Paying off my primary residence

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Topic Author
dmk395
Posts: 88
Joined: Sat Dec 30, 2017 9:13 am

Paying off my primary residence

Post by dmk395 » Sun May 05, 2019 7:26 am

One step closer to real financial freedom. Recently decided to sell off my SP500 index funds after we hit another high, and pay down my mortgage. Last statement was for $19,000 where nearly everything went to principal. (versus the other way around)

At 39, I never really thought I'd do this, but after reading a lot here I became motivated and knocked it out within 9 years.

At this point now I feel a bit strange.....do I REALLY just need to make enough money for basic necessities and retirement, and not think about every 30 days having to crank out a mortgage payment???.....almost a surreal feeling!

Appreciate all the advice and motivation here.

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ChowYunPhat
Posts: 241
Joined: Mon Jun 02, 2014 7:49 pm
Location: Texas

Re: Paying off my primary residence

Post by ChowYunPhat » Sun May 05, 2019 8:40 am

dmk395 wrote:
Sun May 05, 2019 7:26 am
At 39, I never really thought I'd do this, but after reading a lot here I became motivated and knocked it out within 9 years.
Congrats dmk395. Must be a great feeling and now you get to decide what to do with the monthly surplus. Takes a lot of discipline to save and prepay for an early mortgage take out. Hopefully you didn't take a big tax hit on the SP500 sale but regardless, a great achievement. Enjoy the afterglow.
:sharebeer
A wise man and his money are friends forever...

headedwest
Posts: 37
Joined: Wed Dec 28, 2016 1:05 pm

Re: Paying off my primary residence

Post by headedwest » Sun May 05, 2019 9:12 am

Congratulations on paying off your mortgage!!! I love the feeling of security I have from owning my house outright. That said, property taxes are high where I live, so it's important that I don't forget those and/or homeowner's insurance, as they were included in my previous monthly payment.

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peterinjapan
Posts: 527
Joined: Fri May 15, 2015 8:41 am
Location: Japan!

Re: Paying off my primary residence

Post by peterinjapan » Sun May 05, 2019 9:45 am

Great work! I've got 2.5 years to go on Mom's house, and $300k to go on my main condo, so I'll be plugging away a while.

Topic Author
dmk395
Posts: 88
Joined: Sat Dec 30, 2017 9:13 am

Re: Paying off my primary residence

Post by dmk395 » Sun May 05, 2019 1:23 pm

ChowYunPhat wrote:
Sun May 05, 2019 8:40 am
dmk395 wrote:
Sun May 05, 2019 7:26 am
At 39, I never really thought I'd do this, but after reading a lot here I became motivated and knocked it out within 9 years.
Congrats dmk395. Must be a great feeling and now you get to decide what to do with the monthly surplus. Takes a lot of discipline to save and prepay for an early mortgage take out. Hopefully you didn't take a big tax hit on the SP500 sale but regardless, a great achievement. Enjoy the afterglow.
:sharebeer
Actually sold a good portion after the late rally last year and the rest this year, so the tax hit isn't that crazy

Grt2bOutdoors
Posts: 21747
Joined: Thu Apr 05, 2007 8:20 pm
Location: New York

Re: Paying off my primary residence

Post by Grt2bOutdoors » Sun May 05, 2019 1:29 pm

dmk395 wrote:
Sun May 05, 2019 1:23 pm
ChowYunPhat wrote:
Sun May 05, 2019 8:40 am
dmk395 wrote:
Sun May 05, 2019 7:26 am
At 39, I never really thought I'd do this, but after reading a lot here I became motivated and knocked it out within 9 years.
Congrats dmk395. Must be a great feeling and now you get to decide what to do with the monthly surplus. Takes a lot of discipline to save and prepay for an early mortgage take out. Hopefully you didn't take a big tax hit on the SP500 sale but regardless, a great achievement. Enjoy the afterglow.
:sharebeer
Actually sold a good portion after the late rally last year and the rest this year, so the tax hit isn't that crazy
Take the monthly surplus and buy back into taxable account. Don't increase your lifestyle, your future self will thank you.
"One should invest based on their need, ability and willingness to take risk - Larry Swedroe" Asking Portfolio Questions

Topic Author
dmk395
Posts: 88
Joined: Sat Dec 30, 2017 9:13 am

Re: Paying off my primary residence

Post by dmk395 » Sun May 05, 2019 5:23 pm

Grt2bOutdoors wrote:
Sun May 05, 2019 1:29 pm
dmk395 wrote:
Sun May 05, 2019 1:23 pm
ChowYunPhat wrote:
Sun May 05, 2019 8:40 am
dmk395 wrote:
Sun May 05, 2019 7:26 am
At 39, I never really thought I'd do this, but after reading a lot here I became motivated and knocked it out within 9 years.
Congrats dmk395. Must be a great feeling and now you get to decide what to do with the monthly surplus. Takes a lot of discipline to save and prepay for an early mortgage take out. Hopefully you didn't take a big tax hit on the SP500 sale but regardless, a great achievement. Enjoy the afterglow.
:sharebeer
Actually sold a good portion after the late rally last year and the rest this year, so the tax hit isn't that crazy
Take the monthly surplus and buy back into taxable account. Don't increase your lifestyle, your future self will thank you.
Pretty much the plan. Small lifestyle creep then half into taxable and half into paying down my second home

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