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-   -   Paid off Mortgage- Should I share? (https://www.early-retirement.org/forums/f27/paid-off-mortgage-should-i-share-57290.html)

DFW_M5 08-07-2011 12:47 PM

Congrats, its a major milestone event for most. For us, I would say friends are more nosy than family about this topic. We really have not volunteered the info to anyone, but if asked, I would probably be OK with answering vs saying MYOB.

Rustward 08-07-2011 01:31 PM

I told my brother because he asked once. The others probably wouldn't believe it even if I showed them the paperwork. Being the youngest with siblings 5, 9, and 13 years older can be frustrating. I wonder if they think to themselves " . . . but he's so young, how could he possibly be FI? (or have accomplished anything else)"
The brother probably asked because his DW was in the process of persuading him to buy her "the big house" with a 30 year fixed at about age 58. He makes a lot and they appear to spend most of it.

Free To Canoe 08-07-2011 08:03 PM

Quote:

Originally Posted by Sarah in SC (Post 1097849)
For the record, after we had our mortgage burning party, we were not particularly inundated with requests for money or snide remarks about our supposed wealth, but I do have a friend who periodically suggests I pick up the bar tab because I have that "sticker" (she means my Dave Ramsey Debt Free sticker) on my car. I think (hope) she's joking!
But because I am in the biz, as it were, people would expect our finances to be in better shape because we should know better, I guess.

Of course she is joking. Sounds like a good friend. You need to tell her one of the 1st rules of the Dave Ramsey club is to never pick up the tab!:laugh:

OP question: Only you know your situation and can best decide how to handle it.
I will differ with many here and suggest that you share and celebrate your success. No man is an island. What we do influences those around us. I would not be surprised that news like this could snap someone out of "the fog of work" and get them to start thinking about their personal finances.

FreeAtLast 08-07-2011 08:31 PM

I am 59 and I paid off my mortgage about 5 years ago. I don't broadcast the information, however, if it comes up I am honest about it. You being younger might just want to say something vague like 'We will be getting there in a few years".

I would share it with the people in your same financial position.

Congrats! It gets even better when you realize that you have so much more free cash flow each month.

HFWR 08-07-2011 09:47 PM

Quote:

Originally Posted by Free To Canoe (Post 1098030)
You need to tell her one of the 1st rules of the Dave Ramsey club is to never pick up the tab!:laugh:

+1

FWIW, I probably wouldn't tell anyone.

Westernskies 08-08-2011 02:26 PM

So, should I pay off my mortgage, or just not talk about it? ;)

ChadR 08-08-2011 07:53 PM

I don't fault any of the individuals posting in this thread who advise against telling anyone or have chosen not to tell someone. I share many of those same feelings about sharing financial information since at the end of the day that is exactly what it is.

In America its pretty much taboo to talk about how much you make or how much debt you have.

However, reading this thread it struck me how sad that is. Its too bad that our culture is this way and that more people leading financially prudent lives can't speak up and lead by example for justifiable fears of reprisal.

Just a random thought that occurred to me while reading.

bbbamI 08-08-2011 08:21 PM

Quote:

Originally Posted by HFWR (Post 1098053)
FWIW, I probably wouldn't tell anyone.

Not even us? https://www.freesmileys.org/smileys/smiley-sad039.gif

Walt34 08-09-2011 06:56 AM

We paid ours off over a decade ago but we've learned to be quiet about that. A few family members are clearly headed for financial train wrecks, some are going to be marginal, and a couple will do well.

One SIL in particular I can see is going to be particularly jealous when she gets "The Awakening" in about five years. But we haven't spent six figures over the last ten years on vacations, restaurants, hotels, and new-car depreciation like they did.

nvestysly 08-09-2011 07:05 AM

Ours is paid-off and we did not make it a point to tell anyone in a specific manner. If it comes up in conversation that's fine and we'll take a minute to discuss the benefits of frugality and related matters. Other than that we did not go out of our way to tell anyone.

The idea of a mortgage burning party is appealing. We didn't do that but it sure sounds like fun.

HFWR 08-09-2011 07:26 AM

Quote:

Originally Posted by nvestysly (Post 1098678)
The idea of a mortgage burning party is appealing. We didn't do that but it sure sounds like fun.

I thought about this, but figured the authorities would frown upon me burning down the credit union...

FinanceDude 08-09-2011 07:30 AM

When that day arrives, I am going to get a big sign made that says:

Please forgive me, _______ Bank. I had intended to pay you 3 times what my house is worth in interest, but I hit my head and decided you didn't deserve it, so I paid it off very early. I won't do it again!

