How To Pay Off a Mortgage
ฝัง
- เผยแพร่เมื่อ 23 เม.ย. 2018
- 💵 Create Your Free Budget! Sign up for EveryDollar ⮕ ter.li/6h2c45
📱Download the Ramsey Network App ⮕ ter.li/ajeshj
🛒 Visit The Ramsey Store ⮕ ter.li/7vyom2
📞 Have a question for the show? Call 888-825-5225 weekdays from 2-5 pm ET or send us a message ter.li/n88ly5
Explore More Shows from Ramsey Network:
🎙️ The Ramsey Show ⮕ ter.li/ng9950
🍸 Smart Money Happy Hour ⮕ ter.li/9gcp3d
🧠 The Dr. John Delony Show ⮕ ter.li/2u3mc0
💰 George Kamel ⮕ ter.li/1elws8
💡 The Rachel Cruze Show ⮕ ter.li/n2u6jc
💼 The Ken Coleman Show - Highlights ⮕ ter.li/1rbjr2
📈 EntreLeadership ⮕ ter.li/ktxv2k
Ramsey Solutions Privacy Policy
www.ramseysolutions.com/compa...
![โกหกเธอทั้งนั้น (Pinocchio) - SERIOUS BACON [Official MV]](http://i.ytimg.com/vi/P1HhTYwrR5A/mqdefault.jpg)
I paid up all my mortgages in 2yrs while working with a Financial Adviser. I’m 50 and my husband 54 we are both retired with over $3 million in net worth and no debts. We got to realize that the secret to financial freedom is making better investments.
That is so amazing, I’m trying to get onto the investing ladder at 40. I wish at 55 I will be testifying to similar success..
Most Americans find it hard to retire comfortably amid economy downtrend. Some have close to nothing going into retirement, my question is, will you pay off mortgage as a near-retiree, or spread money for cashflow, to afford lifestyle after retirement?
as most investing-related questions, the answer is, it depends.. my best suggestion is to consider advisory management
Agreed the role of advisors can only be overlooked, but not denied. I remember in early 2020, during covid-outbreak, my portfolio worth around $300k took a slight fall, apparently due to the pandemic crash, at once I consulted an advisor in order to avoid panic-selling. As of today, my account has yielded big fat yields, and leverages on 7-figure, only cos I delegate my excesses right.
this is huge! mind if I look up the advisr that guides you please? only invest in my 401k through my employer for now, but enthused about diversifying my investments for a prosperous financial future
"Melissa Elise Robinson" is the licensed advisor I use. Just research the name. You’d find necessary details to work with to set up an appointment.
I looked up her full name online and found her page. I emailed and made an appointment to talk with her.
Watching in 2023 and and laughing how he balks at the 3.6 interest rate being high 😂😂😂
I just brought a house at %6.89 for 3 years. I was very worried before hand as I thought I would be on %8.50...
Exactly 😂
Seriously. 6% is the low now.
I was thinking the same thing😂😂😂😂. That’s low compared to today.
I wish it was like that now 3.6 😅
Just pay ahead on the mortgage, don’t waste money on closing costs again. Pay on it as if it’s a 15 yr by pulling an amortization calculator online. And this way if they run into financial difficulty the have the option to make the lower payment.
Do not lose the 14k …..do not…
I'm glad I ran into Dave Ramsey's TH-cam channel. His videos saved me from making financial mistakes.
Christian Peyret heck, they keep saving me till this day.
Agreed, I did some dumb stuff my first 2 years out of college (which I had loans for). Now I'm on track to be out of debt in 9 months🙏🏽
Paying off a mortgage early is among the biggest. Ramsey has never been good at math though.
Yet he consistently insists on men making the horrible financial mistake of getting married!🙄
I feel the best mortgage is 15 years. You get the best rates. Then you have to buckle down, then you’re home free!!
Back when I went to refinance in 2010 my rate was 6.5. I did the numbers with the bank where they were going to give me a 4.7 I believe. Long story short, my wife and I decided to double and triple our payments and paid off our home within 3 years. Thought we did better than refinancing
How did you do that? I am in the process of buying my house and I've been stressed out thinking about the interest rate.
@@keishalyon1410 I wouldn’t say not to stress the rate. No matter what the rate is I recommend adding extra money towards the principle monthly no matter what. Pay the home off as soon as you can.
@@jiggeplaya7182 Thank you!
@@keishalyon1410 best of luck!
@@jiggeplaya7182 Thank you 🙏
Anyone else thought Dave would reply with "You want to get back into debt to pay off your daughter's car? Are you insane!?"
He didn't say he was going into debt to do it. I could pay off my son's car today with cash, if I wanted to.
