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Old 06-24-2019, 05:54 PM   #76 (permalink)
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Before I get lost in a hijacked thread on pirate that is now about house insurance,We paid it off today. I will not disclose yearly taxes or insurance to you fools because North Carolina is closed and we don't need you raising the cost of living here. However, I do have great insurance on the home and its contents and plan to keep it that way.
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Old 06-24-2019, 05:56 PM   #77 (permalink)
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Before I get lost in a hijacked thread on pirate that is now about house insurance,We paid it off today. I will not disclose yearly taxes or insurance to you fools because North Carolina is closed and we don't need you raising the cost of living here. However, I do have great insurance on the home and its contents and plan to keep it that way.
Congrats on the payoff! And congrats on not being swayed by the very rational and poignant reasoning to NOT carry homeowners insurance!
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Old 06-24-2019, 05:57 PM   #78 (permalink)
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Also, I do own an S corp from a former business venture. I will be looking into anything that is advantageous for our taxes.
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Old 06-24-2019, 06:10 PM   #79 (permalink)
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Before I get lost in a hijacked thread on pirate that is now about house insurance,We paid it off today. I will not disclose yearly taxes or insurance to you fools because North Carolina is closed and we don't need you raising the cost of living here. However, I do have great insurance on the home and its contents and plan to keep it that way.
Congrats man!
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Old 06-24-2019, 06:38 PM   #80 (permalink)
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It is going to feel good next month when you don't write that mortgage check. But; put that money aside in your 401K! Don't squander it now on foolish toys; in the end when your retire, you can buy your toys anytime you want. Trust me I know; I am now living that dream!
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Old 06-24-2019, 06:42 PM   #81 (permalink)
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Watch your 401K like a hawk... Friend of mine was wiped out by his fucking bitch wife. She was drawing down his account without him knowing about it..
Not a god dam thing he could do about it!

Yeah it fucking sucked. He is now dead. RIP
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Old 06-24-2019, 07:32 PM   #82 (permalink)
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Before I get lost in a hijacked thread on pirate that is now about house insurance,We paid it off today. I will not disclose yearly taxes or insurance to you fools because North Carolina is closed and we don't need you raising the cost of living here. However, I do have great insurance on the home and its contents and plan to keep it that way.
Congrats! I would recommend setting aside money every month for the property taxes and insurance, just so the tax bill isn't so painful when it comes. That way, you have less of a burning desire to go killdozer anyone when you have to write the fat tax check for permission to live in the house you own free and clear.

Really, congrats. It makes a ton of difference in what you can save, and in how well nasty budget surprises can be dealt with.
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Old 06-25-2019, 05:36 AM   #83 (permalink)
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Congratulations on paying off your house, it is a great feeling.
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Old 06-25-2019, 05:55 AM   #84 (permalink)
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Before I get lost in a hijacked thread on pirate that is now about house insurance,We paid it off today. I will not disclose yearly taxes or insurance to you fools because North Carolina is closed and we don't need you raising the cost of living here. However, I do have great insurance on the home and its contents and plan to keep it that way.
Awesome! In the land of multiple refinances, my wife and I are doing our best to get our place paid off early. Seems like a long road
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Old 06-25-2019, 08:37 AM   #85 (permalink)
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Awesome! In the land of multiple refinances, my wife and I are doing our best to get our place paid off early. Seems like a long road
yea, i get sad every month when i update all the financials and see how much principle we pay each month and ytd. good news is we refi'd to a 20 from a 30 (had 25 left) so that made me feel a little better. people like this give me hope the dream can be a reality
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Old 06-25-2019, 10:39 AM   #86 (permalink)
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Congrats on paying it off. That was the only correct answer. All the other crap ideas people were giving you, were people with no idea on how to build wealth, but like to play games with their money by borrowing and trying to game the system. Take that mortgage payment now and start saving for the next home or invest it.
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Old 06-25-2019, 11:02 AM   #87 (permalink)
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You realize you can insure your property for its replacement value, don't you? Just like a car? Of course you don't.
Contrair, but you would pay up to 3 times the premium with a higher deductible compared to a 20 year old house of equal value. Are you an insurance agent now bgaiden? Evidently you're not for you know absolutely nothing about insuring a 100 year old home but yet show off your own stupidity with childishness insults.

Why in hell would you pay up to 3k a year to insure up to just 120k worth of home with a 20k deductible? Because that's what you are setting yourself up for in trying to insure the value you want. When in essence, if you purchase a 100 year old home in your 20's and live to be in the 80's, congrats! You just paid off your house 2.5 times! Once by mortgage and 1.5 by insurance.

