Pay down 3% mortgage?
We have a 30 year fixed mortgage of $270,000 @3.125%. We have only been in our home 2 years after living in our previous home 41+ years. Is it a good idea to pay 2 half mortgage payments a month rather than 1 whole payment?
Terry Says
Taht depends on whether you have other savings for retirement, and whether you are already retired now. A 3% mortgage is a “gift” to yourself!
The really good idea is to NOT owe ANY other debt at higher rates — such as credit card debt, or auto loans. And to keep some cash liquid for emergencies. It could earn 5.5% now with safety.
Read this: https://www.terrysavage.com/t-bills-beat-cds/
