The most prestigious law school admissions discussion board in the world.
|
 |
 
|
Does it make sense for us to refinance student loans?
Poast new message in this thread
Date: October 17th, 2017 1:49 PM Author: buff library internal respiration Wife and I have combined loans ~$210k. Most of them are mine. All-in HHI including stock options + bonus is $335k.
Option 1: IBR
Pay 15% of my income for the next 20 years or whatever, then potentially a huge tax bomb at the end. Loans are fed loans at 7.4% interest. Under this scenario, we can't file taxes jointly. It would also make buying a house potentially more difficult, but I'm interested in some MFEs to opine.
Pros: kick the can down the road, a lot more free cash flow until then to grow our lives, take risks with businesses, etc.
Cons: sinking feeling in the back of my head that I have all these fucking loans. Potential tax implications of not filing jointly / fucking up housing applications, etc. Do I want to try to outsmart Uncle Sam for the next two decades? IDK.
Option 2: Refinance
I haven't talked to gay SOFI or whatever (btw what are some good lenders?) but it's looking like a ~5% interest rate for 10 years. Not that much of a difference from what the Feds have. We would have to delay buying a house and our cash savings would deplete really quickly. It would put a strain on our marriage possibly.
Pros: satisfaction from paying my loans, can file joint taxes, can have a clearer conscience.
Cons: money-related stress for the next 7-10 years, would need to work (<><>) and would be less willing and able to take risks/start businesses. A lot less cash flow. Would lose the protections the govt provides against unemployment etc. |
Date: October 17th, 2017 1:51 PM Author: beta pit I refi'd and paid mine off (>250k). I regret not putting all that money into bitcoin but it does feel good not waking up in cold sweats at night over the debt. This was before REPAYE existed and I had some pre 07 UG loans. (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34463179) |
 |
Date: October 17th, 2017 1:54 PM Author: buff library internal respiration I have some pre 07 loans too. Who did you finance with and at what rate? How long did it take to pay off? (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34463193) |
|
Date: October 17th, 2017 1:55 PM Author: beta pit DRB variable. 4 years. (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34463202) |
|
Date: October 17th, 2017 1:58 PM Author: buff library internal respiration You paid off $250k in 4 years? Legend. (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34463215) |
|
Date: October 17th, 2017 1:55 PM Author: federal know-it-all preventive strike Loans are fed loans at 7.4% interest. Loans are fed loans at 7.4% interest. Loans are fed loans at 7.4% interest. Loans are fed loans at 7.4% interest. Loans are fed loans at 7.4% interest. Loans are fed loans at 7.4% interest. Loans are fed loans at 7.4% interest. Loans are fed loans at 7.4% interest. Loans are fed loans at 7.4% interest. Loans are fed loans at 7.4% interest. Loans are fed loans at 7.4% interest. Loans are fed loans at 7.4% interest. Loans are fed loans at 7.4% interest. Loans are fed loans at 7.4% interest. |
|
Date: October 17th, 2017 1:56 PM Author: Laughsome jap (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34463211) |
|
Date: October 17th, 2017 1:58 PM Author: buff library internal respiration Higher education is the biggest scam in America. (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34463219) |
|
Date: October 17th, 2017 1:59 PM Author: federal know-it-all preventive strike (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34463229) |
|
Date: October 17th, 2017 2:01 PM Author: beta pit (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34463242) |
|
Date: October 17th, 2017 2:01 PM Author: Laughsome jap (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34463243) |
|
Date: October 18th, 2017 1:30 PM Author: exhilarant incel (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34471350) |
|
Date: October 17th, 2017 2:02 PM Author: Fiercely-loyal spectacular philosopher-king useless brakes ljl
|
|
Date: October 17th, 2017 2:09 PM Author: Brindle dashing half-breed I had debt at 8.5% when I was a first and second year biglawl associate. Really fucked with my head and made me reluctant to spend money on anything instead of clearing that debt out. I have no idea how proles just carry around 20% credit card debt like it's nbd. (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34463297) |
|
Date: October 17th, 2017 2:12 PM Author: buff library internal respiration It's hard for me to even comprehend 24.99% interest. (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34463325) |
|
Date: October 17th, 2017 2:12 PM Author: Transparent Organic Girlfriend Crackhouse This makes me furious because mine were 8.5 (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34463320) |
|
Date: October 17th, 2017 2:19 PM Author: buff library internal respiration We are all in this together, friend. (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34463368) |
|
Date: October 17th, 2017 2:05 PM Author: stimulating claret church hunting ground kids? (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34463274) |
|
Date: October 17th, 2017 2:06 PM Author: buff library internal respiration One on the way. Wife and I are aligned on not letting this get in the way of family. Plan to have 2 or 3 more. (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34463282) |
|
Date: October 17th, 2017 2:07 PM Author: stimulating claret church hunting ground savings? (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34463286) |
|
Date: October 17th, 2017 2:10 PM Author: buff library internal respiration joint checking: $50k
combined before marriage checking: $55k
401k 1: $50k
401k 2: $20k
401k 3: $120k
Brokerage 1: $12k
Brokerage 2: $15k
Traditional IRA: $11k
Other debt: $0 |
|
Date: October 17th, 2017 2:55 PM Author: stimulating claret church hunting ground If you're making $300k+ combined and that's all you have to show for it, then maybe consider cutting back on your lifestyle a bit? (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34463641) |
|
Date: October 17th, 2017 2:58 PM Author: buff library internal respiration Got married recently, only started earning this much relatively recently. We save a lot.
