- Aug 28, 2011
- Reaction score
There’s nothing wrong with having your house paid off early, but you can also juice your cash flow by using the amount you would have used to pay off your house to buy higher yielding investments like real estate, preferred stocks, business development companies, foreign REITs, private equity, MLPs, etc. From a standpoint of building wealth and maximizing your investment returns, it doesn’t make sense to pay the house off early in this environment. But I get what you’re saying- it feels freeing.I've been given that advice many times. I get math and I'm not going to say they are wrong --- but I could give a lot of reasons it makes sense to get the house paid off too. Cash Flow has power.