How fast should I pay off my mortgage?
My current plan is to get a mortgage for around $45,000, putting 15-20K down. According to mortgagecalculator.org with a 15 year mortgage I would have a $412/mo mortgage. That's a lot better than my $730/mo rent now. If I paid $693/mo I'd save nearly $10,000 in interest payments over the life of the loan. Is this worth it? I need to figure out how much ahead I would be if I invested the difference. From what I've read online, considering your home as an investment is not a great idea. But the idea of not having a mortgage payment sounds psychologically inspiring. I'm pretty sure I could pay off a $45,000 mortgage in less than 3 years if I neglect other savings, but is that wisest choice? I could pay the minimum mortgage and invest the difference. Invest at 8% and pay a minimum mortgage at 5%, sounds like I should pay my minimum mortgage... but I'm not sure, I'll have to make a spreadsheet for it.
Anyways, any thoughts on what I should do? Please comment with your ideas!