Paying Off Your Mortgage Strategically
For most people, their mortgage is their biggest debt. And we all know that debt is bad. Debt is an emergency that we must pay off as soon as possible. But is all debt bad? Is paying off your mortgage quickly a good personal finance strategy? Paying off your mortgage more quickly has its advantages when done strategically but there are downsides too.
We get a lot of emails asking about paying off mortgages early and people site various reasons for wanting to do so. A lot of people want to join the FIRE movement. They want to quit their jobs, retire much earlier than the typical retirement age of 65, and sometimes start a business with their extra money and time.
Mr. Money Mustache is the God Father of the FIRE movement. He paid his mortgage off years ago to be able to live on something like $30,000 a year.
Some people just hate the idea of having any debt hanging over their heads and as we wrote, a mortgage is the biggest source of debt for most. And there are some homeowners who have a bad interest rate and want to save as much money as they can in a bad situation.
Yes, the idea of being mortgage free is seductive but before you decide anything, we want to show you how to pay off your mortgage strategically.
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