Paying off the mortgage early grows in popularity

[FIREd]

I paid off my mortgage a few months ago. The mortgage was small compared to the size of my retirement portfolio, so I don't think it will make much of a difference in the end.

[Bestwifeever]

Quote:

Originally Posted by ripper1 Well then you are unique because usually rich people carry mortgages. They are using the banks practically free money.

Source?

[Texas Proud]

Quote:

Originally Posted by MDJO Paid off mortgage a few years ago at age 55. With today's rates so low, if you are willing to take the risk, borrowing at low rates and investing makes sense. I didn't owe that much and it just felt good to quit dealing with the bank.

One of the problems is with the fees... to get a new mortgage will cost maybe $5K, or more... that is a lot to overcome without a good return...


When I bought my house, I priced that into what I was willing to pay...

[Finance Dave]

Quote:

Originally Posted by Marita40 I'm in the "can't wait to pay off the mortgage" camp. Just refinanced and have about three years left--counting down the months!

Good luck! Paid ours off about 3 months ago. Only downside is that we bought another rental...and partially financed it. We put 50% down and we are forcing ourselves to pay it off in 3 years to avoid any step-up in the HELOC rate issues. So far so good!

[Surewhitey]

Paid ours off in 05, sold in 08 and still are renting since. We may plant ourselves soon, but only if we pay in cash and maybe take advantage of the weakness in the market lately and in the near future.

I'd rather guarantee a 4-5% return vs. the minuscule bank rates now and in the future. Not to mention savings of closing costs and increased monthly cash flow. Peace of mind and personal gain is better to us than trying to make 8% to net 4% on a 4% loan and taking on risk to do so.