Snow balling VS 15 year notes on rentals

[Paden Anderson]

Snow balling vs 15 year notes on rental properties....?  Have any of you ran the numbers to see which is a better strategy on paying down the loans on your properties? We currently have 2 rental properties, one a 4 plex with a 240k balance at 4.5% interest and a duplex with a 155k balance at 5% interest. They are both on a 30 year am.  With an extra 1100 a month I can pay these BOTH of in 15 years OR... would it be better to pay off the duplex first with the extra 1,100 a month and then snow ball it into the 4 plex? Other concern is we are continuing working on adding more properties to the portfolio so within 5 years we could have 5-10 more properties. How do you keep track of them all while paying them off as fast as possible? Or is it best to just save the cash flow and wait for things to calm down and buy more when the opportunity is greater? Thanks in advance for any advice and input. 

[Antoine Martel]

Paden.

I think the best option would be to take the cash flow that you have now and use that cash flow to buy more properties until you have 10 loans. Then once you have 10 then you can start to pay off the property that has the lowest balance with the cash flow from all 10 properties. Pay that property off, which will then open up another loan line for you to use and finance another property.