My partner and I bought our house at the peak of the market and we're underwater on the mortgage, but they refuse to consider selling because they can't accept taking a loss, even though staying is costing us more money every month and limiting our other options.
More people experience this than they realize.
Loss aversion is preventing you from making the financially rational choice to minimize ongoing damage.
“Where Are You with Behavioral economics — biases in financial decisions?”
Peri can explain why this happens, help you decide if this is the right situation for you, and point toward the right journey or coach.
If this sounds familiar, the Library can help you find the bigger picture.