He knows he is
Snowflake in the making 🙄
This was awhile back, but I wouldn't refinance from a 30 to a 15 unless you don't plan on paying the house off way early or can't drop your rate more than a point. Just throw more money at your loan each month. If money gets tighter for some reason, you can skip those extra principal payments for awhile and not have to pay new closing costs on refinancing. If you can drop your rate from 6 to 3, and you still have a ways to go, then I would definitely consider refinancing. Its all just numbers and math.
Nice guy. How about instead of paying refinance costs (and having the bank MAKE you pay it off faster) you just take control of your $ and pay it off faster. A 15 or 30 year loan has nothing to do with how fast you pay off the loan.....pay it off in 6 years! Set a goal, then stick to it!
Depends on the variance between interest rates. It could very well make sense to refi if the savings exceeds the refi costs.
I like people comparing their numbers!
what Dave says about being house poor is spot on! if you cant afford the neighborhood you like then you can't afford it ...its that simple.Not worth putting yourself and or your family out $$ life is short and the most important part of our lives is our FAMILY : )
So true!! Enjoying life with love ones is the priority
“We just wanted to get into the house”. Bankers love people with this mindset.
He was ripped off
Yeah, I don't disagree, but it's tough out there. We just bought our first home in July and unfortunately, we missed those sweet low pandemic interest rates because we didn't know what was going to happen with...everything. We were also told by many that the housing market was going to crash. We decided to go ahead and buy because even if it does crash, there's not enough supply out there so people comparing this to 2009 are wrong. We have kids and don't want to be stuck in an apartment all their life, so we had that mindset.
We'll refi in a couple years and we're going to put $1000 a month to the principal, so we should have it paid off in 10 years at the latest, either way, but I can empathize with a lot of new homebuyers out there cause this current Administration is worse than one can possibly imagine (which is considerable since I knew it would be terrible), and there's so many opinions about the housing market.
Pay extra towards the Principal of the loan per paycheck it will do more to take down the interest than paying by the month,printout the amortization of your loan by going to a online mortgage Calculator or get one from whoever gave you the loan,keep track of your progress by writing how much you added to the principal payments and the dates,Banks tend to not put the funds in the right place,never totally trust your lender,keep track it's your money.
I don't know what my house payment was. Overtime went on a flat payment I decided on. Payed double my decided flat payment every December. 20 yr loan paid in full in 8 years. My 62nd birthday gift from me ....to me.
@@vickielancaster7054 You made an extra payment just ONCE a year to cut down that many years.
I use the interest matching method, make the usual fortnightly payments and at the end of each month transfer any interest charged back in.
Great advice Dave!
I WISH MY DAD WOULD CALL IN AND MAKE AN ANNOUNCEMENT LIKE THAT TO ME TOO!
Good man👌 I love hearing things like this- it inspires me!
Just found you! Love your videos
He’s excellent
march 2020 locked one in at 3%. 3 months later I hear some people in the 2.5's
So sweet to pay off his very responsible daughters car. What a nice surprise for her!
All i do is save up chunks of 5-10k and pay it down. Way less of a mountain that way. Down 26 months since march on a 15
Great advice
Tighten that belt and keep overhead low bro. Aim to live 50% under means and slap that mortgage in the face. I owe 145,000 on a 15yr. Starting 2020 my wife and I will be at 50% under means and I calculated we can have mortgage paid off 2024. Frugality and sacrifice that's it.
That’s awesome!! Good for you both!
My wife and I are also on track to have our home (purchased in June 2017) paid off in 2024; September, to be exact. Absolutely cannot wait. Keep plowing along, my guy.
this guy may have bought a new build and had to use the in-house lender in order to get the incentive tied to the lending - these loans often come with a 1/2 point higher interest that they easily make-up the "incentive" they gave and pretty much every single one of them is sold to another lender within 30 days of closing
"3.6%? That's a little high" *5 years later, cries in 7% interest rates*
This!
I smh when he said that 3.685% was high. Commenting in January 2024, the rate at my local credit union is 6.854% and Wells Fargo is at 6.442% for a 30-year fixed mortgage. Rates were higher, but they're currently on the way down again. Don't refinance unless you can do better than a 1% lower rate on comparable same-term loans. If going from 30 to 15 years, aim for a 2% rate reduction. Otherwise, you won't save money beyond paying the difference in closing costs and interest until you hit somewhere in year 5 to 7 on the new loan. If you're going to move before that, don't refinance.
Great strategies...
Got 30 year mortgage. God willing next year is year 7 and we'll pay it off. $180k
What tips do u have how did u do that
3.6 rate in 2018 is really good, I see people paying over 4
5 months ago the average rate was around 4.5% The cost to refinance would be $5k, personally I would take the $5k and put it towards the mortgage and start making large bi-weekly payments.
I’d love to see where Dave is seeing rates under 3%. I can’t even find 15 yr mortgages under 3% with excellent credit.
Mike Hanson I agree. I like his advice, but one of his numerous interns should give him updates on current rates/tends every day before he goes on the air.