|
|
Date: October 17th, 2017 2:59 PM Author: stimulating claret church hunting ground I'd just keep your fed loan as they are and aggressively repay them over the next 5 years. Just be done with it and move on with your life. (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34463690) |
|
Date: October 17th, 2017 3:08 PM Author: buff library internal respiration Interesting idea. Well there are two options in that case: switch to IBR or stay on REPAYE.
IBR: Only my income counts towards the monthly payment, not wife's. But that's a moot point if we're aggressively paying off the debt above what the calculated payment amount would be.
REPAYE: "What about interest on your student loans?
Another concern with any income-driven plan is the fact that your interest can keep accruing at a faster rate than you pay down your balance. With REPAYE, though, you have a bit of relief through the federal loan interest subsidy.
If your monthly payment is so low that it doesn’t cover the monthly interest charges, any excess interest on subsidized loans will be paid by the Department of Education for up to three years. After that time period, the DOE will cover 50 percent of unpaid interest.
The government also covers 50 percent of accrued interest charges on unsubsidized loans throughout the REPAYE repayment period.
If you leave the REPAYE program, interest will capitalize. That means it will be added to your balance and you will have to repay that amount as part of your loan."
So if I switch to IBR, I get fucked on the interest that's been accruing that the govt has been paying for. But potentially my minimum payment rises way high because now my wife's income would count as part of the calculation. |
|
Date: October 17th, 2017 4:12 PM Author: stimulating claret church hunting ground look you might be better off going on IBR in the very long term assuming they take care of the tax bomb. Paying down now and avoiding 7% interest for the next 20 years is probably less risky. Where else can you put your money in the next 5 years and guarantee a 7% return? (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34464330) |
|
Date: October 17th, 2017 4:17 PM Author: buff library internal respiration Yeah, I'm looking into a 5 year variable rate refi. $5k per month will suck, a lot, but might be for the best. (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34464361) |
|
Date: October 17th, 2017 2:08 PM Author: House-broken Aquamarine Selfie why not just pay it off asap (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34463292) |
|
Date: October 17th, 2017 2:54 PM Author: rambunctious athletic conference goal in life Ding Ding Ding (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34463636) |
|
Date: October 17th, 2017 2:56 PM Author: stimulating claret church hunting ground see above. They don't have enough in savings to cover it. (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34463649) |
|
Date: October 17th, 2017 2:57 PM Author: rambunctious athletic conference goal in life Why can't they use some of the 20,000 per month post tax they are bringing in to take out huge chunks over the next couple years? (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34463665) |
|
Date: October 17th, 2017 2:59 PM Author: stimulating claret church hunting ground well that's what I'm saying... (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34463694) |
|
Date: October 17th, 2017 3:01 PM Author: startling razzle plaza your numbers are messed up. my salary is $360k and my take-home is only $17k/month. (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34463715) |
|
Date: October 17th, 2017 3:05 PM Author: rambunctious athletic conference goal in life You have an effective tax rate of 46%? (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34463750) |
|
Date: October 17th, 2017 3:08 PM Author: startling razzle plaza yeah. i <3 nyc! (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34463776) |
|
Date: October 17th, 2017 3:14 PM Author: rambunctious athletic conference goal in life fma (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34463844) |
|
Date: October 17th, 2017 3:02 PM Author: buff library internal respiration salary included bonuses and stocks. we only bring home ~$15k on a typical month. (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34463721) |
|
Date: October 17th, 2017 3:06 PM Author: rambunctious athletic conference goal in life $5k to loans for 50 months. You're done with them. (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34463761) |
|
Date: October 17th, 2017 2:08 PM Author: floppy gay wizard orchestra pit Is it legal to do the following?:
1. Start real estate investment company via LLC
2. Buy a rental property every year in cash (no mortgage)
3. Write off purchase as a business expense
4. Show a loss against your primary income and lower your AGI to the point where you show an income of $5k a yr or something.
