Submitted by Bstassy t3_1169qi5 in personalfinance
Hello personal finance, I realize this question gets asked regularly, but I am posting anyway.
After my fathers passing this past month, my brother and I will be splitting 50/50 an inheritance of:
$155k in a 401k $800k in liquidity.
So my wife and I will receive roughly half that.
We were preparing to build a house as well actually, in which my father was intimately involved in the process of designing blue prints. It was a passion for him.
I basically want to just run by the question to you all: Should my wife and I use this money to build this home debt free?
We currently have a 7 month old baby, no debt other than my wife’s student loans, would keep the $70k in a 401k, and are looking to spend about $280k on this house.
The reason I ask this is because we are considering option B: pay off half of the house, and invest the remaining funds my father has left us.
We are only 25, and it is because of that which I am entertaining the idea that we could assume slightly more risk short term with an investment strategy.
We make about $85k/yr btw.
Dave Ramsey says pay off the house. So does my uncle. Previous Reddit posts say to invest.
What’s your latest piece of advice?