Sincerely,

Mr. and Mrs. Financedude

ERD50 08-09-2011 08:05 AM

Quote:

Originally Posted by nvestysly (Post 1098678)
The idea of a mortgage burning party is appealing. We didn't do that but it sure sounds like fun.

I might go into mourning. The end of a low interest, tax deductible loan! :( The loss of some liquidity! :(

Just a different viewpoint. -ERD50

Beryl 08-09-2011 03:26 PM

Quote:

Originally Posted by FinanceDude
When that day arrives, I am going to get a big sign made that says:

Please forgive me, _______ Bank. I had intended to pay you 3 times what my house is worth in interest, but I hit my head and decided you didn't deserve it, so I paid it off very early. I won't do it again!

Sincerely,

Mr. and Mrs. Financedude

:D
Love this and wish I sent them this in a letter last year. It was funny how unhappy the bank seemed when they sent me that pay-off confirmation letter.

nvestysly 08-10-2011 06:56 PM

Two Schools of Thought - We Did Both - Sort of
 
Quote:

Originally Posted by ERD50 (Post 1098717)
I might go into mourning. The end of a low interest, tax deductible loan! :( The loss of some liquidity! :(

Just a different viewpoint. -ERD50

I am certainly not in favor of paying a mortgage early if it's at the expense of saving in a 401k, living a reasonable life, etc. In fact there was a time that we refinanced to a lower interest rate, 30 years, and much lower payment. At the time that was a safety net in the event of layoff we could still afford the mortgage. Liquidity was also a concern at the time.

At some point we were saving all we needed, living the life we wanted and we had some extra to pay off the mortgage. We have a number of other tax deductions so the mortgage interest was little help for us.

Now we have plenty of liquidity, plenty saved, the value of the house is a small fraction of our net worth. It's paid for and that's one less bill we have to worry about each month.

So we took both routes at various times during our lives depending on the conditions.

ERD50 08-10-2011 07:02 PM

Quote:

Originally Posted by nvestysly (Post 1099632)
So we took both routes at various times during our lives depending on the conditions.

I think you are very wise to do so. There are pluses and minuses, and conditions should be considered.

My comment was sort of a 'leg-pulling' answer to those who are so entrenched on one side or another.

-ERD50

Hobo 08-11-2011 01:43 AM

Quote:

Originally Posted by ERD50 (Post 1099634)
I think you are very wise to do so. There are pluses and minuses, and conditions should be considered.

My comment was sort of a 'leg-pulling' answer to those who are so entrenched on one side or another.

That seems to be true. Funny, it is such a simple calculation. Figure: can you find a solid investment that pays more than the amount you pay in interest each year minus the savings you make by taking the tax deduction. If yes, then put your extra money in that higher yielding investment. If no, then pay off your mortgage.

Am I the only one who just paid off my mortgage totally without emotion? I guess I have different things in life that excite me. :greetings10:

HFWR 08-11-2011 08:04 AM

I paid extra on my mortgage for about eight years, but when Megaconglomocorp decided I should be fired furloughed right-sized "early retired", I stopped. Figured I wanted liquidity, and not have to sell or remortgage my house to get money... Plus, back then, I had more "disposable income" than I do now, so no mas.

DAYDREAMER 08-11-2011 12:26 PM

We were extremely open about paying down our house. We went so far as to post our 4 year paydown goal on our refrigerator to remind us of the goal everytime we got a glass of milk. When people came to our house, they asked about it. Some found it an interesting concept. We often had people ask us how the paydown was going, and if we kept to our anal schedule. Accountability kind of kept us on track. When we finally got it paid off (at age 38), the people that saw the goal on the fridge early on, congratulated us to be able to stay true to the goal.

It even opened some eyes that you could actually pay off a mortgage early. Some people dont even know that it is possible or how to go about it. My BIL saw what we were doing and decided to do it also. He paid his off 3 years ago. Other people around us are now thinking about it, and asking us questions how to go about prepaying.

If people get jelious, and think its bragging, so be it! Thats their problem. Be proud. You are doing something that takes discipline and hard work. BRAG. I do all the time. If you have shallow friends that dont support you in all aspects, let them be on their way.

DAYDREAMER 08-11-2011 12:37 PM

I forgot to post the types of people that talked to us about our paydown accomplishment.

The supportive people--usually congratulate you and are truely happy for you
The self Defietest people--give you all sorts of reason why they could never achieve such a goal
The You could do better with your money people---give you all reasons why you should invest your money instead of paydown
The tax write off people--- can't believe you are giving up your ability to write off your interest.
And the jealous---hold it against you that you are doing well

I love talking to all these personalities. It is fun hearing the points of view. People know me well, and know I am blunt as hell. I tell them what I think, and they know exactly where i am coming from when the conversation is over.


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