Posted by Jasonrei on October 30, 2002 at 09:43:05:
You should use it if you’re convinced your investments are wise. No payments and low-to-no interest for two years. Outstanding terms on unsecured money.
Student loans to buy real estate? - Posted by Jay
Posted by Jay on October 30, 2002 at 02:54:16:
I was sitting the other day, and a thought occurred to me. I am in college, and have $10,500 per year of loans available to me that I do not use. What do you guys think of taking this money, and using it to purchase real estate? I own a 4plex right now, but would love to get into some more properties. What do you all think? I’m not sure about the terms of the loans, but I believe they are loans that are made that the payments do not begin until I am done with my schooling (2 years from now). Well, please let me know! Jay
Re: Student loans to buy real estate? - Posted by JR
Posted by JR on October 31, 2002 at 01:11:48:
I am in a similar situation, where I have one duplex, but I’m still in school and could use funds from private source loans. I agree that using the Federal Loans (Stafford, PLUS etc) would be lender fraud, but if you use private student loans for REI I do not think it is fraud (don’t quote me on that). I believe that the private lenders allow use for school related activities and living expenses, which REI could fall under. Whatever you decide to do, keep us posted.
Personally, I’m in the military and will be moving next August after I finish my Physics degree, so I’m in a tough position where I am unsure of whether to invest more in my current area, or wait until the move. I would appreciate any advice in that area as I’m ambitious and don’t want to keep waiting to do more investing. I hope I helped at least a little. Thanks and good luck.
Re: Student loans to buy real estate? - Posted by Helen
Posted by Helen on October 30, 2002 at 12:19:57:
Read the fine print carefully and think twice. Student loans are federally funded and what you are planning is loan fraud as defined by the fine print. Be careful. Just my thoughts…I welcome other feedback on this issue.