Ahh the old pay off the house or invest debate. I don't think there is any right or wrong answer. Depends on how much you value security vs. taking a chance and maybe getting a better return investing.
We decided to put money in 401k's and roth Ira's(instead of paying extra on mortgage) as I think the security of having your house paid for is somewhat overrated. For example if things get so bad that I couldn't afford my $360 house payment chances are I couldn't afford the real estate taxes either. Plus there are other ways you could loose a paid for house. And I don't plan on ever filing bankruptcy(who does?) BUT money in retirement accounts is protected where a house is not.
We will have our house paid off in our early 50's anyway as we bought at an early age.
With the stock market the last couple of years I'm thinking maybe I should have paid off the house instead but hindsight is 20/20.
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The real difficulty in changing any enterprise lies not in developing new ideas, but in escaping from the old ones. - John Maynard Keynes
In capitalism man exploits man, in communism its vice versa.
Experience demands that man is the only animal which devours his own kind, for I can apply no milder term to the general prey of the rich on the poor. -Thomas Jefferson
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Last edited by Snodog : 11-05-2009 at 06:14 PM.
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