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#155597
Dan Schointuch
Keymaster

The answer is going to depend on your individual situation. But in general, you’d want to look at the amount of interest you’re paying on the home vs the amount of interest you think you could earn if you had the money invested elsewhere.

If you earn more interest investing the money than you’d pay out under your normal mortgage payment schedule after taxes, then it’d be better to keep your money invested until your mortgage payments are due.

However, paying down your mortgage is guaranteed to save you whatever your interest rate is, while investing usually involves some degree of risk that you don’t earn what you want or lose money, so you’d need to balance the risk of not earning enough from your investments than you’d save by paying your mortgage early when making your decision.

Because there are tax consequences/benefits that’d have to be factored in to the computation, it might be beneficial to meet with a CPA or financial advisor and have them review your specific situation in detail.