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DanaRenee
Fitness Junkie!
Member since 6/06 6470 total posts
Name:
Dana
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? re: sending more $$ to pay your mortgage
If you owed 100k on your mortgage, and had 100k in the bank, how do you determine how much extra $$ to apply to your mortage rather than keeping it in the bank?
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Posted 12/17/07 4:46 PM  |
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Prudential Douglas Elliman Real Estate
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bicosi
life is a carousel
Member since 7/07 14956 total posts
Name:
M
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Re: ? re: sending more $$ to pay your mortgage
They have mortgage calculators online where you can type in how much extra will tack off a certain number of years.
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| Posted 12/17/07 4:55 PM |
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Mrs-D-Girl
Love my fur baby
Member since 8/07 5183 total posts
Name:
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Re: ? re: sending more $$ to pay your mortgage
You mean paying your house off 100%?? If that is the case, A) God bless you and B) I would call the bank and ask what the balance is if you would to pay it off now.
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| Posted 12/17/07 4:55 PM |
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DanaRenee
Fitness Junkie!
Member since 6/06 6470 total posts
Name:
Dana
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Re: ? re: sending more $$ to pay your mortgage
Posted by Mrs-D-Girl
You mean paying your house off 100%?? If that is the case, A) God bless you and B) I would call the bank and ask what the balance is if you would to pay it off now.
I do mean paying it off, but if its going to wipe out the bank account, that cant be smart either right? 
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| Posted 12/17/07 5:01 PM |
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bicosi
life is a carousel
Member since 7/07 14956 total posts
Name:
M
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Re: ? re: sending more $$ to pay your mortgage
Posted by DanaRenee
Posted by Mrs-D-Girl
You mean paying your house off 100%?? If that is the case, A) God bless you and B) I would call the bank and ask what the balance is if you would to pay it off now.
I do mean paying it off, but if its going to wipe out the bank account, that cant be smart either right?
I would never wipe it out completely IMO, I'd rather have the $$ in the bank. You could make a few extra payments a year though and have it paid off ALOT, and I mean, ALOT sooner. That's a thought.
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| Posted 12/17/07 5:03 PM |
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Mrs-D-Girl
Love my fur baby
Member since 8/07 5183 total posts
Name:
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Re: ? re: sending more $$ to pay your mortgage
Posted by DanaRenee
Posted by Mrs-D-Girl
You mean paying your house off 100%?? If that is the case, A) God bless you and B) I would call the bank and ask what the balance is if you would to pay it off now.
I do mean paying it off, but if its going to wipe out the bank account, that cant be smart either right?
I would not suggest doing that. I would 100% make some extra payments here and there, but IMO I would rather have the $$ in the bank for piece of mind and just knowing you can pay it off it you wanted to, is reason enough to not worry about things  .
Also, for the tax right off, I would not pay it off.
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| Posted 12/17/07 5:13 PM |
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Katie111806
Team Pink!
Member since 12/06 5349 total posts
Name:
Katie
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Re: ? re: sending more $$ to pay your mortgage
Posted by Mrs-D-Girl
Posted by DanaRenee
Posted by Mrs-D-Girl
You mean paying your house off 100%?? If that is the case, A) God bless you and B) I would call the bank and ask what the balance is if you would to pay it off now.
I do mean paying it off, but if its going to wipe out the bank account, that cant be smart either right?
I would not suggest doing that. I would 100% make some extra payments here and there, but IMO I would rather have the $$ in the bank for piece of mind and just knowing you can pay it off it you wanted to, is reason enough to not worry about things .
Also, for the tax right off, I would not pay it off.
I totally agree
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| Posted 12/17/07 5:17 PM |
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Lee
LIF Adolescent
Member since 4/07 758 total posts
Name:
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Re: ? re: sending more $$ to pay your mortgage
If you did want to pay it off, you would need to call your servicer and request a "Payoff Amount"...it is generally not as simple as paying $100K on a $100K mortgage. Having worked in the mortgage biz for the past 8 years, you should always contact your servicer for stuff like that.
Also, you should definitely consider the tax implications of paying off your mortgage as one of the other posters pointed out. You'd want to speak to an accountant or financial planner.
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| Posted 12/17/07 5:30 PM |
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Mommy2Boys
My Boys!!!!
