U.S. CitiesCity-Data Forum Index
Go Back   City-Data Forum > General Forums > Real Estate > Mortgages
 [Register]
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
View detailed profile (Advanced) or search
site with Google Custom Search

Search Forums  (Advanced)
 
Old 01-13-2008, 08:40 PM
 
Location: The DMV
5,347 posts, read 9,319,583 times
Reputation: 6355

Advertisements

I'm just playing around with mortgage calculators... and realized that I can shorten my term to 20 years or take out approx. 75K extra without changing my payments too much (I'm only 1 year into my current loan).

What would you do.... go debt free sooner? Or take out some cash? Is it even smart to borrow a weak dollar?

Not sure if this makes any difference... but I have no other loans (CC's, cars, etc..).
Rate this post positively Reply With Quote Quick reply to this message

 
Old 01-14-2008, 06:50 AM
 
5,460 posts, read 6,306,269 times
Reputation: 1806
Do you have a pressing need for the $75K? Do you have a plan to turn it in to more than $75K + 30 years of interest? How does $75K of borrowed money in a taxable account mesh with your investing goals and plans?

One option is to take the 30 year loan but pay it off as if it were a 20 (or 15, or pick whatever term you want). If everything goes well, you only pay a bit extra in the higher 30 year rate. If something pressing comes up, you have the option of paying the true 30 year payment - this frees up some cash at the expense of taking longer to pay off the mortgage.

There's been lots of discussion on this - search for 15 year mortgage.
Rate this post positively Reply With Quote Quick reply to this message
 
Old 01-14-2008, 08:57 AM
 
3,698 posts, read 10,734,892 times
Reputation: 2630
Don't borrow against the equity in your home if you don't have a dire need for the money (which it sounds like you don't).
Rate this post positively Reply With Quote Quick reply to this message
 
Old 01-14-2008, 09:58 AM
 
Location: Oxygen Ln. AZ
9,320 posts, read 17,596,637 times
Reputation: 5742
Why would you want to be $75K further into debt? You will not earn more that the % the bank will charge you and I feel stocks are risky right now.
We were so relieved to finally own our homes free and clear. The last equity boom was very tempting with no shortage of con artists telling us to draw on it and invest it in stocks or more real estate. That would have been a huge mistake. Glad we did not listen to them.
Rate this post positively Reply With Quote Quick reply to this message
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.

Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.


Reply
Please update this thread with any new information or opinions. This open thread is still read by thousands of people, so we encourage all additional points of view.

Quick Reply
Message:

Over $104,000 in prizes was already given out to active posters on our forum and additional giveaways are planned!

Go Back   City-Data Forum > General Forums > Real Estate > Mortgages
Similar Threads

All times are GMT -6.

© 2005-2021, Advameg, Inc. · Please obey Forum Rules · Terms of Use and Privacy Policy · Bug Bounty

City-Data.com - Contact Us - Archive 1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13, 14, 15, 16, 17, 18, 19, 20, 21, 22, 23, 24, 25, 26, 27, 28, 29, 30, 31, 32, 33, 34, 35, 36, 37 - Top