Let's talk personal debt

[Vamoose]

No question about it, pay off that mortgage. Being out of debt is the best feeling in the world.

 

[FullAuto]

I was thinking A. But I've got 3 guys in their 60s, all worth 7 figures, who know my situation a little better. My situation being that my wife and I are 30 years from retirement and are behind on our retirement & investments for our age. They have all told me this is the cheapest money I'll ever get in my lifetime. They think I should pull out a big chunk of equity (maybe 50-60% of value) at ~3% and I should be able to make a better return if not much better.

I told them I'd just make my former house payment into an investment account but since I'm behind, they think it would be wiser to start with a larger principal. I love the thought of being debt free, but it's hard to argue with the rich, old bastards. I'd be happy with any of their situations at their age.

 

[stick4]

With pickups now costing more than the combined total cost of my first two homes here's a very old blurb from Dave Ramsey on how to save money:
http://www.daveramsey.com/media/flash/elearning/drive-free/player.html

 

[OKCHunter]

It depends. If you're in year 25 of a 30 yr mortgage, you are paying almost all principal and very little interest. Use the money to invest and make money.

 

[TurboFinger]

i would not invest in any "paper product". if you can't defend it with an assault rifle, don't buy it. real assets only. you can throw historical data out the window. we are in uncharted waters. now is the time to get out of the market before the dollar crashes and burns.

 

[O4L]

I don't have much, but I am debt free, and that is priceless.

 

[Mad Professor]

Answer "A"

Eliminate all risk and start building your wealth with what you are saving on house payments. It is very risky to borrow money against your home to invest. Shortcuts and greed will get you in trouble faster than anything.

 

[Zombie]

Pay it off without a doubt.

 

[rr2008]

Had mortgage paid off for years. My answer would be select plan

A

 

[ewheeley]

I might go against the grain a bit. I can definitely agree with an understand the Plan A guys. But the missed investment opportunity carries equal weight. Why not try Plan 50/50 A/B?