My name is Philip Stanfield. I am a current dental student, and I've been searching online for an answer to the topic of my forum post.
I want to know if it is possible to roll my student loan debt into a loan for a commercial property like an apartment complex?
I've read online that you can roll this debt into a mortgage, it just doesn't say anything about commercial loans. I would search for a value add opportunity to build up the necessary equity to offset the extra debt on the commercial loan.
It's probably just easier to buy a value add apartment and use the profits when i sell the apartment to pay off my student loans afterwards.
I'm not sure which option would be better in this situation. Thank for any and all of your responses!
@Christian Stanfield Does your student loans have lower interest than your commercial loan? I am not 100% certain of this answer but have asked my CPA similar questions, and I believe the answer would be you are not supposed to because technically your student loans are not a writeoff to your business, but in reality it is unlikely you would get caught doing it. I asked my CPA this question because I wanted to writeoff loan interest from a 401k loan that I used to buy investment property, and they said the loan is in your name, so it's not interest to the business it technically interest in your personal name.
@Christian Stanfield I've had a commercial loan in the past where they paid off a credit card and a car loan. But the key was that I was renovating the place and the ARV (after repair value) was enough to support the payoff and the rehab funds they were providing me. I also put down 25% on the initial purchase. The total loans were small though, I believe $3k for the card and $8k for the car.
So it can be possible..
Super helpful information. Thank you!
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