5. Show $5k AGI and basically owe nothing in loans
6. Pay like $200 a yr in loans and then have them forgiven in 20 yrs
I have no idea if that's even legal, but if it is....wow |
|
Date: October 17th, 2017 2:09 PM Author: House-broken Aquamarine Selfie ime you can only write off the depreciation year to year (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34463299) |
|
Date: October 17th, 2017 2:10 PM Author: stimulating claret church hunting ground just do have several hundred thousand dollars in cash on hand to get out of paying your loans. (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34463301) |
|
Date: October 17th, 2017 2:11 PM Author: floppy gay wizard orchestra pit The OP said he and his wife make $330k+ a yr...that's enough to buy 1 rental property a yr in cash. (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34463314) |
|
Date: October 17th, 2017 2:13 PM Author: buff library internal respiration LJL where? Detroit? (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34463331) |
|
Date: October 17th, 2017 2:17 PM Author: floppy gay wizard orchestra pit Anywhere outside of NYC/LA/SF/SD...are you not aware of the real estate values in cities like Charlotte, Tampa, Vegas, Phoenix, Dallas, Houston, etc? (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34463358) |
|
Date: October 17th, 2017 2:11 PM Author: beta pit just buy a rental property every year in cash bro! (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34463311) |
|
Date: October 17th, 2017 2:11 PM Author: floppy gay wizard orchestra pit Why not do that? With an income of $330k+, it's not difficult. Outside of NYC/LA/SF, rental properties can be had for like $150-200k. (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34463316) |
|
Date: October 17th, 2017 2:12 PM Author: House-broken Aquamarine Selfie why not just pay off the stupid loans (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34463322) |
|
Date: October 17th, 2017 2:12 PM Author: floppy gay wizard orchestra pit Why pay them off if you don't have to/found a loophole in the system? (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34463326) |
|
Date: October 17th, 2017 2:13 PM Author: House-broken Aquamarine Selfie your plan doesn't work on the tax write off side he'll only be able to count ~1/30th of the cost basis as an expense year to year (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34463329) |
|
Date: October 17th, 2017 2:16 PM Author: beta pit (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34463351) |
|
Date: October 17th, 2017 2:18 PM Author: floppy gay wizard orchestra pit Well, that's what I was asking. If it's not legal, then screw it. (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34463359) |
|
Date: October 17th, 2017 2:16 PM Author: beta pit irrelevant anyway. you cant deduct the purchase price of a rental property like a business startup expense. it doesnt matter if your company is a real estate investment company. (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34463349) |
|
Date: October 17th, 2017 2:14 PM Author: buff library internal respiration (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34463340) |
|
Date: October 17th, 2017 2:46 PM Author: Mint outnumbered dog poop locus (Max Bialystock) (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34463571) |
|
Date: October 18th, 2017 2:16 PM Author: Khaki contagious lay volcanic crater Yeah, just expense that rental property and OP is golden
https://www.taxact.com/support/1106/2016/section-179-not-allowed-on-rental-property |
|
Date: October 17th, 2017 2:10 PM Author: apoplectic faggotry refinance, even if at a higher rate, just so that you can get your creditworthiness out of the federal pool and help it all burn to the ground by leaving the LAC junk behind to default. (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34463302) |
|
Date: October 17th, 2017 2:11 PM Author: aggressive site masturbator (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34463319) |
|
Date: October 17th, 2017 2:12 PM Author: aggressive site masturbator Just pay the loans off you dumb shitlib (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34463323) |
|
Date: October 17th, 2017 2:39 PM Author: buff library internal respiration (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34463512) |
|
Date: October 17th, 2017 2:44 PM Author: startling razzle plaza IBR you fucking idiot, and I say that as someone who HATES people who don't repay their debts. (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34463540) |
|
Date: October 17th, 2017 2:44 PM Author: buff library internal respiration Explain bro. You feel strongly about this. I'm really looking for a push in either direction. (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34463550) |
|
Date: October 17th, 2017 2:55 PM Author: rambunctious athletic conference goal in life Not at 300+ a year. That's stupid as fuck. He'd end up paying more with IBR. (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34463646) |
|
Date: October 17th, 2017 3:00 PM Author: startling razzle plaza but that's LATER and UNCERTAIN. never pay anything off if you have the option to roll it forward (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34463699) |
|
Date: October 17th, 2017 3:02 PM Author: stimulating claret church hunting ground generally this is cr, but we're talking about 7% fed loans here. That's like mob loanshark rates. (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34463722) |
|
Date: October 17th, 2017 2:45 PM Author: Razzmatazz brethren heaven Don't turn public loans into private loans. (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34463551) |
|
Date: October 17th, 2017 2:49 PM Author: rambunctious athletic conference goal in life Wtf did everyone miss where he makes over 300k a year?