I've went through 4 insurance companies. My current insurance is just under 1400 a year that has a total payout value of 63k if devastation occurred with just a 1k deductible. It has so far been the best I can find so that I can have a mortgage. My tax value is 90k and stagnant. My neighbor with a small doublewide the same damn size and half the property has 145k tax value. Give it the full 30 years of my loan and I have just paid 42k for a 63k insurance policy. Where as I have well over 200k invested. I could call it quits while I was ahead but noooo... a selective few idiots on here would rather blow the rest away and have hardly nothing to show for it. Only because you would rather be tucked under an insurer's arms than to open your little brains and just think ahead of the game.

Besides that, I would have to use 63k to try to build a stupid home. That may get me half way if I do all the work myself with helpers? And then spread out another 10 years of my life. Then I'm stuck with a half ass house, in debt trying to finish, paying rent somewhere else and stuck with nothing to sell but a piece of land and half a livable house. Where as, I could doze the mother fucker down and replace with a doublewide and be miles ahead. Insurance policies only cover the house you are insuring. They won't replace with a mobile home, that is entirely not an option for I tried.

Old home insurance policies are stupid. The reason I went with what I did was because it came with a 1600 sf shop (the same driver of most on here's residential decision making). Is well within my range of price and driving to work. I can be on the lake fishing in less than 10 minutes and I can piss off my front porch without some HOA bitch complaining.

If anybody on here has a 100+ year old house with an insurance policy, I'd love to trade notes to compare. But I refuse to accept childish insults from short syndrome'rs who have absolutely no knowledge on the matter.
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Old 06-25-2019, 11:07 AM   #88 (permalink)
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And back on topic, paying off the house is the better decision for your not only making money off the money you have gained, you are also making money off the taxes you were paying. Sure there's 7% guaranteed investment gains out there but it comes with either a large price or a lot of luck or skill. And the chances of a loss.

Take the money and reinvest or just save up for retirement / future investment. Or just enjoy!
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Old 06-25-2019, 11:37 AM   #89 (permalink)
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Can you both elaborate on this and dumb it down as simple as possible. I'm wondering if this might be a decent option for me if I plan to never sell the house I am in.
There is a way that you can set up a self directed 401k, if you are over 50 that sets the 401k to own your house, but you have to pay to rent it back. The rent payback is exempt from taxes on the 401k side. It might not be a good deal on a home, but it works for a business because you have to pay rent that is considered a business expense. So the business expense goes into your 401k and then is non taxable revenue even at retirement.
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Old 06-25-2019, 01:06 PM   #90 (permalink)
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And back on topic, paying off the house is the better decision for your not only making money off the money you have gained, you are also making money off the taxes you were paying.
I don't understand. What do you mean about the taxes?
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Old 06-25-2019, 02:43 PM   #91 (permalink)
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Can you both elaborate on this and dumb it down as simple as possible. I'm wondering if this might be a decent option for me if I plan to never sell the house I am in.
IIRC self directed IRA is the technical term for what he is talking about.
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Old 06-25-2019, 05:40 PM   #92 (permalink)
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IIRC self directed IRA is the technical term for what he is talking about.
true. A 401k is an employer sponsored retirement plan.

Self directed IRA is what you're looking for.

It's a bit of a gray area when it comes to taxation as it's not an IRS recognized tax strategy. Then there are a few annual administrative fees and other fees you incur.

I'm a financial advisor. In the end, it didn't make sense for my clients. It's also been a few years since I looked into it.

Quest IRA is the company I looked at FYI. Do your homework, not as easy as it sounds.

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Old 06-25-2019, 06:01 PM   #93 (permalink)
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Your mortgage is costing you 4.5 percent and even a basic index fund can earn you 8 percent.
That. The market outpaces real estate by a bit as well.

But good on your for paying the house down, it has to feel good too. It's certainly better than letting that chunk of money sit in the bank (paying mortgage interest and losing cash value to inflation).

.

Last edited by Ebs; 06-25-2019 at 06:01 PM.
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Old 06-25-2019, 06:16 PM   #94 (permalink)
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Paying off your mortgage for no future payments SOUNDS good..but most of the time it isn't.

I don't know your financial background

I don't know your line of work and how secure it is...or isnt.


I don't know your health...


W/o knowing all things things and more its a crap shoot but...

Scenario:

You pay off your mortgage and have $ every month.

WHAT happens if you lose your job do to your health? No income, no house payment but NO INCOME for day to day living expenses!!!

In 3 months you are selling furniture, cars etc to buy food, pay taxes, etc.

Invest the $20K by NOT paying off your house and you will survive the rough weather... You can't predict what's going to happen with your health.

