tag:blogger.com,1999:blog-24744976.post6375856164684963380..comments2008-01-31T16:06:05.209-06:00Kevin Surbaughhttps://profiles.google.com/114850083782944258911noreply@blogger.comBlogger3125tag:blogger.com,1999:blog-24744976.post-41529158717505838552008-01-31T16:06:00.000-06:002008-01-31T16:06:00.000-06:00That mystical 12-percent return depends on the time frame. Got a 6 percent mortgage in 2000, paid it off in 2005. My S&P 500 fund gained a whopping .6 percent during that time frame. I made a guaranteed 6 percent paying off my loan. 'nuff said.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-24744976.post-60902698558216572502007-11-20T18:13:00.000-06:002007-11-20T18:13:00.000-06:00No, no, no. You need to work on the math. The money can earn 12%-ish in the stock market, which may or may not be taxed, depending on the account type. You pay whatever percent your mortgage is at for that privilege to "borrow against your home." Hopefully, your mortgage rate is lower than stocks on average or we are all in a massive depression.<BR/><BR/>The better argument is that the tax deduction is pretty weak because you have to get past the standard deduction before you can deduct anything at all. Thus, you can only deduct whatever you paid in interest ON TOP of what you would already deduct.<BR/><BR/>The even better argument is the Suze-Orman-style touchy-feely argument that paying off your house makes you feel better.Vickinoreply@blogger.comtag:blogger.com,1999:blog-24744976.post-22598406701129671642007-11-20T16:33:00.000-06:002007-11-20T16:33:00.000-06:00There are several mortgage calculators out there on the net that will show you the interest savings and the logic is impossible to beat - paying off your home mortgage early not only makes SENSE but it also puts you in a more secure position.<BR/><BR/>My favorite site for mortgage calculators is: http://www.dinkytown.net/<BR/><BR/>Edie in MissouriAnonymousnoreply@blogger.com