Pay Off Strategy
I’m trying to figure out if it’s best to send additional money monthly to pay off my investment properties. If so, which one should I focus on or should I not send additional monies and put it towards savings.
Property Loan amount term rate Cash flow
1 153,000 20yrs 4.25 $160
2 100,000 15yrs 4.25 $25
3 129,000 23yrs 5.875 0
Any help or suggestions would be greatly appreciated.
Thank you,
Focus on one, probably the $100,000... Make sure the extra specifies toward principle.
Thanks for the reply. Any specific reason for focusing on the 100K property? I’m currently focusing on the 129K because it has the highest interest rate. Is that the wrong strategy? Thanks again
The only reason is it will be paid off quicker and motivate you in the process to push for all three to be paid off as fast as possible. Keep up the drive and focus!!!
I might suggest you try the Debtinator Tool out. It analyses based on freeing up cash flow the fastest way while still taking into consideration of your Debt To Income Ratio.
http://www.propbot.com/modules.php?name=Tools&op=Debtinator