Is it a good idea to pay off a 30 year mortgage early?

+1 vote
asked Apr 13, 2018 in Real Estate - Renting by Cleanda (340 points)
Is it a good idea to pay off a 30 year mortgage early?

1 Answer

0 votes
answered Apr 14, 2018 by Minty (132,850 points)
If you can afford the extra payments to get the 30 year mortgage paid off sooner and you plan to stay in the home then I would recommend sending in more money if possible to get the mortgage down.

Having a paid off mortgage is a good thing. Because if you have your home mortgage paid off all you'll need to pay is the property taxes so in the event you lose your job etc you know that the home you're living in is paid for and no one can take it from you should you lose your job unless you can't pay your property taxes.

But having just the property taxes is a lot better than having the mortgage payment and property taxes to pay.

When you get the home paid off you should put the mortgage payments you were paying on your home into a high yield savings account where the money would earn interest.

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