All high interest credit card debt should definitely be paid off.

For cars you should go the route of the lowest monthly payment. This allows you the ability to invest more.

Homes are a totally different story. Most financial advisors advise paying them off with the shortest duration loan that you can afford. For me it depends on what your alternative use for the money is. Do you have a higher return option?

Many think investing in real estate is a good investment. The return on actively managed real estate is about equal to the S&P. On a house that is flipped the return can be much higher.

If you were to invest in the Stars buy and hold strategy the return is between 21 and 32% per year. Let’s say 25%. If a home loan is 7% there is an 18% per year incentive to take out as large a home loan as possible and invest in the Stars model. In the past this would not have been possible because your investments were probably only earning about 8%.