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Updated 5 months ago on . Most recent reply

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Ian Jeppsen
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Low interest vs. high cash flow potential?

Ian Jeppsen
Posted

Currently renting a single family home purchased with a 15yr 2.25% loan. Have about 100k equity. Current income has me breaking even. 

I'm considering selling to purchase a STR or other property that has higher cash flows but obviously wouldn't have the low interest rate.

Please share your advice and things to consider when analyzing my options!

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Rick Pozos
  • Wholesaler, Rehabber and Landlord
  • San Antonio, TX
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Rick Pozos
  • Wholesaler, Rehabber and Landlord
  • San Antonio, TX
Replied

Think of the house as a retirement fund. You are putting a little money into it every year. In 12 more years it will be paid off with only minimal input from you. You will have some great cash flow after the mortgage is paid off. OR think what kind of equity you will have. A paid off house that is worth $XXX. That will be some big number.

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