Date Posted: Aug/09/2009 3:12 PM
Rating: 0

Home value is apx. 160k
Balance left on loan, $66,112
9 years left of 15 year note at interst rate of 5%

I am 40ish, single, salary between $80-90k
No dependents, only other tax deduction is I donate at least 10% of my salary to charities.
20% off the top of my salary into 401k
Only bills beyond mortgage is utilities, food etc. each month. No car notes or credit card debt.

Net worth of 401k, various investments including about $120K in liquid cash at the moment is around $750k

I have had some nice returns on some stocks I bought over the last 6 months.
I am seriously thinking it would be nice to just pay off my mortgage and be completely debt free.
Other than the satisfaction of knowing I don't owe anybody would this be a wise decision to give up my mortgage deduction?
Should I keep playing with my cash and increasing that amount with buying and selling stocks instead?

The idea of paying off the mortgage and being debt free sounds really good. But a part of me wonders if I should just let it ride since it's only 5%?

Any suggestions or linking me towards discussion of the matter elsewhere from trusted reliable sources would be much appreciated!!

*******************

Date Posted: Aug/09/2009 3:41 PM
Rating: +16

If the only reason you are considering NOT paying it off is for the deduction, then I say definitely pay it off. I never really understood the whole keeping a mortgage for the interest deduction thing. It's like spending a dollar to save 30 cents. Plus where else right now can you find a guaranteed 5% return? Oh and congrats for being in such a position!
***************

Date Posted: Aug/09/2009 4:40 PM
Rating: 0

Hey, Thanks to everyone for the great input and suggestions!!

Would just like to point out that I am sorry if anyone found my question to be anything other than wanting to simple advice and input from a group of people that obviously pay attention to their finances or they would not be in this sub-forum!

Nothing has ever been handed to me. My dad was a school teacher in MS so we had jack growing up! I started painting houses with him full time in the summer at the age 12!
Was taught to work hard and save harder from my first earned dollar! I paid my own way through college an have continued the same principles which have served me well.
I am no whiz at this and thus wanted some suggestions and in put!

Once again, thanks for taking the time to respond!