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Real Estate Tips
Financing Your Home >Home Free

Conventional wisdom says, "Don't pay off your mortgage early." Are you foolish to consider an early payoff? Absolutely not! By adding just $50 to $100 to your mortgage payment every month, you can save thousands of dollars in interest, pay off your loan quicker, and eliminate a major monthly expense.

The argument usually given against paying off a mortgage early is that you can make investments with your extra cash, such as mutual funds, stocks or bonds, which pay higher returns. This approach enables you to take the mortgage interest deduction and have easy access to your money, in case you need it. These are all definite pluses, but are not guaranteed savings results.

Any extra income which an investment might generate above your home equity appreciation can be offset by a bad year in the investment market. Investment earnings can virtually eliminate the income tax advantage of your mortgage interest deduction, since stocks and bonds are likely to generate a fair amount of dividends, interest income and capital gains.

It isn't as simple as conventional wisdom--consult a financial expert.

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Real Estate Trivia
Q 
Which city in the U.S. has the longest formal name, but the shortest abbreviated name?

A 
El Pueblo de Nuestra Senora la Reina de los Angeles de la Porciuncula is the full name for Los Angeles, known as "LA".
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Jolene Dosdall, REALTOR®, real estate agent and broker for Rochester MN, Byron and Stewartville, Minnesota home listings, property and land for sale - NUMBER1EXPERT(tm)

Jolene Dosdall
RE/MAX of Rochester

4600 18th Avenue N.W.
Rochester, MN 55901
Phone : 877-287-7724
Phone 2: 507-287-7724
Fax: 507-288-9022
isellrochester@NUMBER1EXPERT.com

Jolene Dosdall has been helping families relocate since 1986. Her knowledge and expertise in relocation will provide you with the highest level of customer service that you and your family will need. Jolene is available to answer any questions you may have and will work hard to make your move to the Rochester area a wonderful experience. "Jolene Dosdall working hard so you don't have to!"

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