Money Vanity

Today | Self

[al baby]

What would you recommend doing if you have 25 thousand dollars to invest today Where would you put it pay down our mortgage that amount relates to about half of what we owe on a modest condo any ideas

[al baby]

I trust many here are far more savvy than I thank you for your thoughts

[gorush]

I would pay down the mortgage and work towards debt-freedom...but that’s just me.

[Steely Tom]

Getting yourself out of debt is an investment that’s a sure thing.

[al baby]

We adebt free except the mortgage my acct. says pay down the mortgage as well but where do you see the savings in paying it off early?

[be-baw]

It depends. What kind of mortgage do you have? Fixed rate or adjusted rate? I think the bottom line is: can you invest that $25K and earn a better rate of return than the interest rate you’re paying on your mortgage?

[al baby]

Fixed

[Chode]

yup, pay down the mortgage...

[Bloody Sam Roberts]

Pay off all other debt. Apply what you can to the mortgage to get the payoff date closer. But don't be in such a hurry to pay it off totally. You'd lose the tax deduction.

But clearing the rest of your debt would be a good thing with regard to what's coming.

[eyedigress]

Tough Call. 25k at the bottom of a bear market can reap Yuuuge rewards.

Depends on your current rate and risk ability.

[MileHi]

Commercial Bridge Loans

http://www.moneyanswers.com/

Now, what would you do if you had $25 to invest tomorrow?

[Aquamarine]

What is the interest rate on your mortgage?

[Labyrinthos]

Paying your mortgage off early is the same as investing the money in a fixed rate investment with a guaranteed return equal to the interest rate on the mortgage.

[kiryandil]

Are you logged in? :)

[B4Ranch]

Paying down the mortgage is not a choice I would select if your mortgage rate is below 5%. Buy some dividend returning stocks with 20 grand and keep the other five at home for an emergency.

[be-baw]

What interest rate are you paying? How many months or years will it take to pay it off?

[kiryandil]

I would take care of other, higher interest debt first (credit cards and the like), then hit the mortgage.

You wouldn't beleive how fast the money starts piling up when you pay off your mortgage...

[Tamatoa]

I’ll invest it for you. Lol

[DugwayDuke]

Do you have an emergency fund equal to two months of required spending, ie, mortgage, groceries, utilities, healthcare, etc.? If not fund the emergency fund. Any leftovers go against the mortgage.

[MtnClimber]

I would not pay down a mortgage if you have a low-rate fixed loan. I think the stock market is in for some democRAT-induced crisis before the election just like they did in 2008. I would hold on to the $25K until the stock market/investors are in the greatest panic and that is where you want to buy into a couple of mutual funds spread across growth, income and value strategies.

[SamAdams76]

If I was debt-free (aside from the mortgage), I would invest it in Apple.

Otherwise, I would pay down my non-mortgage debt.

If mortgage is your only debt and you can manage the payments, it's likely you have a low interest rate on it and that $25,000 could earn higher interest elsewhere. Reason I choose Apple to invest in is that the stock is probably underpriced right now. My previous Apple investment increased over 20x during the 2000s and I would love to ride that wave again.

Had you invested $25,000 in Apple in 2002 (just after the iPod), it would have been worth nearly $2,000,000 just 10 years later.