Ask Terry Questions Paying off mortgage vs. investing money

Paying off mortgage vs. investing money

By Terry Savage on April 09, 2024 | Housing / Real Estate

Good Morning Terry,
We are both 65 years old and recently inherited some money. We are wondering if we should pay off our mortgage (We owe approximately 350,000 at 6.9 % interest rate) or should we take that money and invest it in the market? Also wondering if paying off half the remaining mortgage is beneficial and/or would the monthly payment decrease?

Thank you.

Terry Says

Given your age, and the mortgage rate you have, and the risks of the stock market, I would suggest you use this money to pay down your mortgage. Just be sure to have some “liquid assets” (money in the bank or T-bills) on the side.



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