No. of Recommendations: 1
aj485,

You wrote, Making a mortgage payment when you are retired requires that you have more income to maintain the same lifestyle than if you didn't have the mortgage. ...

I would point out that depending on how you structure your investment account, the portion of your P&I payments that are actually treated as taxable income could be very small (as in ~10-20% of your P&I and potentially much lower in the first year or two) in the early years of the mortgage. That's because if you are holding mostly equities, only the gain itself is taxable.

Of course after 30 years 80+% is probably taxable. But so what? It means you've profited handsomely in the interim if that happened.

- Joel
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