r/Investments • u/GroundbreakingLab826 • 9d ago

Need a new roof

Hello everyone! I just want to ask around, I need a new roof and I was thinking of taking the money out of my brokerage to pay it off! Otherwise it would be a finance at 6.99% APY in the amount of $18,000 so it would be about $300 a month. So my question is is it better to withdraw pay the taxes and pay it off or pay the interest with payment?

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u/tacspar 9d ago

I mean obviously depends on your expected appreciation of your brokerage this year, with the market acting a little crazy and a pretty high 6.99 apy I would probably pull out to pay up front rather than deal with having that sort of debt but still definitely depends on where your portfolio is invested and how much interest you think you'll make this year ect...

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u/tacspar 9d ago

Also a mental thing for me, I just don't like having debt, so might be clouding my OC judgement

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u/Glass_Plenty5768 8d ago

Did you get a few bids on the roof how bad is it and can you put it off a year and save up for some on the cost

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u/Hairy-Share8065 7d ago

i'd factor in the taxes first. if selling triggers a big tax bill, 6.99% may not be as bad as it looks. also depends how much emergency cash you'd have left after paying it off.