Debt Optimization - Student Loan debt vs.

[nick_festa]

Mortgage debt? I recently graduated from grad school, and I have my share of student loans. I also am in the market to buy my first home. I have a decent sum of cash saved to put toward a down payment. However, I'm wondering what the smartest thing to do with my savings would be: 1) Pay down some of my variable interest rate private student loans or 2) Apply the savings to a downpayment. Essentially, it's just a trade off between having student loan debt or having mortgage debt. I'm going to buy a house regardless, but it's a question of whether I have less mortgage debt or less student loan debt. My instinct would be to apply the savings to the student loan debt since it's interest rate is NOT tax deductible like the mortgage debt would be (I make too much money to deduct student loan interest). The variable APR on my private student loans is hovering around 7% right now (Before you ask, I have already consolidated my federal loans). What would be the smartest thing to do in this case

[albo888888]

Having mortgage debt is better since its tax deductible.

[lafver]

I like not have any debts