100k in the bank and 100K in debt
Hello all! This is going to be a rather long post, but I am very perplexed on what I should do with my very current/upcoming situation.
Long Story Short, for all intensive purposes I am about 100K in debt
6k left on car loan-$225
3k left on a personal loan used to pay off a delinquent student loan-$230
7.5k personal student loan-$90
49K unsubsidized student loans consolidated at navient-$150
29k Subsidized student loans consolidated at navient-$100
I got that degree though! lol Monthly payments for all combined total $800 per month
Another long story short I was involved in a very bad accident with a tractor trailer and will receive after lawyer fee's and medical bills paid somewhere in the neighborhood of 100K. Sometime in the next 7 days
A little about me and my situation. I currently work for a State Government Department in Law Enforcement (Ohio) and have done so for the past 5 years. I make approximately 45-47K a year. I have read finance books and real estate books, I received my Real Estate License in September of this year (Ohio) and am now along with my full time job a realtor at a Brokerage. Just starting out trying to build clientele and income to help assist and hopefully do this full time along with investing.
I make all of my payments for each of these loans every month and on time.
I have read that successful and wealthy people buy assets, receive cash flow , and use that to pay their liabilities. I am really at a loss as to weather I should take all the money and pay off debt and be debt free, or pay off half the debt and invest the other half making money on it and use that to pay down debt or Use all the money for investments and try to gain as much leverage with it as possible using it to pay off debt. Many options out there, I am ready to start investing in real estate, and I could use a portion of this to really get me started. There are also lots of money market accounts offering 2-3% interest rates. On 100K thats about 2-3K a year. There is the stock market. There is Hard money lending.
The Car loan and the person loan (total 9K) are flat, the interest is pre determined and included in the loan paying it off early will not save me any money . They are paid directly from my check and come out every month as long as I continue at my current full time job that will be guaranteed to be paid every month. Kicker is I hate my job it is a very stressful grueling un-thankful job, and I want out badly very badly. But I have Health, dental, and eye insurance to consider along with everyday bills that I have been viciously working towards lowering every single one of them. My current monthly expenses total Just under $1950 which includes all debt payments and everything you could think of to live on.
My initial thoughts are.... Pay off $50K of debt (car, personal loan, personal SL, and Subsidized SL) Freeing up about $580 dollars per month. Keep my current jobfor 4-6 more months in order to secure financing. Also using the remainder of money for rehab and down payment on a possible live in single family flip, or a duplex. Left over money put into an account for 6-12 month emergency living expenses.
I am open to all possible ideas and suggestions. I am looking for feedback to consider. I feel I am finally in a situation where financial freedom is close and I don't want to make a grave mistake. I want to be able to make the best decision possible that gives me the best chance at achieving financial freedom and or following a career that I don't despise.
I do apologize in advance if people find this post ridiculous or annoying for mistakes or lack of information.
Thank you