Pay off mortgage or make monthly payments and invest the rest?

We are at page 22 !?!? My goodness… a thread about “should I pay off my house early, or drop $100k on a guided sheep hunt” would have been less controversial.
 
It’s not controversial. Just strong opinions on really exactly two view points (which is rare here).

It’s died off a bit. Many repeated arguments.

The new hotness is the buying a new car thread. Nice work @Ucsdryder

Edit: I guess that is the exact definition of controversial…good thing I’m good at math and suck at English.
 
Tahoe1305 said:
It’s not controversial. Just strong opinions on really exactly two view points (which is rare here).

It’s died off a bit. Many repeated arguments.

The new hotness is the buying a new car thread. Nice work @Ucsdryder

Edit: I guess that is the exact definition of controversial…good thing I’m good at math and suck at English.
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Just trying to keep the clicks going. 😝

This thread created some excellent discussions!
 
Also another factor here is that some of you are hedging on that you'll still be alive to enjoy that money x years down the road. Your kids might be blowing your investment on OF subscriptions 🤣
 
SWFLhntr said:
Because it is incredibly easy to make more $$ than what you are paying in interest safely. Maybe cheap money is the better term but I'll go with free.........because it basically is. Wish I had borrowed more at that rate. We may never see it ever again.
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Are you saying you can borrow $200,000 with a 2.8% interest, Then invest that $200,000 into something that has a higher return %?
 
RDF1 said:
Are you saying you can borrow $200,000 with a 2.8% interest, Then invest that $200,000 into something that has a higher return %?
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I think you're confused. This whole discussion revolves around paying off a mortgage early OR taking those extra funds and investing it at a higher return than the mortgage interest.
BUT, if you want to loan me $200k at 2.8% I'd love to do it. PM me the docs.
 
RDF1 said:
Are you saying you can borrow $200,000 with a 2.8% interest, Then invest that $200,000 into something that has a higher return %?
Click to expand...
If you pay the minimum on a 2.8% loan and put whatever extra you were going to pay down that loan into a checking account making 4% your money is making you 1.2% essentially risk free. Or for slightly additional risk, you put that extra money into your retirement account and it makes an average of 8% annual you are making the difference (5.2%). And this is before the magic of compounding interest.
 
I’ve been thinking about this myself…If I can I will probably pay the house off in 4yrs when I retire. The housing market has been out performing the stock market and owning your house, having the equity, and no mortgage payment would be great.
 
maxx075 said:
No offense, but I'd love to see the housing market crash 😁
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You say that, but given how short we are on supply, it would take something catastrophic to cause a crash and you would likely be hurt badly as well.
 
At a 3% mortgage rate, investing in the market will usually give you the best return. Especially investing when the market is down. I would invest the extra cash while also putting extra towards your house so you can have it paid off before you plan on retiring.
 
SWFLhntr said:
I think you're confused. This whole discussion revolves around paying off a mortgage early OR taking those extra funds and investing it at a higher return than the mortgage interest.
BUT, if you want to loan me $200k at 2.8% I'd love to do it. PM me the docs.
Click to expand...
Confused i was.
Ive never had a mortgage so i was trying to figure out how it was "Free Money".
 
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