On the plus side, the house you bought for 0,000 10 years ago with a 30-year fixed-rate mortgage is now worth 5,000.
You put 20 percent down at the time you bought the house, and now owe approximately ,000 on it.
There are many arguments that people make in favor of refinancing a home mortgage to take out cash to pay off their debt.
For instance, mortgage interest is tax-deductible, while interest on credit card debt is not.
In that case, consolidating high-interest debt into a lower-interest loan may be your best option.Though this practice is controversial and potentially risky, the concept is attractive to some student loan borrowers who want to capitalize on the possibility of lower interest rates and monthly payments.So should you consolidate student loans into a mortgage?Therefore, the total equity in your home is 5,000 (minus the ,000 to ,000 in realtor’s fees and transfer taxes you would incur in selling).This amount of money would pay off all of your debt.Pro: Reduce Number of Payments Your two biggest bills each month are almost certainly your mortgage and your student loan payments.