No. of Recommendations: 1
* An owned home is peace of mind, but an illiquid asset
Keep in mind that you own the home whether or not you have a mortgage.

* Foreclosure is a risk, not meaningful if you have cash on hand to cover your mortgage payoff
The primary--and probably the only--risk in having a mortgage is cash flow to make the monthly payment each and every month.

There is a great quote which was originally on the topic of investment strategies, but which is also applicable to the home mortgage topic.
"Long-term investment returns typically emerge as the delayed payment for adhering to a sound discipline even when it is uncomfortable to do so. Short-term investment returns are often easier to find, but they tend to be advances on a loan that will eventually be repaid with interest." -- John Hussman
Print the post  


The Retirement Investing Board
This is the board for all discussions related to Investing for and during retirement. To keep the board relevant and Foolish to everyone, please avoid making any posts pertaining to political partisanship. Fool on and Retire on!
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.