I had 2 friends that this happened to and they were in excellent health before they went in the hospital they lost their house because they put all their money into her house they couldn't make their tax or insurance payments, they had no money for food it got pretty badd. Invest your money in the stock market or something else where you can get 6 or 8% or better and you are financially way ahead! I mean way ahead 20 years!!!!!
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Old 06-25-2019, 10:53 PM   #95 (permalink)
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Paying off your mortgage for no future payments SOUNDS good..but most of the time it isn't.

I don't know your financial background

I don't know your line of work and how secure it is...or isnt.


I don't know your health...


W/o knowing all things things and more its a crap shoot but...

Scenario:

You pay off your mortgage and have $ every month.

WHAT happens if you lose your job do to your health? No income, no house payment but NO INCOME for day to day living expenses!!!

In 3 months you are selling furniture, cars etc to buy food, pay taxes, etc.

Invest the $20K by NOT paying off your house and you will survive the rough weather... You can't predict what's going to happen with your health.

I had 2 friends that this happened to and they were in excellent health before they went in the hospital they lost their house because they put all their money into her house they couldn't make their tax or insurance payments, they had no money for food it got pretty badd. Invest your money in the stock market or something else where you can get 6 or 8% or better and you are financially way ahead! I mean way ahead 20 years!!!!!
If they had a mortgage payment how would they pay it? Seems like since they owned a house outright they could sell it and move into a more affordable mobile home, apartment or condo? Also the dont put all your eggs in one basket deal they taught in grade school.
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Old 06-25-2019, 11:05 PM   #96 (permalink)
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Paying off your mortgage for no future payments SOUNDS good..but most of the time it isn't.

I don't know your financial background

I don't know your line of work and how secure it is...or isnt.


I don't know your health...


W/o knowing all things things and more its a crap shoot but...

Scenario:

You pay off your mortgage and have $ every month.

WHAT happens if you lose your job do to your health? No income, no house payment but NO INCOME for day to day living expenses!!!

In 3 months you are selling furniture, cars etc to buy food, pay taxes, etc.

Invest the $20K by NOT paying off your house and you will survive the rough weather... You can't predict what's going to happen with your health.

I had 2 friends that this happened to and they were in excellent health before they went in the hospital they lost their house because they put all their money into her house they couldn't make their tax or insurance payments, they had no money for food it got pretty badd. Invest your money in the stock market or something else where you can get 6 or 8% or better and you are financially way ahead! I mean way ahead 20 years!!!!!
Okay, lets accept your scenario... so, you get hurt and it looks like it may be awhile before you can work... you call one of the reverse mortgage guys and since you OWN your house, they love you and provide you YOUR house and MONEY every month while you heal up.. ANOTHER advantage of owning your house...

You could also have a line of credit available against the house, for a rainy day... there is every reason to pay off the house.
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Old 06-25-2019, 11:15 PM   #97 (permalink)
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Originally Posted by [email protected] View Post
Paying off your mortgage for no future payments SOUNDS good..but most of the time it isn't.

I don't know your financial background

I don't know your line of work and how secure it is...or isnt.


I don't know your health...


W/o knowing all things things and more its a crap shoot but...

Scenario:

You pay off your mortgage and have $ every month.

WHAT happens if you lose your job do to your health? No income, no house payment but NO INCOME for day to day living expenses!!!

In 3 months you are selling furniture, cars etc to buy food, pay taxes, etc.

Invest the $20K by NOT paying off your house and you will survive the rough weather... You can't predict what's going to happen with your health.

I had 2 friends that this happened to and they were in excellent health before they went in the hospital they lost their house because they put all their money into her house they couldn't make their tax or insurance payments, they had no money for food it got pretty badd. Invest your money in the stock market or something else where you can get 6 or 8% or better and you are financially way ahead! I mean way ahead 20 years!!!!!
Just when I thought dumber advice couldn’t be given in this thread
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Old 06-26-2019, 02:33 AM   #98 (permalink)
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Just when I thought dumber advice couldn’t be given in this thread
And here you are...


It's like being for or against dave ramsey. Both ways are fine and if you have the disaplin to stick with any strategy you will be miles ahead of the next guy.

Impulse decisions based on feelings at the time is the only strategy that seems to play out in my life.
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Old 06-26-2019, 04:53 AM   #99 (permalink)
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I've went through 4 insurance companies. My current insurance is just under 1400 a year that has a total payout value of 63k if devastation occurred with just a 1k deductible.
Jeeze, insurance is really expensive where you live.

To the op, congrats and good choice
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Old 06-26-2019, 05:22 AM   #100 (permalink)
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Before I get lost in a hijacked thread on pirate that is now about house insurance,We paid it off today. I will not disclose yearly taxes or insurance to you fools because North Carolina is closed and we don't need you raising the cost of living here. However, I do have great insurance on the home and its contents and plan to keep it that way.
How much interest was left on the mortgage when you paid it off?
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