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Old 07-09-2009, 08:50 PM   #21
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We had a mortgage burning party with about 20 friends, who watched us burn the paperwork (copies, of course) in the fireplace at the end of the night. Still awesome a few years later--congratulations to you and the wife!
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Old 07-09-2009, 10:05 PM   #22
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Nothing like being debt free, it took me 58 years but I did it.

I spent most of my life spending money like I was drunk on what ever I wanted. Now that I've converted I often wonder why people want all of this crap like new cars and just things in general. When I'm driving my 12 year old car and see a new car go by I sometimes have to laugh.

Zero credit for me, if I don't have the money I don't buy it. As a matter of fact I do have the money and I still don't want it.
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Old 07-09-2009, 11:42 PM   #23
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Well done! Must feel great. I'm 47 currently and we're in year 11 of a 15 year amortization schedule. Come on 2013.
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Old 07-10-2009, 12:00 AM   #24
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Congratulations!

Paid off our mortgage four years ago, although we had the means to pay it off much earlier, and wish we had.

Nice feeling . . . being debt free.

Didn't have a party, but we might have made a pitcher of margaritas!
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Old 07-10-2009, 07:27 AM   #25
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Congratulations!

Zero debt is a great feeling... Don't owe anybody nuttin'

In a month or two check with the county property office to make sure the lien has been released. When we paid ours off I had to keep after the bank to get them to do that and it took about four months. The mortgage had been sold to another bank by the original lender. To say they were "unorganized" is understatement.
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Old 07-10-2009, 08:26 AM   #26
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Congratulations! It is a great feeling!

I paid off my coop mortage in 10 years, about 10 years ago.

I still get those Scrooge McDuck moments "mine-mine-mine!!!"

In the current economic mess, I feel wonderful knowing how low my monthly cost of living is. I still pay maintenance on the apt - to cover RE taxes and upkeep - but it is not a lot.

Enjoy YOUR house!

ta,
mew
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Old 07-10-2009, 12:26 PM   #27
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Congratulations! That being said, I recently read an article that recommended a mortgage as a way to fight high inflation. So if one thought (as many do) that we are headed for many years of high inflation, a fixed rate mortgage might just be a hedge, especially if the mortgage interest allows you to itemize for tax purposes.
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Old 07-10-2009, 12:37 PM   #28
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Congratulations! That being said, I recently read an article that recommended a mortgage as a way to fight high inflation. So if one thought (as many do) that we are headed for many years of high inflation, a fixed rate mortgage might just be a hedge, especially if the mortgage interest allows you to itemize for tax purposes.
I knew a "keep the mortgage" post would come in eventually to break up the cheerleading session.

The thing is, you can hedge inflation not just in owning an asset which should appreciate in highly inflationary periods, but also by investing what used to be the mortgage payments into areas that also hedge inflation. You don't need debt to hedge inflation.

Having said that, I think this thread may have just jumped the shark...
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Old 07-10-2009, 01:18 PM   #29
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Having said that, I think this thread may have just jumped the shark...
It's hard for me to see how a few people suggesting that there might be a small advantage to keeping a mortgage qualifies as "jumping the shark".

According to wiki: "where the plot veers off into absurd story lines or out-of-the-ordinary characterizations."

IMO, that may have happened way back in the second post...


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Congratulations!

Others may be along shortly to tell you what a terrible mistake you made but know there are an equal number of us here who agree with you that being debt/mortgage free is a wonderful thing.
So REWahoo, could you point out some threads where anyone said it was a "terrible mistake" to pre-pay a mortgage? I recall some threads (and yes, I've posted to some of them) that it seemed to make *little difference* either way. But there are a lot of threads on the subject, maybe I missed those.

I went through some in the FAQ, and the most objective one I found was this one that ran the numbers in FIRECALC:

Analyzing the mortgage payoff option

With the scenario provided, even when you add a 15% tax penalty for funds withdrawn to pay the mortgage, and assume there is no tax deduction at all on the interest, there is a *small* advantage to keeping the mortgage. This held true for some runs that I made, with my round numbers and current 30 year fixed rates. And the results typically are, somewhat contrary to what seems like "common sense", that risk was lower *with* the mortgage.

But it is typically a small difference, that grows a bit larger if you have a better tax situation. And that 15% hit ignores any taxes paid on the pre-pay, certainly some of this is after-tax money and some is cap gains. But, some could be RMD, so one would need to make this judgment for themselves.

As an indication of how "on the fence" I am about this, I have a small mortgage and I have not expended the energy to either pay it off OR take out a larger one.

In summary, I think the only "mistake" some people are making, is in assuming that it makes a big difference either way. But that is a small mistake, but it might distract people from the bigger fish (hey, points for bringing it full circle, "jumping sharks"?).

And I must add, it *is* a great feeling to save enough to pay off the mortgage - so congrats on that milestone!

-ERD50
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Old 07-10-2009, 01:21 PM   #30
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Congrats, shigsy! Must be a nice feeling. We've been working to get our mortgage paid off in about 8 more years. We'll probably continue down that path, since psychologically it'd be nice to have that last bit of debt "off the books".
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Old 07-10-2009, 02:18 PM   #31
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Congratulations, Shigsy. We also felt that the peace of mind from having the mortgage paid off was more important to us than any potential investment gain. It also allows us to be bolder in other investment areas.

Larry
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Old 07-10-2009, 03:33 PM   #32
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It's hard for me to see how a few people suggesting that there might be a small advantage to keeping a mortgage qualifies as "jumping the shark".
Yeah really, All I said is that "I read an article". I didn't offer a personal view one way or another.
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Old 07-10-2009, 05:10 PM   #33
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...Having said that, I think this thread may have just jumped the shark...
I had to look that expression up.

Heeeeeeeeeeeeeey....

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