Welcome Stockaholics!

We are a new and fast growing financial forum! Sign up for free and let's talk stocks!

  1. Do you want to help develop this community? We are looking for contributions from investors and traders like you! What stocks do you follow? What is hot right now? Sign up and get in on the ground floor of the newest, fastest growing financial forum!
    Dismiss Notice
  2. You will notice a live chat widget on the right. Click in to join us and lets hear about how you nailed that last UWTI trade!
    Dismiss Notice

Live Mortgage Free or Invest?

Discussion in 'Personal Finance' started by famousbrownbear, Feb 3, 2019.

  1. TomB16

    TomB16 Well-Known Member

    Joined:
    Jun 22, 2018
    Messages:
    2,275
    Likes Received:
    1,085
    Your good words echo like distant thunder, Brontide. :thumbsup:
     
    The Brontide likes this.
  2. A55

    A55 Well-Known Member

    Joined:
    Jun 28, 2020
    Messages:
    1,043
    Likes Received:
    238
    It all depends on your individual finances. Many options. You could, in theory, buy the house in cash. That would free up your cash flow from paying rent or mortgage. You could then draw against the equity in the home, depending on interest rates, then put that money to work for you. A friend of.mine, not me, leveraged his house, bought a rental, the tenant's rent pays his debt, and he writes off interest payments on a loan which tenants pay for. He's living in his own house, technically for free, gets a free house paid by tenants, writes off interest he doesn't pay, and has increased free cash flow after writing off interest and depreciating the real estate.
     
    The Brontide likes this.
  3. The Brontide

    The Brontide Active Member

    Joined:
    May 15, 2020
    Messages:
    284
    Likes Received:
    112
    I certainly do not have the stomach for playing landlord. The horror stories. And my and mine are steadfast against any kind of equity tap. My house will never be a bank account. Except when we sell it to downsize for retirement, in which case the new home will be paid in cash from the proceeds, and the leftovers, to travel and play on.

    But as you suggest, a topic such as this topic requires everyone to know their own situation. That is most important.
     
    TomB16 likes this.
  4. B Russ

    B Russ Well-Known Member

    Joined:
    Sep 25, 2017
    Messages:
    487
    Likes Received:
    276
    What would you call it?

    it may not be retirement yet, but its a path to it, and better than a 9 to 5 plan.
     
  5. JTuber

    JTuber Member

    Joined:
    Nov 19, 2020
    Messages:
    44
    Likes Received:
    18
    Lol. Omg this is comical. Sorry guys.

    I came from the another investment forum (no name mentioned out of respect for this site) and over there people are so conservative. For them it's not investment if it is not 100% ETFs. If you talk about stocks you get burned at the stake. So I sought and found this forum, hoping to find more liberated like minds.

    This topic did come up a few times in the other forum. What I find funny is that over there people seem to advocate holding on the mortgage and using that money to invest. Here it seems we advocate paying off that debt first. It's just the reverse. Not saying who's right and who's wrong. I myself prefer no debts so I paid off my mortgage. It's more from the peace of mind sleeping at night and one less thing to worry about. But it's up to each individual. There is no right or wrong here.
     
    T0rm3nted likes this.
  6. Bridget Mallory

    Joined:
    May 9, 2017
    Messages:
    91
    Likes Received:
    24
    It really depends on your situation, if it was me I would pay my mortgage so I don't have to pay interest.
     
  7. JenniferChurchillZYc

    Joined:
    Nov 25, 2020
    Messages:
    4
    Likes Received:
    0
    In my opinion, Invest is the best option.
     
  8. Stocksam

    Stocksam New Member

    Joined:
    Jan 6, 2021
    Messages:
    14
    Likes Received:
    3
    If the rate on your mortgage is higher than what you might make by investing the cash, it's often better to pay down your debt before investing
     
  9. JenniferChurchillZYc

    Joined:
    Nov 25, 2020
    Messages:
    4
    Likes Received:
    0
    I think that a mortgage is a good thing, because it allows you to have a house not for the full price, and when you have a stable income, you can pay for this house every month and be happy. So, I also wanted to buy myself a house on a mortgage, but I wanted to find an experienced person who would help me in this matter. I decided to google it and came across this site Mortgage Broker Newcastle . On this site, I found an experienced person who helped me with the purchase of my house and also generally helped with all the documentation that I had to complete.
     

Share This Page