Financial Advice for our current situation
Here are some quick points that may help with advice for us. We have been very conservative but I'm concerned we are not saving/investing enough for retirement. We will be turning 40 next year and have 2 kids (ages 6 and 7).
1. We owe $480,000 on our primary residence and would like to be mortgage free here in about 15 years.
2. Our previous family home is currently rented. Current value looks like it could be around 450,000 and we owe 265,000 (currently decided in 2 separate mortgages). It's my understanding being mortgage free on the rental is less important.
3. We would like to do some renovations and I'd like to cap those at no more than $100,000
4. We have about $80,000 in our emergency fund and I think we'd be comfortable keeping $40,000
5. I have about $25,000 in RRSPs and my wife has about $80,000. We have not contributed to our TFSA
I'm aware our money is poorly managed and for 2021 I'd like to do better. We each are currently making around $80,000 yearly gross and don't expect any large fluctuations with either although I am paid solely by commission.
Should I refinance the rental to fund the renovations and put some money in RRSPs/TFSA? I'm not sure what the assessed value would be of the rental is but would assume around 450,000. Similar homes are currently selling over $500,000 in the area. I look forward to the advice and constructive criticism. My apologies for the long post and thanks for anyone that got to the end.