I have about $11k in debt and trying to pay down to prepare for my home buying journey. I’m stressed about paying off debt and saving at the same time. I know these two are contradictory. I’m giving myself 1 year: to completely pay off and close on the home. My target is next Sept. Would love advice on how to realistically pay down the debt and still try to save at the same time. 🫤

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How much of a down payment do you need? I would save that plus closing costs and the rest goes towards paying down debt. Talk to a broker about what percentage down you will likely need.

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Yeah, seems like you just need to decide where your savings goes - pay off debt or save it. If interest rates on debt aren't too high, you could always focus on saving and make the strategic decision to pay lump sums against the debt at any point.

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Just do it. Save x percent, pay down debt with x percent.

Don't understand why you are concerned about paying off that debt before going even deeper into debt. It's called leverage. I think of borrowing as paying a rate for capital to then invest in something like a home or rental property. As long as you can service the debt go for it.

I was going to say get a 2nd job but see that you are a founder so you’re probably working 24/7 - maybe find a remote job?

I’d focus on paying off your debt then start to save. Create a budget and stick to it. I would not buy a house with any debt.

The rate on the debt (and what the debt is for) are pretty important here.

Realistically the more you try to save the less money you have to pay down the debt.. One side of this equation carries an interest rate which makes it harder. If the rate on the debt is high pay it off as soon as you can and save afterwards, you will end up with more savings by eliminating the amount of $ that goes towards interest.

What would be considered a high interest rate?

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