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Re: Morgage shopping, ARM or 30 Fixed?
Old 05-21-2007, 05:38 PM   #16
Full time employment: Posting here.
 
Join Date: Dec 2006
Posts: 509
Quote:
Originally Posted by semtex
Cute Fuzzy Bunny, thanks.

We have no plan to move unless we are on FIRE
Why are you planning to pay off the mortgage early? Have you done the math to determine which gives you more assets?
- Paying off the loan early
- Paying off the loan as scheduled, then investing the difference

I found that paying off my mortgage early (or with a lump sum) was actually financially more costly than paying it for the long haul.

However, with different interest rates and investment assumptions, YMMV.
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