REFI at a fixed rate to get it down to 5.5% and pay them off in 5-6 years. You'd end up paying more under IBR + tax bomb than you would if you just took care of them now. |
|
Date: October 17th, 2017 2:59 PM Author: buff library internal respiration Yeah but really ties us down in our prime earning years. This is when we should be taking risks. (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34463693) |
|
Date: October 17th, 2017 3:00 PM Author: stimulating claret church hunting ground risks went out the window when you copped $200k in student loans, sorry bro (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34463702) |
|
Date: October 17th, 2017 3:03 PM Author: beta pit Cr. that was the risk (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34463725) |
|
Date: October 17th, 2017 3:03 PM Author: stimulating claret church hunting ground (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34463732) |
|
Date: October 17th, 2017 3:03 PM Author: rambunctious athletic conference goal in life Well guess what, you incurred 200k+ on debt and chose to have a wife and kids so your ability to take risks is limited now.
Plus, take risks on what??? Are you a lawyer? You are earning 330 a year...what do you want to take a risk on rght now? |
|
Date: October 17th, 2017 3:15 PM Author: rambunctious athletic conference goal in life What do you mean it ties you downn in prime earnring years when you should be taking risks? (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34463854) |
|
Date: October 17th, 2017 3:16 PM Author: House-broken Aquamarine Selfie he wants to quit his job (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34463864) |
|
Date: October 17th, 2017 3:17 PM Author: buff library internal respiration That's $335k combined. Wife makes ~$130k.
I'm tired of wage slaving and want to look into starting a business, investment properties, etc. |
|
Date: October 18th, 2017 1:48 PM Author: Translucent effete abode shitlib Investment properties and businesses are for people without $200k in student debt. It doesn't matter what you want. You're not destined for that sort of life, esp with one kid on the way. (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34471468) |
|
Date: October 18th, 2017 1:57 PM Author: buff library internal respiration Come on, Nutella. Plenty of people manage to do both. Cash and liquidity is king. What's the worst that can happen to my student loans if my businesses fail and the real estate market tanks? A $0 payment until IBR salvation? (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34471544) |
|
Date: October 18th, 2017 1:59 PM Author: irate coiffed police squad station no ur right, u'll get in everywhere u apply (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34471564) |
|
Date: October 17th, 2017 3:32 PM Author: buff library internal respiration (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34464039) |
|
Date: October 17th, 2017 4:12 PM Author: Talented at-the-ready macaca MOVE TO ANOTHER COUNTRY AND YOU WON'T HAVE TO PAY YOUR STUDENT LOANS BACK YOU STUPID GOYS (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34464334) |
|
Date: October 17th, 2017 4:31 PM Author: rambunctious athletic conference goal in life Out of curiosity explain how you think that actually works (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34464479) |
|
Date: October 17th, 2017 4:32 PM Author: Mauve infuriating temple holy fuckin debt batman (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34464483) |
|
Date: October 17th, 2017 5:39 PM Author: buff library internal respiration f u fgt (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34465077) |
|
Date: October 18th, 2017 1:11 PM Author: buff library internal respiration Update: spoke more about this with wife last night. Spending $5k per month for 50-55 months will really hamper our ability to save for a house and have more kids. SoFi can get us a 7 year rate of about 4.7%, which we'd try to pay off in 5. I'm really conflicted on what to do, bros. (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34471172) |
|
Date: October 18th, 2017 1:53 PM Author: Translucent effete abode shitlib Your problem is that your priorities are all fucked up. Paying off high interest loans is priority #1 if you want to provide a stable life for your family and existing kid, never mind hypothetical kids you can't afford to have right now. Forget saving to buy a house. You're not there right now. Refi and pay off your goddamn loans in 5 years and then start saving and thinking of more kids. Time to be an adult. (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34471515) |
|
Date: October 18th, 2017 1:59 PM Author: buff library internal respiration You make it seem like this is credit card debt. There's clear extenuating circumstances with government-backed student loans. (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34471563) |
|
Date: October 18th, 2017 2:03 PM Author: Translucent effete abode shitlib 7.5% on $200k and IBR with potential huge tax bomb and paying loans until you're 50+ is way worse than having $20k credit card debt at 15%. (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34471610) |
|
Date: October 18th, 2017 2:21 PM Author: buff library internal respiration true i'll be like 53 ljl. (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34471801) |
|
Date: October 18th, 2017 1:44 PM Author: Translucent effete abode shitlib Um just pay it off. 7.5% is absurd. I paid off $90k in 2.5 years while maybe btwn $160k-$200k living in NYC not exactly pinching pennies. If you're combined $300k, you can pay off $200k in 4 years.
