Paid The Mortgage Off Early! ADDENDUM

[raljr1]

Well, Congratulations...from a guy who just signed a 30 year 2.75% mortgage at 66 years of age....I doubt I'll live to pay it off....the mortgage interest deduction is useless now for most folks because of the increased standard deduction. And I just have to make my investments pay more that 2.75%.

I would not mind being without a mortgage, but pulling the money out of my 401k to pay it off will cost me about 20% in federal income tax....not happening.

 

[pawncop]

It certainly appears you have addressed the major issues.

I would point out, from our experience, medical costs may become an issue. Getting decent insurance and medication coverage may not be a big deal for you now, but aging can get real complicated quickly.

I hope for the best and commend your efforts.

 

[quikdraw67]

It certainly appears you have addressed the major issues.

I would point out, from our experience, medical costs may become an issue. Getting decent insurance and medication coverage may not be a big deal for you now, but aging can get real complicated quickly.

I hope for the best and commend your efforts.

Thank you. We are in our mid-50's, in reasonably good health, and both have good insurance from our jobs.

But yes. That will be something to be addressed down the road.

 

[F4phantom]

Congratulations, what a great feeling.


We paid ours off seven years early. figured the money was better in our pocket than the bank's. That was 18 years ago.

 

[Mike SC Hunter]

Well…….. the flip side is , if u have a low interest rate in the neighborhood of 3% or less and something as simple and safe as an i bond is paying almost 10% plus u write of part of the 3%. Maybe not paying it off is an option. I understand the feeling of paying off a mortgage is wonderful. But even in these times of turmoil there's other places to put money. It's not a one size fits all, so let's not be to hard on the people who think having a mortgage is ok………. I don't think there's a person reading this that would lend me money at 3%. So why give that up. Just my thoughts.

BECAUSE YOU BECOME DEBT FREE. iN YOUR SCENERIO(sp?) YOU Still OWE MONEY.

 

[dmn57]

Even with all the potential of gains vs. low rate mortgage payoff, there is no better feeling than to be free of what for most of us is the biggest debt we have. Debt freedom is what set us up for retirement. Congratulations!

 

[Dave_n]

The mortgage deduction on Fed Taxes has not been worth it since the Carter years. So you pay $5000 or more in interest per year and unless you are in the top 75% or higher you will get a tax reduction of ~$1000. Paying off does "pay off". My wife and I did so over 20 years ago. In addition, as implied above, the look on the face of a car salesman when you decline all financing after s/he has spent some time trying all sorts of figures, when you pull out your checkbook and write a check for the total. Definitely not a happy camper at that point. Dave_n

 

[pharmer]

.....That's it. No more debt. Only the monthly power/garbage/tv/phone and yearly taxes. I've never been debt free since college.

We did it in 2014. The regular monthly bills (excluding food and fuel) are right at $1200 anyway, almost half going to property taxes, home and auto insurance. It's still quite expensive no matter where you live. Congratulations on "cancelling" something that actually improves your life. Joe

 

[Golddollar]

In addition, as implied above, the look on the face of a car salesman when you decline all financing after s/he has spent some time trying all sorts of figures, when you pull out your checkbook and write a check for the total. Definitely not a happy camper at that point. Dave_n

When I bought my current 2008 Mercury, the cashier about had a cow when I pulled out numerous rolls of Golden Dollars as part of the down payment. It was my saving plan to try to reduce the financing. The coins were all in bank wrappers but she said she would still have to unwrap and count all of them, so she said to me just write a check. I still remember having to pay $80 in Golden Dollars to seal the deal.

 

[quikdraw67]

Now you will get 30 calls a week wanting or even demanding you sell your home!

I won't answer a number I don't have in the phone's memory! Seems robots have no problem leaving lengthy voice mails!

Ivan

Caller ID is your friend

 

[robvious]

debt free is the way to be.. we paid off our 30 year in about 16 years... felt great... paid off all the vehicles then too... been paying cash since then.. and we both turn 56 this summer...
the piece of mind from NOT "having to" make payments is worth more than most of the deduct this and invest that schemes...

 

[hsguy]

Thank you. We are in our mid-50's, in reasonably good health, and both have good insurance from our jobs.

But yes. That will be something to be addressed down the road.

Look into long term care insurance now and not down the road. It gets exponentially more expensive as you age. My two financial regrets are not having long term care insurance and not converting my standard IRA to a Roth IRA and having to take required RMD's if not needed.

 

[pharmer]

Look into long term care insurance now and not down the road. It gets exponentially more expensive as you age.

Great idea. I had LTC insurance on my last job, $17 twice a month. I tried to keep it when I retired last December. They quoted me a little less than $400 a month going forward, I guess because I'm 68. We're spending that much already on house, auto and health insurance now. All of the men in my family bloodline drop dead way before 80, most in their 50's. I'm going with that. Joe

 

[messmergreen]

Congratulations! It is probably very nice feeling to be debt free. I will be very and very relieved when all my exams are behind me. With the help of https://lеtsgradeit.com/review/superiorpapers/ i was able to finish all my assignments on time but still the most difficult part is ahead. I sleep for 4-5 hours a day maximum and don't have much time to hang out with the friends. Looking forward for this time to be finally over.

 

[Golddollar]

Thank you. We are in our mid-50's, in reasonably good health, and both have good insurance from our jobs.

But yes. That will be something to be addressed down the road.

From my own experience, long term care is something to look into now. A long period of good health helps to smooth out the premiums. I got my LTC started at least 20 years ago, before my diabetes, sleep apnea, high blood pressure and cardiac artery blockage came into being. My dad summed up the advisability of my getting long term care insurance in my middle age: "You have a stroke and you're off to the home." Because of his father's history of strokes he wasn't kidding.

I'm 70 years old and retired now, and having the lower premiums from starting my coverage early has made affording the premiums a lot easier now.

 

[Chubbo]

Our home mortgage

What prompted my wife and I to build a home, circa 1954, was that owners of rental property refused to rent, to folks with children, and we had two sons. Civil rights were a bit different in those days. The mortgage on our home was a bit different. We owned the acre of land that we planned to build our home on. Our home, was to be the first all-electric home in the State. We placed an ad, in the main newspaper of the State capital city. When it was finished. There was to be an open house display held on two weekends. I solicited, and received, donations of the electric heat system, the low voltage Touch Plate lighting system, The electric service switchgear, lighting fixtures, etc. so those suppliers would be listed in that ad. It was quite intimidating for a 23yr old apprentice, but very gratifying. I took out a loan to build our home and worked every hour, that I could find, standard and overtime, to earn money to pay back that loan. I was fortunate, and found all the work I could handle. Consequently, that loan was paid in a very short time. I couldn't bear to burn that mortgage at a customary mortgage burning ceremony, and we still have it.

Chubbo