Thread: Investing 102
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Old 08-10-2012, 03:32 PM
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Quote:
Originally Posted by GregWeld View Post
A paid off house when rates are at 7 to 15% is smart.... but when they're under 4%... that would be just plain dumb.

We're at HISTORIC low mortgage rates.... and the rates of return on our investments should far out pace a FIXED mortgage. Think about this over a 10 / 15 / 30 year time frame.... surely our interest rates won't go down much from here... but they certainly could RISE from here.... So put yourself in a position to pay 4 and earn 8....
Greg, that is my plan, and I am sticking to it. Some people would say , why would I take a 30 year loan, when I am 52 years old ? At 3.5%, why not ?

I can beat that long term easily. It took years for my Wife to get that, but she understands now. She wanted to throw more at the principal until I showed her the numbers.
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