Should We Sell The House to Get Out of Student Loan Debt? Dave Responds

August 20, 2019


Dear Dave,

My wife and I are on Baby Step 2, and the only debt we have is $90,000 in student loans.

We bring home about $90,000 a year. In addition to this, we have almost $60,000 in equity in our home.

We also have a toddler, plus another baby on the way.

Do you think we should sell the house, and rent for a few years, while using the money from the sale of the house to pay down our student loan debt?    



Dear Chris,

No, I wouldn’t sell your home in this situation.

You’re going to be out of debt in a couple of years or so, anyway.

You’ll just have to lean into it, and make sure you’re living on a strict, written budget.

I’m talking about no vacations, and no eating out.

You shouldn’t see the inside of a restaurant unless you’re working there.

And the new kid’s crib may have to come from a garage sale, but so what?

Mine did, too.

Want to know something else?

I survived without having a rich kid’s nursery, and so did my kids.

There’s a price to be paid anytime you decide to get serious about gaining control of your money and cleaning up a financial mess you’ve made.

You’re going to have to work like maniacs and have no lives for a while.

That might even mean picking up a part-time job at night or on weekends.

You’ve got a tough couple of years ahead of you, but I think it’s worth the tradeoff.

Keep your house.


* Dave Ramsey is CEO of Ramsey Solutions. He has authored seven best-selling books, including The Total Money MakeoverThe Dave Ramsey Show is heard by more than 16 million listeners each week on 600 radio stations and multiple digital platforms. Follow Dave on the web at and on Twitter at @DaveRamsey.