Hypothetical - $75k Equity vs $50k Student Loans
What would you do in this scenario?
Investment Property with equity of approximately $75k.
Student Loans of approximately $50k (Overall Effective Interest Rate 5.25%)
Would you sell the property to pay off the loans, or keep the property?
Extra info: The property is self managed in this scenario, but does bring in $700/month cashflow after all expenses, capex & debt service.
Most Popular Reply
@Anthony Hornbeck Since it's hypothetical I wouldn't have gone to school and would have no student loan.
Seriously, in my area the property would be appreciating about 5%, plus principal pay down, plus cashflow. So I'd be further ahead keeping the property.