[LizardQueen]

We went to 15 years at 6.625 just a year after we bought the house (original mortage was 30 years at 8.25) - this was in 1992, right around the time of the last recession.

We haven't bothered to refinance since according to the amortization chart we are paying almost all principle at this point, and it's not worth the refi charges with only 4 years left on the loan.

I LOVE being almost paid off. I know there are tax advantages to paying a big mortgage, but I really hate feeling like I'm living on the ragged edge of losing the house with a job loss. We're getting killed on taxes, though - didn't have enough mortgage interest or property tax expenses to clear the standard deduction last year.

We are going to take out a home equity to replace the siding sometime this fall, but we DON'T use it for anything else. We even save up and pay cash for cars.

LQ

[FreeperinRATcage]

Our plan here is somewhat different...we're going to take those 15 years to use the shorter time to build up good equity in the house...say over the next 10 years. After that, its retirement time (I can collect my pension at 50 years old), move out of the city, buy a nice house down south in the country, and settle in. Of course, gettign another job is definately in the plan.

[AlaskaErik]

I know there are tax advantages to paying a big mortgage, but I really hate feeling like I'm living on the ragged edge of losing the house with a job loss.

This one of the biggest fallacies about interest...that there is a tax advantage. Yes, you do get a break, but if you're in the 33% tax bracket it's like making a loan to someone and getting back 33¢ on the dollar. Some investment! Remember, you get no use out of interest. I'd much rather have my house paid for and have the standard deduction. Now, that is free money.

[aMorePerfectUnion]

"I know there are tax advantages to paying a big mortgage"

Here's the big tax advantage...

You Pay 2 dollars. The Government gives you 1 dollar.

If you like this deal, I'm paying back 40% of all the dollars you give me! Open to all Freepers!

ampu