re: When does it make sense, mathematically, to accelerate mortgage payments?

quote:

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I’m always amazed at older people that still have a mortgage. How is that possible?

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1. Some of us moved many times for career purposes and then moved home at retirement. Therefore the mortgage clock kept resetting. But that is only one part of a complicated series of factors

2. Looking at interest rates and the earning potential of our accounts was important. Our rate was low and we thought that future projected earnings from savings was good.

3. Then considering the cost of drawing the money out of those retirement accounts as a lump rather than spread out over time for tax reasons was another factor.

We chose to let the investment money earn more money and stick with the less than 4% interest loan.

Made sense then and makes even more sense now that interest rates have climbed while the home loan is low and stable as the investments are doing pretty well.

YMMV