash give fpu g-i-v-e-f-p-u j. Jacob is with us in Albuquerque, New Mexico. Hi, Jacob. Welcome to the Ramsey Show. Hello, hello.

We were talking about you guys, and you're thinking about starting a business while you've got a baby on the way. So what do you do for a living now? Right now I'm in pest control. Okay. What do you make i'm gonna make 35 500 a year okay and does your wife work outside the home yes she's a teacher and what does she make she makes 51 900 okay and uh what kind of business are you thinking of starting? A pest control business.

Okay. Which would put you in direct competition with your current employer, so you cannot do it while you're currently working for them, right? Right. Yes, sir. How old are you? I'm 36. How long you've been doing pest control for four years when's the baby due in seven months yeah but um so just a little bit of what's been going on what we're looking at numbers wise um you know we only owe on the house and uh we've got $7,900 in the bank

right now and with our bills and everything by, I've ran the numbers for seven months. I'm thinking we could have anywhere from $30,000 to $31,500 set aside. So that's kind of the reason I was feeling a little more confident. By the time the baby gets here. So when are you talking about starting the business? Well, probably like, you know, within the next year, within the next 12 months. Okay, so like five or six months after baby comes?

Yes, sir. Okay, well, that makes more sense than sense than now right I wouldn't do it now okay I love the idea of people being in business for themselves that want to be I believe in small business I believe in self-employment I love the idea i like your hustle i like your i like your mentality um what we normally would tell people to do you don't have this option is to start your business as a side gig and grow it until it gets almost as big as your main gig and then when you walk out the door you don't feel it but what you're doing is you're just jumping out of the airplane and sure hoping the chute deploys. I see.

You know, you're going from $35,000 to zero, right? Mm-hmm, yeah. Because you really can't, with good ethics, work on getting customers while you're working for somebody in the same business, right? Right. Have you looked into the startup in the same business, right? Right. Have you looked into the startup costs of a pest control business? Yeah. Yeah, I have. What does the cost look like?

Well, I mean, it's really not, it's not very expensive. It's under $10,000 because all you need is equipment and, you know, licensing and things like that. And you'll need money for marketing, a website. You're going to hire people? No. Like, at first, I would work by myself. Where are you going to get your customers? As far as marketing? Well, I was thinking either like a Google search business

profile or, you know, radio advertising. Which will cost you money. So that's another thing to factor into the equation. There's pest control companies that have been around a lot longer with more money, with more marketing, with more Google history that will show up way before you do. And so I would have a really strong plan of attack that doesn't involve trying to sink a whole bunch of money into marketing up front. Right, yeah. Well, also, too, I mean, I'd be hitting the pavement, you know. Door to door?

Going to businesses, yeah. Going to, you know, hitting neighborhoods and kind of making sales that way too. Okay. Why would I use you versus ABC that's been open for 10 years? Because I have the experience and I'm going to show the dedication that ABC wouldn't show because they're just hiring somebody that's working for minimum wage that's just going to go in and spray real quick, not even do an inspection. I'm going to come in and do an inspection every single time.

Okay. What I just asked you is called your brand differentiator. How is your brand different from your competitors? And you gave a really good answer, by the way. So you need to get that narrative down, because that's what people are going to be asking themselves. Why are you different? Why would I care? I've got someone that sprays my building now. Why would I change? I mean, you're going to find a few places

that have zero pest control, but not many. Most of them, you're going to find a few places that have zero pest control, but not many. Most of them, you're going to be asking them to change companies, not start from zero, which is good news because they're already spending the money. They're used to spend the money. You're not trying to get them to spend more money than they're spending now, but you are getting them to change, and change people don't do unless they got a a reason, right? Mm-hmm. Yes. Yeah, I think you need a big war chest here, and I'm going to send you a copy of our book, Entree Leadership, which is how we run business here.

We've got a whole brand called Entree Leadership, works with small businesses. We work with a lot of pest control people around the nation, as a matter of fact. They come to our Entree Leadership conferences. I've met a bunch of them over the years years and so it is a good business to be in it's a good service you provide there's a lot of different ways to do it um uh and a lot of things you can do that uh brand differentiate i endorse one in one city that uses all natural oh yeah chemicals i hung out with one in San Antonio. Long time advertiser. Been with me for 15 plus years.

