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Getting my head around a major change of plans.......

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  • Hi

    I would be inclined not to rush into investing your money but this is my personal opinion and I am naturally risk averse. Paying down your mortgage will save you interest payments and free up a monthly amount each month not to mention the peace of mind of knowing you own your own home.

    An investment may give you a better return, but how and when will you see this money and is this higher return guaranteed? I expect not!
  • Lois_E
    Lois_E Posts: 2,227 Forumite
    Ninth Anniversary Combo Breaker
    edited 12 February 2014 at 9:12PM
    Agree with everyone else. We live in uncertain times economically. If you invest, you MAY see excellent returns over and above the interest that you continue paying on your new mortgage. It may even be probable that you will do a little better that way. But you MAY also lose the lot and end up with a huge mortgage and a worthless investment. Higher returns almost always come with higher risks. How much risk do you want to take on in exchange for the chance of a higher return? Generally, it's better to take risks of that sort (in a balanced sort of way) earlier in life, when you've got plenty of time to sort things out if it all goes wrong, and a lot of years to even out the stock market ups and downs, and then later to become more risk-averse the closer you get to retirement.

    I also suggest you read up on the mis-selling of endowment mortgages in the 1980s and 1990s. :eek:
    Starting again 13/4/19
    Home loan 1: £21,102.50 Home loan 2: £7,698.99
    Total owed: £28,801.49
  • [QUOTE=Lois_E;64682581

    I also suggest you read up on the mis-selling of endowment mortgages in the 1980s and 1990s. :eek:[/QUOTE]

    Did have an endowment and did get a pay out. Cashed the endowment sometime ago as we were advised that we were going to lose money if we kept paying. Of course we put it towards the mortgage:money:.

    Several discussions later and DH is beginning to see my point of view. I think we are going to come to some kind of compromise. :j


    Thanks to everyone for your comments.
    Busymumofthreeplusdog......
    ..............on a mission to curtail the spending and build up the savings
    2015 NSD total - 5
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