Student Loans are Poison

After a nice break it’s back to work! My life is very hectic right now, but in a completely different way then before with school, which is good. The feeling of knowing school is over and that weight is off my shoulders allows me to now stress about “bigger and badder” things.  This leads me to my rant for today…

While taking some time off to focus on other things a condo came on the market in my community which I had my eye on.  The intent wasnt to move into it, I am happy with my condo, but to buy it and rent it out.  All said and done I would be paying about $700/mo for the mortgage+condo fee+taxes+insurance and the going rental rate in the same area is $1000-1100, so would have been a great investment.  I also was able to put together a down payment through some investments I could cash out of to avoid paying PMI. I thought lets give it shot! Come to find out I could not get a mortgage due to my debt to income ratio, mostly due to the insane amount of student loans I have. I reached out to my parents to see if they would be interested in the investment and my dad was willing to co-sign the mortgage with me to make it happen.  Still declined. Same reason! Since my parents also helped cosign on my undergrad student loans those ding them as well.  My credit score is fantastic and so is theirs. None of us have a single negative remark on our credit history and all maintain mortgages, cars, credit cards and have good jobs with good pay.

I was frustrated to say the least, I thought for sure with my dad it would not be a problem.  I also spoke with multiple mortgage agents (mind you, I am a Realtor so I know a few) and they all gave me the same reasoning. I will be using this experience as a motivator to pay off my student loan debt, and also my existing mortgage!

Edgar @ Degrees and Debt

AuthorEdgar @ Degrees and Debt

Founder of Degrees and Debt. Edgar just wrapped up his MS in Project Management with a focus on Information Security Management. Battling back to even from student loans, mortgage and credit card debt is an art Edgar is learning to master. This is his journey.