Many people don’t even think of doing an early mortgage payoff. Or if they do consider it, they decide not to pay off the mortgage early based on a couple of commonly held beliefs:
- that it’s good to keep a mortgage “for the tax deduction”
- or that it’s better to “invest instead”.
The thing is, neither of those beliefs are necessarily true.
You can both invest and pay off your mortgage. And you may not be getting any tax benefits at all from having a mortgage.
(Many people don’t, so check with your tax person to see if you even take the mortgage deduction.)
We sure weren’t taking a mortgage tax deduction, and we knew we didn’t have to make a choice between paying off our mortgage early or investing. We could do both!