What do do when you're mortgage free?

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  • cjdew
    cjdew Posts: 73 Forumite
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    El_Torro wrote: »
    Start investing (in pension and S&S ISAs). Arguably you should have done that before paying off the mortgage.

    Can you explain why you suggest doing this before/or rather paying off a mortgage? Genuine question-this is a minefield and I am intrigued that's all! Thanks
  • El_Torro
    El_Torro Posts: 1,463 Forumite
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    Charjohndew wrote: »
    Can you explain why you suggest doing this before/or rather paying off a mortgage? Genuine question-this is a minefield and I am intrigued that's all! Thanks

    There are many threads on this forum discussing this very point. Basically if you invest rather than overpaying your mortgage the likelihood is that your investments will grow faster than the extra interest you end up paying on your mortgage.

    People who focus on becoming mortgage free generally know this, but they want the security that comes with not having a mortgage.

    Both are valid arguments. Personally I fall in the camp of having more money later in life, even if that means taking longer to pay off my mortgage debt.
  • Steve123456789
    Steve123456789 Posts: 96 Forumite
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    El_Torro wrote: »
    There are many threads on this forum discussing this very point. Basically if you invest rather than overpaying your mortgage the likelihood is that your investments will grow faster than the extra interest you end up paying on your mortgage.

    People who focus on becoming mortgage free generally know this, but they want the security that comes with not having a mortgage.

    Both are valid arguments. Personally I fall in the camp of having more money later in life, even if that means taking longer to pay off my mortgage debt.


    Someone up there didn't understand this.
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