With so many hurdles this year (Corona, layoffs, loss of work, material delays, worker availability, childcare, family conditions etc), our renovation budget and timeline have been heavily affected. We have been pushing ourselves very hard physically and financially the whole way - but we are still likely to pull up short and not be able to complete what we need to on time in order to get the evaluation done. We could do it, but that will only happen if we can have some more funds to add work hours between now and Christmas.
So, what we are going to try and do is get an extension on the evaluation deadline so that we can get it finished, plus get a period of paying the interest only on the loan for six months. While not ideal, this gives us some breathing room on time and a little extra that we can put toward the renovation. Over the last six month period, we have been putting everything we have from our own paychecks into the house each month to keep the renovation going as we also have postponed some of the payments to early January, which will immediately eat everything we have on hand.
I drafted a letter and sent it to our loan manager about all of this, for as soon as we signed we had already identified that there could be potential supply chain and labor shortages and we wanted to be sure that the option to adjust was available. She responded a few minutes ago that she will look into it and will do what she can for us. For the bank, I don't think they mind extending as over the space of the loan period, it will accrue a few thousand more in interest.
Considering what we are doing, this doesn't change much for us long-term and of course, if in the next few years crypto does its thing to eve half the level that I think it can, it won't matter really at all, as I would use a chunk of it to cover the entirety of the loan if possible.
Back in the day, I could have used my holdings to cover the entirety of my last apartment loan, but I ended up not using any crypto at all and instead held and watched the entire value drop to a fraction of what it once was. For some, this would seem like a very stupid decision and perhaps in some respects it was, but I also consider that if I had done so, I would be in the position I am now.
What I mean by this is that if I had "cashed out" back then, I would have been debt free, but I wouldn't have likely bought back in and wouldn't have been able to even if I tried to the level I currently hold. Buying and investing is harder than many credit, as there is always something else that desires the attention of resources, which makes it unlikely that I would have used the savings from the lack of loan to invest directly back into crypto. A lot of people do not consider the opportunity cost of investing, where funds get tied up and are "out of reach" to affect lifestyle. We can see this from the inverse though as people say that they have "nothing to invest with" yet seem to consume a large amount of no-ROI products and services.
While my account peaked at about 110K worth when Steem was around its highs, HIVE would have to be around 70 cents for it to be worth the same as it was back in 2017/18. 70 cents seems a long way away, but is it? I don't think so. If it hits a dollar, that will add about 40K to the account total - which will put it 50K up on the ATH of my account value. Is that bad in 3-4 years? I don't think so, as this isn't a main source of income, as I work. Crypto is all about potential. Currently my account is worth about 20K, would I have spent that over the last 3 years to build my position from zero again? Potentially - but I know many who cashed a lot out and didn't buy any back - Which I think is quite normal behavior, as once out, the fear of getting back in can be even higher than that of a new user, as the experience of crashing is seared in the mind.
But, all crypto consideration aside, I have to think about our short-term needs for the house and life and make sure that we can manage through this relatively short period of our lives and move on from it as soon as possible. One of the benefits of sinking everything into the house is that we have a habit of sinking it all into the house, so hopefully we will be able to maintain a relatively strict saving strategy once the material and labor cost bills stop falling on our kitchen table. This would mean that if things remain "relatively" stable, we will eventually pull through the other side and be okayish without having to be under the constant stress of financial hardship.
I say "relatively" stable because with the current economic policies being implemented around the world, I do not think that it is going to be that stable and we are going to have to make sure we have provisions for adverse financial conditions. This is where crypto might step in, something I wouldn't likely have much of if I had made the "smart" decision a few years ago and sold. As always - time will tell.
[ Gen1: Hive ]
Posted Using LeoFinance Beta