Our first question of the month comes in from Patrick from California:
Hey Andy, can I pick your brain real quick about paying off your mortgage?
I just bought a house here in San Diego and got a 30 year fixed on it.
If I wait 30 years to pay it off, I will have paid $162,000 in interest which doesn’t sit very well with me.
What was your reason for paying off your mortgage?
I was thinking instead of making extra payments on the principal that I would instead invest that money. After 8-10 years I would have amassed enough to pay off the mortgage in a lump sum.
What are your thoughts on that? Invest the money or pay off the mortgage?
My reason to accelerate paying it off is that:
1. I hate debt
2. Lower my monthly expenses after loan is paid off
3. Save at least $100K in interest payment
Many thanks bro!
Continue reading “Pay Off the 30-Year Mortgage Early or Invest?”
Have you ever thought about refinancing your home? Most homeowners I know have entertained the thought at one time or another. They think it’s probably a good idea, but don’t know if it makes sense for them or not. Mortgages are confusing already. Refinancing adds to the confusion and if you don’t know what you’re doing, it can cost you big time. Let’s look at when it makes sense to refinance your mortgage and when it’s a bad idea.
Continue reading “When It Makes Sense to Refinance Your Mortgage (And When It Doesn’t)”
3 years ago, Nicole and I moved into our forever house. It was love at first sight.
Compared to our previous 1,100 square foot bungalow, this new tri-level home had a bigger yard, an open floor plan and neighbors that became instant friends of ours.
When it came time to choosing the mortgage, we didn’t want our dream home to turn into a nightmare.
Continue reading “5 Reasons to Choose a 15-Year Mortgage”