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re: Question about mortgage payments
Posted on 11/25/22 at 2:02 pm to umrebel2009
Posted on 11/25/22 at 2:02 pm to umrebel2009
Another perspective...
Instead of making an extra payment towards your mortgage, what if you took the 13th payment and invested in an index mutual fund such as VASGX (Vanguard) of the total stock market across the same 25-year term
The investment thinking...likely will return > your 2-3% over that period (ie, positive spread, return over cost). Might you be leaving more value on the table by merely lowering mortgage interest with that 13th payment?
Instead of making an extra payment towards your mortgage, what if you took the 13th payment and invested in an index mutual fund such as VASGX (Vanguard) of the total stock market across the same 25-year term
The investment thinking...likely will return > your 2-3% over that period (ie, positive spread, return over cost). Might you be leaving more value on the table by merely lowering mortgage interest with that 13th payment?
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