Tag: prepay mortgage
Prepaying mortgage versus saving
Most people believe they should rid themselves of their mortgage before they save for other accumulation goals. However, as Todd Ballenger pointed out in his book “Borrow Smart Retire Rich” this decision comes with hidden costs. Here is an example, let’s assume a homeowner has $1,000 each month to either save or use to pay [...]
Posted: October 1st, 2008 under General Mortgage Info., Personal Finance.
Tags: financial arbitrage, net after tax cost of borrowing, prepay mortgage, savings
Comments: 1
Prepay your mortgage versus invest the difference?
There was a great article in Consumer Reports that was sent to me recently by a colleague. Consumer reports ran some hypothetical scenarios where a person had the option of either investing or prepaying their mortgage by $100 per month. The results? You’re better off investing the money in the long-run. Check out their article [...]
Posted: February 14th, 2008 under Debt, General Mortgage Info., Personal Finance.
Tags: extra payments, prepay mortgage
Comments: none