We've been endorsing them there. So it's a great, great idea. Great brand differentiator. You know, all natural chemicals. But I do my homework and go, what are all the competitors in the area? What are they doing? How are they marketing themselves?

How can I stand out in the crowd? What's the pricing structures look like? All of that. You really, really, really need to do your detail. The good news is you got a year to get all that ready before you have to make the jump the the scariest part of the whole thing jacob is you're going to go from you know making money to zero day one because you really can't go lay a foundation under the business in terms of customers or income with integrity while you're working for your you know getting ready to turn your future thing into a company it may be wise to jump into a different kind of sales role where

you could start this pest control business on the side take a different job exactly work in a completely different field that would give me some financial peace if i had a new you know what if you could do something else making 35 000 anything for one year while you do this um and then you're not a competitor and you could begin to build your pest control business a little bit on the side that's a great idea george that excites me it just makes me less nervous for him you know that's that with a new baby that's as smart as like ken coleman wow good good in ken i'm getting on your level idea i'm excited for a really good, really good idea. That's cool. I like that.

That's the way you do it, Jacob. Because the biggest thing that's bothering me about this is the zero, you know, 35 to zero. A lot of risk. That's the thing. And with a brand new baby. It's a recipe for stress. Sharon would not allow that. It's a recipe for stress.

Actually, she would. But, yeah. You did it. Yeah, I've done it. So, there you go. This is The Ramsey personality is my co-host today in the lobby of Ramsey Solutions on the debt-free stage John and Valerie are with us hey guys how are you good how are you good to see you good to see you welcome where do y'all live Lancaster Pennsylvania Lancaster I love it love

it love it welcome to Nashville how much debt have you paid off? $223,000 in just under four years. Good for you. And your range of income during those four years? It started off with about $70,000, and that was with two incomes, and then it went to $112,000 on one income. Wow. Woo. Nice jump.

What do you do for a living? So I am a stay-at-home mom and John is a realtor. Ah, okay. And real estate business has been better than the old job. Yes. It definitely was. So it's funny, Dave, actually, I lost my W-2 job, nine to five job in 2000. I almost said 2009. In 2019, February of 2019, we were basically both making $35,000, $40,000 a year there. Scrambled to figure out the next thing. Got into real estate that summer. Tried to... Basically, it was beans and rice for a few months until I started making money in real estate from when I lost my job in February to the next June. I think I made about $15,000 in real estate. So it was slim pickings there for a little bit.

Yeah. But she, and then finally, you know, we were able to finally, when our daughter was born, our second child, she was able to stay home. She worked to kind of make ends meet for a while. By then you had gotten it moving. Yeah, that's right. Good. What kind of debt was the 223,000?

All the stupid. Everything. Mostly John's. Thank you. Obviously, once we got married i took it on too but those bus tracks right there i see them yeah um but it was credit cards student loans car yeah and then the house the house you paid off your house yes sir all right look at it weird people yes sir i love it so what's the house worth uh probably now house worth about 275 but we bought it was worth uh we bought it for 165 so we owed about

150 on the time so actually um the man to your right needs a raise so i actually met george um last august i i have a podcast for realtors and I was at a conference in Nashville called Podcast Movement, ran into George. He was super kind, like everyone that you employ, super awesome. Talked to me for a little bit, said, oh, I have family in York. I love Lancaster. And he, I said, can you record a quick video to send home to my wife? It was hilarious. He basically said, we wish you were here instead of him, which is true. She's the better half. And then he kind of said, talked talked about his and whitney's journey and said i think you guys will pay off your house uh even faster than you think it was our goal was kind of by the time i

was 35 and uh we did it uh yeah so august i met him and by june it was paid off so wow so the man needs a raise dave i'm just saying i didn't know i had that kind of power John you did so not only amazing he's a prophet I got you on board and sped up this whole process I manifested it yeah and we were on board so really like we got involved from a through a church our church at the time four years ago um I was not feeling it at first and then when I wanted to buy a house or buy something she's like yeah well you look at these numbers and tell me how we're gonna do that yeah it was we were doing a lot of Dave-ish at first and then don't do Dave-ish guys stop yeah stop it took a little bit to get him on board because I always grew up with the budget and everything like that but he didn't and so we learned a lot through our five years of marriage and um so then once he got on he was like he got on like he was listening to the podcast and everything every day at work and everything i needed a life really yeah

he did he was a little obsessed well congratulations you guys how old are you now 30 34 33 34 okay with a paid for house so and no debt. So you did make it before 35. That's right. And the house is paid for. Yes, sir. House and everything. You're officially weird people. Yes, sir.

