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To: ozark hilljilly; SouthTexas
Good for you, but here's another way to look at it.

Let's say you took out $100,000 at 4% net (after mortgage deduction) and invested it in a safe liquid IUL program at 8% tax free. In 10 years. you'd have 200,000. If you wanted, you could pay off your house and still have the $100,000 with no tax burden.

Paying off your house is a false economy. There is no rate of return on equity. You can lose a lot of money with downturns. You can't always take it out when you need it (banks only loan money to people who don't need it-Bob Hope) and you have lost your largest tax deduction.

Best wishes!

37 posted on 11/16/2008 11:32:45 AM PST by nufsed
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To: nufsed
invested it in a safe liquid IUL program at 8% tax free.

In your dreams.

72 posted on 11/16/2008 12:28:42 PM PST by Doe Eyes
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To: nufsed

“Paying off your house is a false economy”

Maybe so, but having no house payment to worry about every month is fine by me!
As long as I can cough up the property tax every December, we’ll be alright.
I ain’t looking to get rich...just survive these next 4 years.


117 posted on 11/17/2008 8:28:29 AM PST by ozark hilljilly (Obama lies, the Constitution dies)
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