Should I sale one of two homes to get out of debt?

[beto101]

Thank you all so much for your time and replies. Very helpful and encouraging. We are meeting with our Realtor today and we are moving forward. And we have learned from out mistakes and they will not happen again. I read Dave Ramsey's book total money makeover and makes a lot of sense.

[siggy_freud]

Any chance to rent the first property for positive, continual income? I know the 55k right now seems appealing, but if it's at the cost of longer-term, greater profitability it may not be the soundest move to make.

[beto101]

Any chance to rent the first property for positive, continual income? I know the 55k right now seems appealing, but if it's at the cost of longer-term, greater profitability it may not be the soundest move to make.

Siggy I would only be looking at a $150.00 a month positive income If I was to rent the home i live in now. My current mortgage is 1,150.00. The seconds home mortgage is 860.00 which I currently rent for 1000.00.

[Augustine]

Just paying off the debts doesn't change your spending habits, and it is possible you'll soon be back at $50K in debt, but without a second house you can sell.

This is very true, since you do not say how you came to be 55k in debt in the first place. However, I think it is a good plan. Just be sure you do not get into more debt as a result of family vacations.