Starting Out
Market News & Data
General Info
Real Estate Strategies
Landlording & Rental Properties
Real Estate Professionals
Financial, Tax, & Legal
Real Estate Classifieds
Reviews & Feedback
Updated over 8 years ago,
save for down payment or pay off debt
Hello community. Had a question I've been wracking my brain over for a few weeks and would love your input. I have about $15,000 saved up for a down payment and have determined I'll need about $25,000 to afford a down payment with reserves for the type of homes I'm targeting.
I also have 2 student loans at 4% with a total balance of about $30,000 remaining. I would love to get rid of this debt before I start investing in buy and hold properties. I know it's not a requirement but it's more of a psychological feeling. But I can also just make minimum payments on the loans and save up my needed down payment in about 16-18 months.
Should I just use my savings to get rid of my debt super fast and start saving from ground zero or should I just leave my debt alone and focus on my down payment? Or should I stay on my current slow and steady approach of saving a set amount and applying extra payments towards my loan each month? I know there is no right answer, but what would you guys suggest? Have any of you been in a similar situation? Would love some feedback. Thanks!