The Ramsey Show Highlights

Episode: "I Live Next To A Crack House"
Date: October 20, 2025
Host: Ramsey Network (Dave Ramsey & Sharon)
Length: ~8:45 (excluding ads)

Brief Overview

In this episode, Dave Ramsey and his co-host Sharon counsel a caller dealing with financial challenges after a reduction in household income, while facing an alarming new neighbor situation: their home is now next to a crack house. The discussion balances advice on mortgages and refinancing with the urgency of personal safety, ultimately focusing on what’s best for the family’s well-being.

Key Discussion Points & Insights

1. Caller’s Situation & Financial Background

• The caller recently had a baby, leading his wife to switch from full-time to part-time work.
• Their take-home income drops from $10,000 to $7,000/month; mortgage now ~40% of take-home.
• They have $150,000 liquid cash and owe $360,000 on the home they bought for $500,000 in 2024.
• Interest rate on their mortgage is 7.375%.
• They've become concerned about the deteriorating safety of their neighborhood due to a “crack house” next door.

2. Options Considered by the Caller

• Stay: Refinance or “recast” the mortgage with a significant lump payment to drop monthly payments.
• Move: Sell and purchase a smaller home with more affordable payments and (hopefully) a safer environment.

3. Financial & Safety Analysis (Dave & Sharon's Advice)

• On Financial Moves:

  • Refinancing/Reducing the Payment: Dave recommends, “I’d refinance it and put the 150 on it and just stay there. Unless the neighbors are so crazy that you have to move…” (03:06)
  • The caller expresses regret about not using their savings initially for a larger down payment, now recognizing the payment is a greater stressor than holding cash.

• On Neighborhood Safety:

  • Sharon bluntly states: “If I knew that what you’re telling me, I’d be out. I’m not going to keep my family there. It takes one crazy night.” (03:58)
  • Dave warns, “If you think your family is in danger, it’s a no brainer. Mic drop. I’m out of there.” (04:35)
  • Sharon points out the risk to the caller’s wife and baby at home. “You just never know when it spills over beyond there.” (06:16)
  • Emphasis that the possibility of crime or explosion next door makes all financial considerations secondary to immediate family safety.

4. Community and Tone

• The show takes a turn toward humor and personal anecdotes to underline the absurdity and seriousness of the situation.
• Dave makes comparisons to “Breaking Bad” and jokes about neighborhood legends, but consistently underscores the risk and the need to prioritize family safety.
  • “What is this, Breaking Bad? ... If you think you’re in danger, you should leave. No question.” (04:26, 05:56)
• Sharon reflects on her own family: “What I would put up with is very different than what Stacy would put up with.” (06:48)
• The mood is supportive, direct, and laced with Southern humor to keep the gravity balanced with practical advice.

Notable Quotes & Memorable Moments

• Dave’s Reality Check:
  “If you think your family’s in danger, it’s a no brainer. Mic drop. I’m out of there.” (04:35 – Dave)
• On Not Using Savings:
  “And now you figured out what to be scared of is the payment, not the cash?” (02:51 – Dave)
• On the Absurdity:
  “What is this, Breaking Bad?” (04:26 – Dave)
• Sharon's Bottom Line:
  “If I knew that what you’re telling me, I’d be out. I’m not going to keep my family there.” (03:58 – Sharon)
• Wife’s Opinion Matters:
  “Safe wife, happy life.” (06:56 – Dave)
• On Local Justice:
  Sharon jokes about local legends: “People have a way of dealing with those things in the holler.” (08:00 – Sharon)
• Humorous Wrap-up:
  “Things I didn’t have on my bingo card this morning.” (06:45 – Dave)

Timestamps for Key Segments

• 00:12: Caller gives background and outlines current financial stress.
• 01:38 - 03:06: Discussion of refinancing, use of savings, and the house’s interest rate.
• 03:37 - 04:26: Sharon and Dave delve into neighborhood safety and the seriousness of criminal activity next door.
• 05:00 - 06:16: Examination of practical steps if staying (recast/refinance vs. moving) and emphasizing the need to act if in danger.
• 06:26 - 07:39: Commentary on what spouses will/won’t tolerate and the importance of family safety.
• 08:00 - End: Humor about rural legends and the extraordinary situation; reinforcing the move.

Final Takeaways

• Safety over Finances: Financial maneuvers make sense only if family safety isn’t compromised.
• Act Quickly if in Danger: Both hosts agree – if there’s even a question of safety, moving is the obvious answer.
• Trust Your Instincts and Family: The spouse’s comfort should guide the final decision.

This episode delivered a blend of practical money advice and no-nonsense life wisdom, with humor and empathy, clarifying that wellbeing should always come before dollars and cents.