Hello,
So this may get long, and I'm doing this from my phone so please bear with me. My wife and I bought a home through and FHA loan just under 1 year ago. Details on the home:
(These numbers are not to the penny) Home cost - $199k Mortgage - $193k Interest rate - 4.875% Monthly payment - $1350
Last year we had an AGI of $85k, and for 2020 should be closer to $90k. We have been aggressively paying off student loans and will be done next month. Our only other debt then would be 1 car ($16k, $300pm)
We can pretty easily put away $2000-$2500 per month, which is what we have been putting into the student loan pay down.
I checked out the Dave Ramsey mortgage pay down calculator, and it estimated if we were to make 2 mortgage payments per month, we would pay the house off by 2028. This sounded fantastic, but lead me to my next question....
The bug question is would it be more beneficial to pay down the mortgage and have no mortgage in 8 years time, or spend the next 8 years saving and investing in Index Funds/Rental Properties?
Side note, even with an additional mortgage payment we should be able to save/invest around $1000 per month.
I appreciate all the help!
Submitted February 11, 2020 at 07:24PM by mcfc34 https://ift.tt/37kHUQ3
