newly wed 30yo male. i have around 95k in debt…. Around 70k is student loans from sallie Mae. 30k of which is co signed for my wife and her brother. all of which have defaulted…..The rest is made up of a reposessed vehicle 4 yrs ago..15k.. And various credit cards maxed out. 10-12k.my wife and I have been saving to build our own house and have 70k saved up. But the house we want will cost 150k… I need to get your opinion about where I should allocate this money we saved so that we can either get a construction loan if we use it to pay off debt, once our credit has increased or if we should just allocate it all to the house as a “down payment” to ensure our approval and once we have house built and it will have instant equity of around 90k…..then we can sell it and pay off the loans in full. What’s your opinion in my situation?
The AnswerIf you have a credit or debt question you’d like to ask just use the online form. I’m happy to help you totally for free. Should We Deal With Our Old Debt or Use Our Cash to Build a House? - Shane by Steve Rhode