Shoudl I sell 2 duplexes with nice equity to pay off debt.

[Candace Ellison]

I have two duplexes that have some decent equity in them. Total combined would be about $70k. I started the Dave Ramsey program earlier this year and I am debating on selling them and paying off some personal debt car and credit cards etc. But something about that just doesn't sit well with me. Option #2 Sell both and use profits as a nice DP to scale up to a better quality property. Option #3 Keep both properties, pull equity out and leverage. These are class C/D properties. More so D. Cash flow is great on both properties  $800 one and $670 other. I have switched gears now and going for properties in better neighborhoods and better schools. Appreciation is more important to me now than cash flow.

[Kevin Siedlecki]

@Candace Ellison. I have this conversation with friends all the time. Ramsey's ideas are great if you really struggling to budget and have accumulated some bad debt. If you have your house in order, though, then it's time to think more along the lines of taking on good debt to grow your wealth. You don't want to sell such high-performing assets just because some slick-talking guy tricked most of the country into thinking he has all the answers. He has the answer for the average American - the family with no savings, but tons of credit card debt, that's living paycheck to paycheck. If you own cash-flowing properties, his ideas are good to keep in mind in your personal finances, but really don't make sense for you. 

If you have 70k total and your true cash flow is $1470/month, you are crushing any benefit you would get by paying off any debt that has a lower interest rate than 25%. My advice would be to use your cash flow from the properties to pay off the credit card debt. The car debt is probably at a low interest rate, so I wouldn't worry about that one unless you have a reason to.