Member since 6/06 14437 total posts
Name:
C
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Re: ? re: sending more $$ to pay your mortgage
I wouldnt pay off 100K mortgage, it is a tax write off. The payments are probably minimal anyway. If you want to pay it off faster, I would apply more to your monthly payments.
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| Posted 12/17/07 5:46 PM |
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Erica
LIF Adult
Member since 5/05 11767 total posts
Name:
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Re: ? re: sending more $$ to pay your mortgage
You should have at least 8 months in an emergency fund.
Do you plan to stay in the house until after you retire? Suze Orman says that is the only time you should pay off a house in full.
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| Posted 12/17/07 6:45 PM |
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mikeswife06
Drama Momma
Member since 9/06 9947 total posts
Name:
Anne
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Re: ? re: sending more $$ to pay your mortgage
Rule of thumb is if you pay one extra mortgage payment a year, as in one chunck of the amount, you take 7 years off the end of your loan (on a 30 year mortgage). So even if you do 2 extra payments in say January and June you would be in excellent shape! 
Message edited 12/18/2007 7:28:54 AM.
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| Posted 12/18/07 7:28 AM |
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SweetCin
My green-eyed boy
Member since 5/05 13499 total posts
Name:
Cin
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Re: ? re: sending more $$ to pay your mortgage
I'd maybe pay 1/2 off but I'd keep money in the bank (just in case) & also the house is a tax write off, your better off w/ paying it off monthly.
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| Posted 12/18/07 7:34 AM |
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MrsBlueSash
Love my sailor
Member since 6/05 5793 total posts
Name:
Christian
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Re: ? re: sending more $$ to pay your mortgage
I'd keep your 6 months of emergency funds and invest the rest. Get a good financial advisor. A large chunk invested now with the compound interest will really secure a great retirement for you, college for you child, or whatever your goal is.
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| Posted 12/18/07 11:01 AM |
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skew
LIF Adult
Member since 5/05 6794 total posts
Name:
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Re: ? re: sending more $$ to pay your mortgage
Posted by DanaRenee
Posted by Mrs-D-Girl
You mean paying your house off 100%?? If that is the case, A) God bless you and B) I would call the bank and ask what the balance is if you would to pay it off now.
I do mean paying it off, but if its going to wipe out the bank account, that cant be smart either right?
i would NOT advise paying off your mortgage. invest the money at a higher rate then your current interest rate. you will also add to the savings by deducting interest.
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| Posted 12/18/07 11:20 AM |
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imas98
Love my Furbaby
Member since 10/07 1140 total posts
Name:
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Re: ? re: sending more $$ to pay your mortgage
I just read this whole article on CNN about this. They say you shouldn't pay it off unless you have so much extra money and have basically nothing to do with it. It says you should make sure savings and retirement funds are maxed out and of course credit cards are paid off too !
http://www.cnn.com/2007/LIVING/personal/12/10/law.onthemoney.ap/index.html
ETA: link
Message edited 12/18/2007 12:15:28 PM.
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| Posted 12/18/07 12:13 PM |
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DanaRenee
Fitness Junkie!
Member since 6/06 6470 total posts
Name:
Dana
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Re: ? re: sending more $$ to pay your mortgage
Posted by imas98
I just read this whole article on CNN about this. They say you shouldn't pay it off unless you have so much extra money and have basically nothing to do with it. It says you should make sure savings and retirement funds are maxed out and of course credit cards are paid off too !
http://www.cnn.com/2007/LIVING/personal/12/10/law.onthemoney.ap/index.html
ETA: link
AHHHH...thats what I needed... Thank you so much for this link!!!!!!!!!!!!!!!
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| Posted 12/18/07 6:05 PM |
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Beth
The Key to your new home....
Member since 2/06 24849 total posts
Name:
Beth
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Re: ? re: sending more $$ to pay your mortgage
making 1 extra payment a year will take off about 7 years on the 30 year fixed
that is all I would do- mortgage rates are low enough that you can earn more on the money you have and still come out ahead
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| Posted 12/18/07 7:19 PM |
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Re: ? re: sending more $$ to pay your mortgage
Posted by jellybean1420
I wouldnt pay off 100K mortgage, it is a tax write off. The payments are probably minimal anyway. If you want to pay it off faster, I would apply more to your monthly payments.
ITA
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| Posted 12/19/07 7:43 AM |
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