Way to go. Thank you. Congratulations. What do you tell people the key to getting out of debt is? I think you need someone that's going to encourage and mentor you, and you need to be on the same page. I'll give a shout-out to a buddy, Vincent Puglisi of mine. He runs a mastermind that I'm in.

Every week, I learn how to grow in my business, grow as a person of faith, family through that mentorship. And really, I think being on the same page, I think the biggest thing that we've kind of learned is in the class, and we've led the class a couple of times, Rachel comes on and talks about how, I'm the spender, Winston's the saver, etc. And so I think like having people that are like, oh, no, we don't all like save all our money. We want to spend money. We want to go to Chick-fil-A. We want to go to Target. Helps people.

I mean, I think like I needed that, you know, freedom to spend some money. And she was willing to say, okay, I think at first you wanted spending money to be like $50 a month. And I thought like $50 a week or like a day. So the balance of it too. Wow. Yeah. Way to go, guys. you wanted spending money to be like $50 a month and I thought like $50 a week or like a day so the balance of it too so wow yeah way to go guys very very very well done excellent excellent job all right now you're teaching the class what do you tell people the key to getting out of debt is um budget for one uh follow it to a t um which can be very hard, but don't give up. Just keep plugging along.

If you mess up, then it's okay. Grace, grace, yep. There's another day and you can just keep going. I think the coolest thing too, Dave, is so I sell real estate in Lancaster, right? I meet clients and we've been open and honest about our journey the entire time. I mean, we didn't say we're broken. So, I mean, June of 2020, I thought we were going to lose our house. I had barely sold any real estate.

We asked family if we could move in with them. It wasn't a great situation for them at the time. And from there, we were like, well, then we got to do something about it. Kind of like we're passionate about getting out of debt, figuring this out. We thought we'd have to sell our house. And then literally 24 months later, in June of 2022, the house was paid off. And so I would just encourage you, I mean, we were living off $40,000 for a while. So I think so many people listen to the show and are like, oh, those people are rich. No, that's not

true. You just got to get on the plan. Maybe you do make $40,000. Okay, so what can you cut in your budget to make it work? And by the way, I love iPhones. You guys don't need a new iPhone every six months. I'll just go ahead and say that. That hurt, but it's true. Spoken like a true iPhone user. I think you can fill in for us if we're out. Yeah, I love this guy. Got the podcast down.

I remember his passion from when we met at the podcast movement. I'm so proud of you guys to see you here today, less than a year later, having done the hard work and went full intensity, not Dave-ish, but all in. It's a game changer.

And I think, George, even, I mean, people say all the time on the Facebook channel like how you'll respond to Instagram messages. I mean, I know you're busy, but I think like even you

being willing to do it. I met a great person on your staff, Jeremy, earlier when we were out in the lobby. People on your staff coming down and meeting people. I mean, if you guys, like, what you see from Dave,

what you see from George on the show is, like, real life. I've met him, and I think that really says a lot about your organization and the people that you hire. I have told her, I apologize to my in-laws, but it'll be when the kids are adults that I want to come work here when all the babies are grown up. Come be part of this life-changing stuff you guys teach. That's awesome.

Very cool. Well, we would love to have you. You're our kind of folks, obviously. Way to go, George. Thank you. Who knew it happened to stand in our action? Man, I'm telling you, you're incredible. You never know who you're going to meet.

Check that next page out. I think we are going to give you a raise. Instead of one beaver pelt, I'm going to give you two. Yes. I needed a matching one. This is perfect. Well, you guys are an inspiration. Call back from an earlier hour. Okay. Thank you so much. Well done, you guys. This is perfect. Well, you guys are an inspiration. Call back from an earlier hour.

