Quote:
Originally Posted by Craig T
Taking a 3.5% loan on a rental property with a 30% plus downpayment is a smart use of debt. There is some risk of a housing collapse if it's a short term investment, but real estate has proven to be a pretty solid investment long-term (>10 years)...And there have been very few RE corrections that dropped more than 30% in value.
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I have to agree with you Craig. Mortgage rates are at historic lows. When I was getting out of college to buy my first house, rates were in the range of 8-10%....I put a huge amount down to assume a 5.25% loan at the time and paid that off in 2 yrs.
calu
In college, a room mate studied accounting. We knew that advantage of paying a loan off early. As for tax write offs, most people might save $1 for every $3 spent. I say: You flush $3 down the ****ter and I give you $1 back. How long are you going to do that?