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    Slarmt's Avatar
    Slarmt Posts: 2, Reputation: 1
    New Member
     
    #1

    Jan 16, 2010, 09:13 PM
    Is it best to pay off a mortgage or get a tax break on the mortgage interest payment?
    I have a 4.75% mortgage rate. Would it be best just to pay off the loan?
    ScottGem's Avatar
    ScottGem Posts: 64,970, Reputation: 6056
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    #2

    Jan 16, 2010, 09:15 PM

    Not in my opinion. 4.75% is very low. The tax breaks you get will more than offset the cost of the interest.
    Slarmt's Avatar
    Slarmt Posts: 2, Reputation: 1
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    #3

    Jan 16, 2010, 09:22 PM
    Quote Originally Posted by ScottGem View Post
    Not in my opinion. 4.75% is very low. the tax breaks you get will more than offset the cost of the interest.
    Hmmmm
    The annual interest is around $8K and therefore the tax break is only a little over $2K... unless I'm missing something.

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