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Updated 8 months ago,

User Stats

12
Posts
1
Votes
Aaron St. Clair
  • Rental Property Investor
  • Lubbock, TX (lubbock tx)
1
Votes |
12
Posts

Interest vs no interest

Aaron St. Clair
  • Rental Property Investor
  • Lubbock, TX (lubbock tx)
Posted

Hey guys, I have been learning about REI and in all the bigger pockets it talks about mortgages. Anyone who knows almost anything about Dave Ramsey knows that he is a big advocate of not buying anything except maybe your first home and getting into debt for it. He has all the numbers and can show you how purchasing a home on a 30 year mortgage is wasting 100's of thousands of dollars because of interest, etc. My question is, how do you look? I have hardly heard anyone talk about interest, and maybe this is because I just started paying attention, but do you take this into account when figuring your deals? Is it shoved in with all the other parts of the equation to make a whole and everyone except me understands this so then you compare COC and cash flow against the whole equation? What would the COC and cashflow look like without interest? How do you balance not waiting 30 years to be able toa afford getting started vs going into debt? Just an interesting thought experiment that popped into my head and I would love to hear everyone's thoughts!

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