Message Font: Serif | Sans-Serif
 
UnThreaded | Threaded | Whole Thread (10) | Ignore Thread Prev | Next
Author: kdjsmom One star, 50 posts Old School Fool Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 5068  
Subject: Re: Pay off Mortgage or Max 401 / IRA Date: 7/19/2007 9:16 PM
Post New | Post Reply | Reply Later | Create Poll . Report this Post | Recommend it!
Recommendations: 3
I'll preface my remarks with the statement that my husband and I have made many a dumb financial mistake. When we sold our too expensive, high maintenance house 9 years ago and bought this one, we were determined to pay cash. We had foolishly not been maxing out our retirement accounts or even accumulating other savings. But---we both had an aversion to debt so we didn't have charge card balances and we had worked hard at paying down the mortgage on the previous house. We stuck to our guns, to the realtor's dismay, and only looked at houses that we had the cash equity to buy. Value of peace of mind living in a paid for house: priceless!

We were also foolishly not adequately diversified in the market and took a big hit in 2000 with our retirement account. Being idiots at the time (we have since educated ourselves financially and reformed), had we put the money in the market rather than the house we would have lost a huge chunk of it. Instead, we have a paid for house. Not saying this is the right thing to do for everyone. It just worked out best for us.

We started saving religiously after we moved into this house in 1998. FIRE is coming the summer of 2009.
Post New | Post Reply | Reply Later | Create Poll . Report this Post | Recommend it!
Print the post  
UnThreaded | Threaded | Whole Thread (10) | Ignore Thread Prev | Next

Announcements

Post of the Day:
TMFDeej's CAPS Blog

Name of the Game: Tax Avoidance
What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
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.
Community Home
Speak Your Mind, Start Your Blog, Rate Your Stocks

Community Team Fools - who are those TMF's?
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and "#1 Media Company to Work For" (BusinessInsider 2011)! 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.
Advertisement