Okay. Thank you so much. Well done, you guys. Very well done. Hey, we've got a copy of Total Money Makeover for you in the Live and Give bundle along with the Baby Steps Millionaire's book, whatever that book's called, and the Financial Peace University membership. You'll be able to give that to somebody.

Obviously, you're leading classes. You'll find a deserving person that needs that. very very well done we're proud of you guys thank you so much great work all right bring the kiddos up let's introduce some names and ages so this is caden he's three and lilliana is one and a half all right he was so excited to meet dave ramsey and george george who George Camel. George Camel. George the Camel. He doesn't get cuter than that. And Dave who?

I love it. Dave Ramsey. Dave Ramsey. All right. I love it. All right. John and Valerie, Caden and Liliana from Lancaster, Pennsylvania, 223,000. How's it everything?

Did it in four years, making 70 to 112. Count it down. Let's hear a debt-free scream! Three, two, one. We're debt-free! We're debt-free! Way to go! Well done!

Well done. Man, what a cool couple. Love this. Who says you need a house payment? Not these guys. Not these guys. 34 years old. Well done. Man, what a cool couple. Love this. Who says you need a house payment? Not these guys. Not these guys. 34 years old. Mic drop. This is The Ramsey Show. Kanskje vi kan ta en kvarter? our scripture of the day philippians 2 4 let each of you look not only to his own interests but also to the interests of others booker t Washington said, The happiest people are those who do the most for others.

The most miserable are those who do the least. No question about it. You know who the other happy people are? They're the ones that give. Generous people. It's very difficult to find someone who's outrageously generous who's not also outrageously happy. There's a correlation there.

You ever seen anybody that was depressed that was generous? Not that I can think of. Doesn't come to mind. Always got a big smile on their face because it's just a lot of fun so every year we do an annual giving show we'll be doing it on december 14th in a couple of weeks if you have a great giving story or receiving story that would inspire others in this whole area of generosity we need your help we need to hear your story and america needs to hear your story and the world needs to hear your story on this podcast this youtube channel and this radio show not necessarily in that order there you go and uh so what do you do email us at ask at ramsey solutions.com the email address is ask at ramsey solutions.com put giving in the is ask at ramsaysolutions.com.

Put giving in the subject line. Put a little bit about your giving or receiving story and why it's inspiring. Team will get back to you, and we will set you up to be a caller to tell your story on December the 14th on our special annual giving show. Samantha's in Utah. Hi, Samantha. How are you? Great.

How are you, Dave? Better than we deserve. What's in Utah. Hi, Samantha. How are you? Great. How are you, Dave? Better than we deserve. What's up? So I'm getting married. My fiance and I are getting married in three months and we are trying to combine our finances and households and everything like that. And I'm just looking for some advice as to how to do that. I'm in Baby Step 3B. He is, well, for me, has learned all about your program. He's enrolled in Financial Peace University. We're taking Financial Peace University as of January, Christmas present. And he has some debt.

I obviously, parents, off and have a savings um our big question is is where to live his um his place is um expiring the lease is expiring i'm on a month to month and we're trying to figure out do we buy especially in this market no okay you're in debt okay you don't buy until you're out of debt and have your emergency fund inflation your down payment you knew that yeah you're not in debt but we are in debt when when we have a we you're not a we yet but you'll be a we soon yeah and um so one of the big questions we have is also we make a pretty good income and it's something that we can clear up pretty quickly. Good. But wondering, yeah, when do we live in a 1200 square foot apartment or do we try to maybe rent something a little bit bigger? Well, how many rooms do you need?

How many kids do you guys have? I have three. He has two that are living at home that come to visit usually during visit times. Okay. Who's living in a 1,200-square-foot? I am. With three kids? Yep. Okay. And that's the month- the month to month and his lease is expiring

and will not renew i he can renew it it's just it'd be locked in for another year and um it's more expensive than mine okay what's your take-home pay going to be once you're married um we'll have a combined of about 450 a year whoa that's good news sweet yeah i would go i would go rent something else for six months that's nice and that you guys can get settled into and begin to get the um the kinks worked out of the comp the combining of the households you will make a better house purchase decision after you have lived together a while and been married a while than you will from just being engaged.

