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Primary residence paid off?

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View Poll Results: Mortgage paid off?
Yes and I am <40 yrs old
5
11.36%
Yes and I am 40-50
3
6.82%
Yes and I am 50-60
8
18.18%
No, less then 5 years to go
3
6.82%
No, less then 10 years to go
4
9.09%
No, don’t care, has no priority, rather invest
21
47.73%
Voters: 44. You may not vote on this poll

Primary residence paid off?

Old 04-07-2022, 04:32 PM
  #51  
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Originally Posted by Armyguy View Post
No better feeling than owing no one ANYTHING. Nothing, zip, zilch.
Wrong. Stashing $500k in a mutual fund and making $50k passively for the rest of my life feels better.

Throwing that money away into paying off a low or no % down property (FHA or VA loan especially) is a waste. You're literally losing almost $50k/yr by doing that, that's a bad feeling.
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Old 04-08-2022, 01:09 PM
  #52  
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Originally Posted by immolated View Post
Wrong. Stashing $500k in a mutual fund and making $50k passively for the rest of my life feels better.

Throwing that money away into paying off a low or no % down property (FHA or VA loan especially) is a waste. You're literally losing almost $50k/yr by doing that, that's a bad feeling.
I’ve get both and I like both feelings. The stock market is a great place to park money, except when it’s not. Paying off your house is effectively diversification. The only negative is the argument that your home should be just that, not an investment.
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Old 04-08-2022, 08:05 PM
  #53  
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I did a refi over a year ago for a 15 year fix at 1.99%. I personally rather invest than try to pay it off early.
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Old 04-11-2022, 08:11 PM
  #54  
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Originally Posted by immolated View Post
Wrong. Stashing $500k in a mutual fund and making $50k passively for the rest of my life feels better.

Throwing that money away into paying off a low or no % down property (FHA or VA loan especially) is a waste. You're literally losing almost $50k/yr by doing that, that's a bad feeling.
Agreed on the house calculus. I'm at 2.25 on a principal balance that's basically section 8 housing costs practically. I'm never selling this safety bunker. But spare me the hyperbole. Give me the name of that mutual fund I can park my 40 stacks of high society, and get a 40K pension every year and no principal volatility. If that exists, then I won't have to get that FMS-babysitter job after the .mil, and that right there sounds great to me. I'll even tip ya a finder's fee.
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Old 06-13-2022, 06:56 AM
  #55  
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Wonder how people are feeling now about refinancing paid off houses and investing in the market and Crypto now! I'll take a paid off house any day. Everybody has a plan until they get punched in the face (or wallet)!
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Old 06-13-2022, 08:24 AM
  #56  
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Originally Posted by BLAHBLAHBLAH View Post
Wonder how people are feeling now about refinancing paid off houses and investing in the market and Crypto now! I'll take a paid off house any day. Everybody has a plan until they get punched in the face (or wallet)!
If one refinanced their home at say, 3% and taking their difference putting it in the markets is a long term (30 years or so) investment decision. The drop in the markets is short term. The markets will be coming back to new highs in the not too distant future. They always have, no matter how negative you feel right now.

The problem is people are emotionally driven, short sighted. They sell at a low point, and then panic and buy at a higher point.(Buy high, sell low, make emotionally driven stupid buying decisions.)

Refinancing at higher percentage, say, 5% has pretty well come to a halt. One does not refinance a 4% mortgage at 5%.
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Old 06-22-2022, 01:50 AM
  #57  
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Originally Posted by TransWorld View Post
If one refinanced their home at say, 3% and taking their difference putting it in the markets is a long term (30 years or so) investment decision. The drop in the markets is short term. The markets will be coming back to new highs in the not too distant future. They always have, no matter how negative you feel right now.

The problem is people are emotionally driven, short sighted. They sell at a low point, and then panic and buy at a higher point.(Buy high, sell low, make emotionally driven stupid buying decisions.)

Refinancing at higher percentage, say, 5% has pretty well come to a halt. One does not refinance a 4% mortgage at 5%.
Define not too distant future. The markets aren't going to turn around until the Fed has killed inflation. And that isn't going to happen any time soon with these small interest rate increases.
We will be deep in a recession before inflation's under control. I don't expect the Fed to stop tightening until mid-2023 at the earliest so that's the earliest I see the markets starting to recover.
I am hoping that the S&P can hold 2500, but have my doubts. That's another 1/3 whacked off the value of the S&P.
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Old 06-22-2022, 03:10 AM
  #58  
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75 basis points is “small”?

I wouldn’t be surprised at another 75 basis points in July.
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Old 06-22-2022, 09:08 AM
  #59  
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Originally Posted by BoilerUP View Post
75 basis points is “small”?

I wouldn’t be surprised at another 75 basis points in July.
Kind of like not too distant future. The neutral Fed funds rate is in excess of 6% based on current inflation rate and in order to lower inflation, the Fed has to go beyond the neutral rate. If they do 75BPS every Fed meeting, it's going to take a very long time to get above neutral rate. I'd prefer to see a few increases of >100BPS to get the inflation rate down.
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Old 06-22-2022, 09:49 AM
  #60  
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I haven't paid interest in many years. I say do both, max out your 401k, at least to your employer's match. Max out an HSA (triple tax benefit) and then pay of the mortgage as soon as you can.
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