I'll be a contrarian.
There is a lot of mathematical splitting of the hairs over the spread between your mortgage rate and the risk free rate or potential in the market.
The risk free rate compared to your mortgage is a wash. 4.3% with tax included is about 3.3%.
You do not know what the market will do short term. You could lose valuation.
Paying off mortgage is not a bad idea. I am doing exactly that. Done in 1 year.
So if you can retire the mortgage quickly it's a swell
Idea. Then you free up cash flow to invest.
Overall, investing in the market or paying off the house is a wise idea. It depends on what enables you to sleep well at night. I do not like debt. It's why we are paying off
Our mortgage. Sounds you might be in that camp too. If so pay it off. If you hate it get a mortgage and put the money into the market. I'll speculate no one posting here would take a mortgage out on their paid off Home to put the money into the market.
What happens to the cash flow if you get laid off?Then you free up cash flow to invest.
Statistics: Posted by retireIn2020 — Sat Nov 02, 2024 1:02 am — Replies 24 — Views 1250
