How We Bought Our Home Debt Free

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Image by Casey Serin

I’m 30 years old and Barry is 31. Our first child is 3. We live totally debt free and just purchased a new home with…CASH. Before you start thinking that we’re one of “the lucky ones” or that we make a bunch of money, let me tell you something – I’m a stay-at-home mom and my husband is the sole breadwinner. We did not inherit a bunch of money – we worked our tails off.

Am I bragging? Heavens no! It’s through the grace of God and by living according to what His word says about debt that we’ve been able to accomplish this. We live on a budget and we buy used and save the difference.

Why am I telling you all of this? To encourage you. To let you know it IS possible to “live the dream.” It IS possible to buy a home debt free. It’s not just for rich people…it’s for normal people. People like you and me. This is our story. This is how we bought a home debt free. And we had you in mind the whole time.

Image by Images_of_Money

In January of this year, we put our house up for sale. It sold in three weeks. That was 100% with God’s help. Our buyer found our house by using the eBay Classifieds and she asked to buy it the first time she came to look. By the time we got done working with a terrible bank, it was the end of February. We didn’t have anywhere to go.

With cash in hand, we were ready to buy a home…but we hadn’t found one we liked yet. Here is where your situation might differ – we were able to move in and live with my parents. You might not have that option – if we hadn’t, we would have found the cheapest safe rental we could and holed up there for a while. All this time, we were still saving every little bit of money that we can.

Then, a house we had been looking at became available. The contract was broken when the lady backed out because the heat pump didn’t work. We put in an offer and got the house. Again, 100% God…we paid $93,500 in cash for the house – a foreclosure.

Image by david_shankbone

So, what am I telling you? Plan ahead…dream BIG. And then be smart. Like most, when we were first married, we didn’t have the ability to pay cash for a house. So, we bought a modest townhouse and worked our butts off to pay it off in 7 ½ years – so our next house would be debt free.

So, here’s Stacy’s advice…and it’s worth what you pay for it. ;-)

  1. Buy a modest home at first and work like CRAZY to pay it off.
  2. Live there for a while and save up like CRAZY to get a good amount of cash for buying a home.
  3. Sell your home – by owner if you desire and if you know how, in order to keep more cash in your pocket.
  4. Find somewhere to live – with relatives, in a cheap rental, or in a van down by the river.
  5. Look for a foreclosure or someone desperate to sell.
  6. Make sure at all times you’re saying that you have CASH – which is a huge motivator.
  7. Buy your home. And if it needs fixing, like ours, then fix it up as you have the cash.
  8. Sit back, and enjoy mowing the yard in a house you actually OWN.

We hope this is an encouragement to you. We’re just normal people who didn’t buy into the lie that says you MUST live with debt…because it’s not true. Not at all.

Live debt free y’all.

“Owe no man any thing, but to love one another: for he that loveth another hath fulfilled the law.”

Romans 13:8


Comment Policy: I love hearing your thoughts and input on what I write. Since I write about what works at my house, what pleases my handsome hubby and darling children; I'm sure we'll disagree sometimes. In those cases, do what's right for you and yours. As with any form of communication, please only post comments that move the discussion in a positive direction.

About Stacy

Stacy is the author of Crock On: A Semi-Whole Foods Slow Cooker Cookbook and Keep Crockin': A Poorganic Slow Cooker Cookbook, and a stay-at-home and homeschooling mom to her two children, Annie (June 2009) and Andy (August 2012). After an “awakening” in March 2011, her family switched to a more natural, whole foods diet. She likes to blog about how to live on less than you make and how to eat good food while doing it. Her passion is teaching others how to save money and she tag teams with her husband in this endeavor. At Stacy Makes Cents you’ll find information on how to save money in the kitchen, how to have fun with your kids, and how to be thrifty in all areas of life. Her passion is teaching others how to live debt free. Make sure to follow her on Facebook, Youtube, Pinterest and more to keep up with her daily antics.

  • Laura

    May I ask where you live? My husband & I are also debt free, renting & TRYING to save to pay as much cash as we can for a home (we have a good chunk set aside from his well-paying job the last few years but he has recently made the transition into a very low-paying internship & we are barely able to not dip into those funds) and even foreclosed homes in our area are not listed for under $160,000! It shocks me to hear you managed to get something for under $100k! But GO YOU!

    • Stacy

      Sure! We live in Southwest Virginia. :-) It was by God’s grace that we got this house….considering that the offer prior to us was $115,000 and it was turned down.
      Have you thought about trying to purchase a home on the courthouse steps? You can usually get them significantly cheaper that way.

  • Sierra Cannon

    Hi Stacy, My husband and I are in our late 20′s and we really want to be debt free. We own both our cars out right, and we are paying down our mortgage at a rapid pace. However, we are wondering if we ought to sell the house that we are currently living in and buy a smaller condo with cash. We bought a foreclosure last year at a great price and fixed it up. It is still a modest home but we could go even smaller since we do not have children. We do not want to regret selling our house, but the desire to be debt free might be worth sacrificing some of the conveniences we have gotten used to. If we kept the house, we could pay it off within a year, but we are hesitant to sink all of our money into a house. Any advice would be wonderful! Thank you!

    • Stacy

      Sounds like you’re INTENSE about paying off debt – good for you! If you can pay off your current home within a year and you want to live there for a while, I’d stay put and pay it off. Why? Realtor fees (if applicable), closing costs (even with cash), moving costs, etc., etc. will likely more than make up for what you’d save in interest by selling and buying something else. If you can keep up the intensity toward savings for 6 months or so after you’ve paid off the house, you’ll be in good shape with both no debt and good savings! Hope that helps.

  • Izzi

    Stacey
    I live in Sydney Australia. Its a long story but in short – we made alot of unwise decisions and now owe far more than we bought our home for! My heart is broken! We have repented and have asked God to help us find out way out of this debt – My dream is to be debt free. I struggle to see the light though at this point and my Faith is challenged from ‘every angle’. Can it still happen for me…I should have been debt free at 30 too and I am 42 now. :-(

    • Stacy

      YES!!! It’s never too late! :-) All you have to do is change the direction you’re doing – and ask for God’s help. Ask him to send you wisdom and direction – and a way to make extra income to get out from under the mess. :-) You can do this! And if you need specific help, Barry is always available to lend an ear!

      • Izzi

        thanks Stacey! I will do that! I need more consistency but I will ask the Lord to help me with this.
        I know after all, that it IS His Will for me to be debt free!
        thank you so much and Bless you!
        Izzi

  • http://www.mamaeconomics.net Jennifer

    Hello Stacy!
    I was delighted to find your website through a google search looking for websites about living debt-free. We too live debt-free. We own our home on one acre and have no other outstanding debt. We maintain this lifestyle on my husbands modest income and while having six children. We are currently saving to purchase a larger homestead, and plan to pay cash. It takes time, perseverance, and strength that can only come from the Lord. Congratulations to you for your debt-free lifestyle. I was blessed and encouraged by visiting your website, I look forward to reading through your previous posts. :)

    Blessings,
    Jennifer
    http://www.mamaeconomics.net/living-without-a-mortgage

    • Stacy

      I love meeting fellow-debt free mamas! :-)