You'll probably buy a different house six months after marriage than you would buy before marriage. It's probably true. We were looking at one, though, and it looks like that to sort of be able to combine everything together we're going to jump from about 1100 a month to about 3000 a month so what you make a half a million dollars a year so what yeah but i'm a nerd i know but it's not

you're not a nerd you're a cheap nerd my kind of people. We love you. We think you're amazing. But yeah, you're right. And the point is, though, okay, I'm not signing you up for this for 10 years. I'm signing you up for six months. Okay.

And make sure it's a six-month deal. Okay. Don't sign a three-year lease. I mean, because you're, you know, get in there, get settled, get the kids used to the rhythm of the other ones visiting on the weekends, all this kind of stuff, and the flow of bedrooms, and there's a lot of family dynamic that you guys are going to, that is going to affect your house purchase. And when you actually are living in it versus just perceiving how you think it's going to be, it is going to be a little different. It has to be. I don't think anyone could look at it from the outside and know i know i couldn't yeah yeah so yeah just give yourself a little mercy here but yeah i don't think you have to cram into a

1200 square footer because it's cheap and you but you with your combined income being so huge oh my gosh we're talking like 30 grand at least a month take-home pay. More. I mean, so you've got plenty of wiggle room there, even paying three grand a month for rent. And again, it's just a temporary thing. And then, yes, go buy you a house by the end of the year. No question. End of 24. Or 23, rather.

Not 22. But, yeah. Yeah, absolutely. Adele is in Billings, Montana. Hiana hi adele welcome to the ramsey show hello thank you so much for taking my call sure a little short on time go straight to your question yeah so my husband and i are 62 we're totally debt free we have about one and a half million saved in various like money markets a brokerage account, you know, with Edward Jones. Way to go. And then, yeah.

And we own a home and it's paid off and we have, it's about worth 700. Okay. So my sister has property of mine in California that she and her husband farm and they want to buy it for $500,000, but we're not sure if we should keep the property just to diversify and have this property that we get about $6,000 a year for, 6 to 12. Why would you work on a 1% rate of return? I don't know because she's family.

I don't know. I would not buy a piece of farm property that gave me a 1% rate of return. It's half of your net worth or a third of your net worth. Okay, no, I'm not sure. So this was inherited land. That's mine. Oh, I'm sorry. I thought you said you were going to buy it.

No, she wants to buy it because they're the farmers. Oh, you'm sorry. I thought you said you were going to buy it. No, she wants to buy it because they're the farmers. Oh, you own it. You own it for half a million. Yes. Okay. She wants to pay me half a million. Or should we keep it? That's what we're wondering.

Should we hang on to the land just to have it? For the revenue it's generating? Because it's only generating six to 12, you said. It's not much. Yeah. It's not much. Why would you? Okay, right quick. What would be the reason you would keep it? it's generating because it's only generating six to twelve it's not much yeah it's not why would you know okay right quick what would be the reason you would keep it i have no i i don't know if it's

just smart to keep something besides money in the bank no you can you can put a half a million dollars in a lot of different things that does better and that is money in the bank that you can get one thing i think i i think the the only reason i would keep this property if i were you would be just that it means a lot to me emotionally because it's an old family farm but it's staying in the family if you sell it to her right right right it is five years now, how much are you going to hate yourself for selling this property? Any at all? None. Sell it.

Unless it triples and then we sell it. No, no, no, no, no, no. I think you can buy property that will go up in value faster than that. Okay. I'm not sure it's great investment property. I'm not positive it's not, but I'm not sure it is. I think you can make other real estate investments in Montana, for instance and even investing that if you take 500 into that brokerage account it could generate way more than 6 or 12 a year i'd bring a half million to billings and invest

it around there in real estate if you want to own some real estate for investment purposes but if it if you had half a million dollars sitting on the counter and you didn't own this you wouldn't go buy it. That tells you not to keep it. That tells you not to keep it right there. That puts this hour of the Ramsey Show in the books. We'll be back with you before you know it. In the meantime, remember, there's ultimately only one way to financial peace,

and that's to walk daily with the Prince of Peace. Christ Jesus. Dave here. You can find all of our shows with the Ramsey Network app on your smartphone. It's the only place to listen to the entire back catalog of episodes. Download the Ramsey Network app in your favorite app store today.