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Updated over 4 years ago on . Most recent reply

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Camelia Clark
  • New to Real Estate
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IsisBest to pay off all debt before investing into real estate?

Camelia Clark
  • New to Real Estate
Posted

Is it best to pay off all debt before investing into real estate?

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Charles Carillo
  • Rental Property Investor
  • North Palm Beach, FL
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Charles Carillo
  • Rental Property Investor
  • North Palm Beach, FL
Replied

@Camelia Clark

I believe it really depends on the type of debt, amount of debt and your income. The main factor though is how experienced the investor is. If this is their first real estate investment, I would lean towards paying off debt first.

New real estate investors really disregard the amount of reserves they should have. This is really dangerous. It is always safest to pay down debt and build a reserve before investing.

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