15 or 30-Year Mortgage

When financing a mortgage for your primary residence or rental property, you will need to choose the length of your debt repayment period. Most mortgage loans have a fixed (unchanging) interest rate for a term of 15 or 30 years. Although families often prioritize short-term affordability and total interest paid when comparing financing options, I would like to share a detailed breakdown of the variables I consider. Let’s get right into it!

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Pay Off Debt or Invest

If you ask a group of people if you should either aggressively pay off debt or make minimum payments to invest the rest, prepare for a hot debate! You will likely receive responses of what they would do, based on a range of rational assumptions and reasonable emotions without respect for your financial situation. The issue with one-size-fits-all advice is that it hardly fits anyone.

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How to Review a Mortgage Statement

When was the last time you reviewed your mortgage statement? Like most documents that have become paperless over the past decade, they can easily be tossed aside or dragged into your email’s trash folder each month. Although a mortgage statement may seem dull and solely quantitative, I believe it reveals a unique story that goes beyond the numbers.

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Pay Off Debt or Invest – What are the Facts?

The topic of paying off debt vs. investing is hotly debated, especially among financial planners and famous radio personalities. To give them some credit, they are all correct in one way or another – but the problem with dogmatic answers to this question is that they usually don’t consider the personal part of ‘personal finance,’ nor quote accurate investment data. Debt isn’t a one-size-fits-all topic, nor is investing – thankfully!

Debt pushes today’s expenses into the future, while investing saves for future expenses today.

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Real Estate: The True Cost of Home Ownership

For most Americans, home ownership is viewed as a symbol of freedom and financial success. You can paint the rooms and renovate without permission, play the music louder, and raise your family in a place that feels more like a home than a house.

The availability of mortgage lending and historically-low interest rates makes this dream a reality for many young professionals who are eager to go from renters to owners. This desire to own property often results in confirmation bias when comparing the costs of renting with buying. The issue with this mindset is that it usually starts and ends with comparing the cost of rent payments vs. mortgage payments – “why pay $1,200 to rent that 1-bedroom apartment when you could own a 3-bedroom house for the same monthly payment?”

I do believe that home ownership can provide lifestyle value and potential asset growth, but let’s measure twice and discover the hidden costs of this major decision before taking action.

The True Cost of Home Ownership

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