Re: Is there any disadvantage to buying a house outright?
yeah sorry i wasnt clear about that. what i meant to say was in one situation u have a mortgage and are paying some arbitrary amount and the interest on the amount that you borrowed. Not only would u save the mortgage payment but you would also save the interest.
in the other situation where you were just renting you would save the rent costs, maintanence costs, and property taxes.
What i was trying to figure out was if you are able to pay for a place in cash is it better to either 1) paying for it in cash and have no mortgage or 2) keeping a mortgage and using the rest for investments?
What I was thinking of doing personally was just continue to save and grow my portfolio and when I have enough to buy a place just go ahead and cash it in and buy a place outright. Just wondering if theres any obvious disadvantage to this that I'm missing or if this plan is just bad in general.
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