My husband and I relocated in May to a new city for a new job. The house in the old city didn't sell after 6 mos on the market - no offers at all, so in May we found a tenant that covers ~60% of the monthly mortgage (my sister who's taking great care of it). I'm looking at listing the house again next spring when the their lease is up. When we had the house listed, we were looking at losing 15-20k when the house sold (after realtor's fees). We had the cash to cover that difference, and we still have it sitting in a savings account. I'm thinking about taking that cash and paying off a couple of car loans, but I am nervous to do so because of the notion of selling the house next year. I don't think house prices will rise much so I'll still be looking at coming up short.

If I use my savings to pay off debts, do you think I'll have trouble getting some sort of loan from the bank to cover the shortfall?

I have excellent credit, and Debt-to-income ratio currently is 28%, and will drop to 23% once I pay the cars off