Mortgage, Loans… Lots of money but what to pay off.?
I’m now in the money and need some advice on what I should do…
I have a 30yr fixed 5.875% mortgage on 380K,
6.25% on 50K in student loans payable over 45 years (no tax break due to phase out at my earning level).
Right now I’m accelerating the $ 500 per month student loan payments by $ 4000 per month to clear the loan in a year.
Question: I want to buy a bigger house in a few years and dont know if I would be better saving the money for a deposit or paying down the mortgage I have. I know it’s a bigger interest rate but on a much bigger principle. However I’m also thinking that I wont get %5.875 interest rate in a few years so might as well just save and have a larger deposit on the next house?