There's absolutely no reason for you to be sitting on $50k of cash and have money in investment accounts. Go down to $20k savings and liquidate your investment accounts to immediately put toward loans. You're not going to be doing better than 7.5% post tax in the stock market anyway. |
|
Date: October 18th, 2017 1:48 PM Author: buff library internal respiration yes but... if I stay on ibr/repaye, there's a good chance I won't ever have to pay them back completely. and yeah, can't beat 7.5% in the market, but it's not like interest goes to 0 when you refinance. it's a ~3% return for 5 years (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34471474) |
|
Date: October 18th, 2017 2:10 PM Author: Translucent effete abode shitlib You have no way of assessing the chances of this working out in your favor 20 years down the road. You're simply deferring things but you will still be shackled by loans and have trouble getting a mortgage and meaningfully accumulating savings and investing the way that people who are debt free can do.
As for refi and 3% in the market, lol at you or anybody assuming 8%+ returns over a short 5 year time frame. Market could crash next year or in 3 years or whatever and then that 5% return would be looking really good. Given how insanely high the market already is, you can prob bet it's more likely to go down in the short term.
Just pay it down and start from scratch. You'll just have to deal with the fact that you'll have to wait 4-5 years to really have money. |
|
Date: October 18th, 2017 2:12 PM Author: poppy sinister prole but you will still be shackled by loans and have trouble getting a mortgage and meaningfully accumulating savings and investing the way that people who are debt free can do.
This doesn't make any sense... |
|
Date: October 18th, 2017 2:24 PM Author: Translucent effete abode shitlib 1) 15% of his income toward loans is not an immaterial amount every month which reduces his ability to invest/save/mortgage amount 2) more importantly, $200k at 7.5% means that so much of his monthly payment is going toward interest such that the principal amount of the loan will still be meaningfully high at whatever point he wants to get a mortgage and dramatically reduce the amount he can borrow 3) not filing taxes jointly will raise questions about how much of his wife's income will be counted toward income for the mortgage application and cause problems. This one is likely surmountable but creates extra hassle |
|
Date: October 18th, 2017 2:20 PM Author: buff library internal respiration I thought when you got a mortgage, they cared about monthly obligations and not total DTI?
Yeah I feel bad for my wife to be honest. She didn't sign up for this. |
|
Date: October 18th, 2017 2:28 PM Author: Translucent effete abode shitlib DTI is the most important factor after credit score and % down in getting the best rate/approval for a certain amount.
Edit: they will look at your monthly obligations but they absolutely factor in the outstanding principal and rates of your existing loans. |
|
Date: October 18th, 2017 2:00 PM Author: poppy sinister prole If you plan on wagecucking and are fairly confident in your ability to continue to bring in $$$, then refinance and pay it off as aggressively as possible. (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34471573) |
|
Date: October 18th, 2017 2:18 PM Author: chrome hell pay your loans deadbeats. (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34471750) |
|
Date: October 18th, 2017 2:18 PM Author: poppy sinister prole You MAF you didn't qualify for dat PAYE? (http://www.autoadmit.com/thread.php?thread_id=3766759&forum_id=2#34471759) |
|
Date: October 18th, 2017 2:20 PM Author: buff library internal respiration what was the interest rate back when you graduated
yeah exactly. |