Depending on what type of risk you want to take, you could actually start investing in preferred stocks and other interest/dividend paying securities, using the money that you receive to make the mortgage paymentSee, this is when I start to get confused. Why does everybody treat mortgage debt differently? Yes, rates are low, yes I get a tax break, yes on "average" I will get more in the stock market over the long haul. But as long as I carry the debt haven't I essentially borrowed against my house to invest (buy cable, eat out and every other non necessity thing I purchase while carrying the debt)? I truly do get the numbers part. Especially with a 15 year 3% mortgage, I understand why someone would invest it instead. Statistically, I will come out ahead over the life of the mortgage if I invest that monthly amount. I will ponder this some more. Right now, according to Quicken, if I throw $1k/month at the debt I'll have the house paid off in less than 7 years. That's six years longer than I'd like. I will have to look at what my risk tolerance is and the likelihood I will earn more in the market (after fees and taxes) short term vs. just applying it to the principal.
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