Why Pay Off My Mortgage When I Can Invest More?

Why Pay Off My Mortgage When I Can Invest More?

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• The Ramsey Show (Highlights):

[ethanlangford]

Dave said he was good instead of “better than I deserve!!!” The world really is coming to an end

[jeromeschmidt]

You are not guaranteed employment, and investments are not guaranteed assets; but a paid off home is. I had a lot of friends in '08 lose everything, not being able to retire, etc. because they played the game and lost. Owing nothing to no one means I get to keep everything I have. Good luck to you when this bubble pops.

[DEM]

Before even watching the video, I already knew exactly what he was going to say.

[heslind]

How old is the millionaire survey? Did those millionaires have 2.0% or lower mortgage interest rates? I think this needs to be addressed with current data.

[ILUVGOLF]

I just bought my first home. 182K. My mortgage is $500 right now. I use to rent for $1250. I am aggressively attacking the debt every month paying between $2 to $6k each month on top of the regular mortgage payment. I will pay it off this year. Becoming debt free allows me to play golf everyday and work less. I don't worry about paying bills anymore and that has led to an explosion of creativity and happiness. Pay off the debt and get rid of the chains, amigo's! Time is the most important thing in our lives.

[aulzhoefer]

Pay off the house then you can relax and invest. Life is about living, enjoy life and have a base.

[MichaelAnderson-wkno]

I've never heard of anyone that regretted having paid off their home early. But I sure HAVE heard of many people dealing with unexpected financial hardships and having to worry about their home being taken away from them if they couldn't pay the mortgage. If you have the means to get that liability out of your life early, do it!

[ii]

A difference no one points out.
When your house is paid off, you have more money in your pocket every month forever.
When you have stocks, you only get money in your pocket if you sell them which people don't do until 65.
I've seen so many rich people die rich. Scared to touch their savings.
Paying off your house, you're forced to realize that increase in living every month.

[prkzoomin]

Best Quote, Strong People rarely have an easy Past.

[erikrohr]

Not a single millionaire has ever said that they invested instead of paying off their home early? That sounds like an obvious lie. I know of examples. Lying is immoral.

[epicgaming]

This is where I disagree with Dave, invest the money and make a better roi

[brandonmcmillan]

Invest more. Pay off your house later. This is where I disagree with Dave

[TheValiantLion]

This is why I take advice from Dave Ramsey...and not all the ‘millionaires’ in the Comment Section. The behaviors that cause people to get out of debt, have more impact on becoming wealthy than just chasing the best interest rates. I am happily out of debt + emergency fund, investing 15% of my income, and well on my way to wealth because I followed the Baby Steps.

[ryaninman]

Paying off a house before investing more in expensive places like California does not seem to be realistic. There is so much money that would be missed out on from paying the mortgage down quicker rather than investing. Perhaps this can work for high earners with a low risk tolerance but for the middle class it just feels like an out of touch thing to recommend. Maybe this would have worked in the 2008 housing crash, now houses are simply too expensive...

[clarksmith]

"...When I Can Investing More?"
S T O N K S

[SelfMadeWealth]

Money is hard to earn and easy to lose. Guard yours with care.

[YogiLogic]

Dave, please interview Graham Stephen. You might find that first millionaire !

[alicelaybourne]

I am in a home that I plan to live in, indefinitely. Paying off the house quickly (over the 15% investing) is a good idea for me. Even if she "thinks" they are going to move, the chances are good that she will build very little equity in that short time frame. Not sure why he didn't at least address that point more at length. I think she is throwing money away in his scenario. And Anthony adds nothing to the conversation. Really wondering why the constant sidekick. It is annoying, since they don't have anything original to say (and if they do, like Dr. John they are quickly hushed.

[ClosedCasket]

This is the same question that Marko from Whiteboard finance answered, and makes complete sense to invest instead of paying off your house early. But Dave is reying to motivate people who've made bad financial decisions to guarantee basic and fundamental weath building with minimal to no risk

[unclealan]

this question always comes up because of the sheer size of the mortgages. when the end seems so far away it hard to visualize that paid off home. but when the winfall can pay off the whole mortgage amount, its easier to make that choice between mortgage vs invest.