You would think that this is a good thing but now you are presented with the delema; do I pay my regular payment for 30 years, or do I make 1 or 2 extra payments a year and get it paid off early?
Seems to be a pretty easy answer. Would you like to own your home free and clear? and not be pressured with a 15 year fixed forced higher payment. Thats exactly what you have. You can make an extra payment or two when you get a tax refund, or a bonus and want to put it into the savings account, it would pay you a better return to pay down your principle on your primary residence than it would to put it in a savings account paying you 1.5% return.
You could put it in an Roth Ira and it could grow, but being as we are now at the bottom of the market, chances are you could need less money for retirement if your house was paid off; homes cost less now and return on any other savings plan is really, really low.
What are your thoughts?
www.NewportCoastRealEstateTeam.com
Marlene Dietrich, Tony & Mike
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