Updated over 5 years ago on . Most recent reply
Buying a House to Rent Out
If I were to buy a house to rent out and mortgaged the house. Which would be a better route 15 or 30 year fixed mortgage.
Most Popular Reply
Depends on your goals. A 15 year loan will have a lower rate but a higher payment, which will make your cash flow worse. Paying the loan down more aggressively with a lower rate will save you lots of interest in the long run -- perhaps at the expense of growing your net worth with leverage.
And a 30 year loan will be at a higher rate, lower payment, better cash flow and more leverage for wealth-building.
Cheers!
Julee