Keep My Rental Or Sell It To Pay Off My House?

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[Mao]

Never leave the show Dave. They can never replace you.

[Nolaman]

Keep it, good rental properties are not easy to get now.

[patki]

Good real estate investments are hard to come by. You are envied secretly by most for owning it. Sweat out the remaining time. You won't regret it.

[KyleRountree]

Good rentals are too hard to come by right now. If it's a good property keep it. Your income is high enough to knock this out quickly

[andrewwhitcomb]

Wow I really didn't expect Dave to come to this conclusion, but I appreciate it.

[itsmikac]

Keep the rental! You have a high enough income. It’s really hard to find a cash flowing rental.

[peoplearecrazy]

Rachel is the best compliment to Dave.

[jimmymcgill]

Keep it.
Only sell if you are making no money on it.

[David-woun]

The best Ramsey duo; I like seeing videos where Rachel and Dave discuss these situations; always educational and entertaining.

[evalina]

If this was like who wants 2 b a millionaire or sum game show, I would have lost 😂....u learn sumthing new everyday 👍🏽 Rachel's expressions are hilarious 🤣

[chriskim]

Wow~ never expected that answer. He cleared my situation cos I’m in the same boat. Thanks again Dave. Love and respect your clear paths and wisdom

[TheDjcarter]

Two reasons Dave say this is OK...the timeline doesn't really change. But biggest reason is equity in the property, if his income disappeared and renters moved out tomorrow, he could sell both properties and have a couple hundred thousand dollars in hand in a month or two and start all over and be fine.

[jillgott]

Pay off the house !
A friend of mine put up her paid off house as collateral for a rental property. The entire time she had it I was afraid for her, she never understood why. She had alot of problems with the rental that caused her to spend alot of money. But in the end it was sold and the loan repaid.

[Dave-tzzx]

It is nice to see Dave evolving...it isn't just about getting debt free all the time. One needs to look at the whole picture.

[genxx]

Why would you sell a good rental, only to buy another one later? It will cost a lot more money and the property tax will be a lot higher.

[aaront]

Don't sell cash producing assets to pay off low interest mortgage debt.

[Agent]

I'm in a slightly similar position except I still have 24 years left on my the mortgage of my home (or 9 based on how I'm currently paying down principal). Selling the rental property would get me debt free quicker but both my mortgage is only 12% of my income. It is really hard to throw that second source of income and investment away.

[Jim_Curtis]

Another option he could consider is sell his house and use the equity to buy another house outright.

[Lehpurdzzz]

Why ever pay off the house when you can cashflow on another property and net more money, while benefiting from both properties increasing in value?

[lkjg]

I'm with Rachel in that I fully expected anti-debt Dave to tell this caller to sell the property. A good investment property is building you equity each and every time you deposit that rental check. A bad investment property will make you hate mankind (and dogs and cats). "Do you like the property and would you buy it again" is a pretty good benchmark in the decision process.

Even if this caller's timeline exceeded five years, I would have kept the property and let it continue to build equity. Even Dave admits "in ten years, you're going to be at the same place", so why get rid of it?