We have a 3 from NBKC Bank and it’s a 30 year
Amanda Johnston not to split hairs, but I want to see under 3% like Dave references in the video. Also I’m curious as to when you got your mortgage. I know even a couple of years ago 3% wasn’t too uncommon.
USMC 2MSU we got 2.75 on a house 30 year in 2015. Our 3.00 on a 30 year was early 2017 in January
Conservative Prosecutor don’t think that was a reply to me. Wrong thread maybe.
I am infinitely grateful for my 2.5% interest rate. Stability is everything.
Is there an offset account in USA??
What a nice guy but he should school his kid on how to save and invest he seems to have great money management skills
I think he has, which is why he's now saying "kiddo... you've done such a great job that I'll clear your slate. Keep up the good work."
He’s retired, so probably 65ish. Pulled a 30 year mortgage. Not exactly great money management skills.
🙄
Ayyyeee major key for investing in property!! I think I’d rather be paying off rental mortgage rather than a house mortgage. Which the cash flow you get from the rental it’s kind like you got the house for free 😊
Im really weighing in on these financial principles: dave vs vipfinancialed/morris invest
Its more like conservative vs aggressive
And im leaning more with the aggressive philosophy as i learn something everyday
What are your thoughts people?
Fyi:
We just bought a new house at 370k
And closing wont be done until late of august
3.6 is high??? It’s late May and I just bought a house in Georgia. One month after this was posted. For a 15 year it’s 4.5% and a 30 year is 4.8 and she told me the other day they were actually higher since the rates change daily.
What about now
1.5% fixed at 2 years here in the UK.
😳😳 Never seen rates that low. Good for you!
Yeah, I'm quoted 1.65 for 5 years for mine.
Can some one explain “ subject to exception” on a deed please!! 🙏
I'm going to start listening to this dude...
20 year fixed in Netherlands is : 2.35% at the moment.
Well in the land of the free, we are free to pay very high rates for all manner of debt even while the banks pay near 0% to the fed to borrow funds.....also, banks pay us near 0% for savings accounts. Lots of folks charged over 15% on credit cards...student loans 6% or more, and huge amounts for payday loans, etc....
@@maryrenaud6732 if you play the game properly you won't have to pay any of that
We don't live in the netherlands.
Nice parents for sure
The balance is too low to think about refinancing! Come on Dave, check the payback period on the cost of that refi.
If a person pays off the mortgage in half the time, they’re still saving on interest anyway. You’re saving and not paying the full interest by paying the loan off sooner without having to pay all the costs of refinancing the mortgage.
Why would you upgrade your house in retirement and get a bigger loan, downgrade or go back to work
I just put a little bit on the principle every other paycheck.
Just pay extra each month without refinancing... throwing nest egg/rainy day funds to a mortgage is just plain stupid ...
Can you do a Canada edition. Mortgage of 900k, 7 percent rate, 140k income. Half to taxes.
Wow 3.6 thats incredible!! Wait when was this video made? .... Ohh
If you refinance wouldn't you start over from the beginning with monthly mortgage payments
I looked into refinancing but the closing costs are a bit high. I’m just paying it off faster in big chunks. Is this wrong?
It depends on how much lower the refinance rate is and how long you plan to stay in the house.
Somehow refinancing puts you behind. Do it if you need lower monthly payments. Otherwise pay more down and put “ additional principal payment” in the memo. The more you reduce the principle the less you’re paying interest on. Check the terms of the mortgage to make sure there’s no conditions that penalize you for prepayment or restrictions on how additional payments are applied. Usually not but make sure.
Why pay off her car when he could put that money toward the mortage. She is young let her work hard and pay for it herself,she will appreciate it. Mom and pop need to live Today debt free!###!
Tawanda Tate you got parents that want to help their children out. That’s not so bad. She will be more than grateful and probably do something generous for them in return.
Why don't you talk about recasting vs refinancing with this caller? Not sure if his loan allows it or the amount is the lender may require.
Everyone saying buy another house with your HELOC forget paying off
Dave please let us know who is giving 15yr mortgages with no points under 3%. I would start a refi today but I can’t find one.
this is an old call
padistedor ours is through NBKC Bank
Amanda Johnston when did you get the loan? What rate did you get? This is an old video because rates are over 4% now.
padistedor ours was January 2017 and we got 3% on a 30 year.
dunno about now, but in 2012 I refinanced to a 15 year fixed rate of 3%
Aaaah, the good ole days.
The man is retired... and still got a 30 year mortgage.. wow... In our country no bank will lend money to a retired person, forget the interest rate. Hats off America, you really care for your citizens. Truly, a land of opportunity.
He may bought the house years ago, then refinanced.
@@Mandeologul True... or they take the whole house, if the heirs can't keep up the payments.... even if it was 95 percent paid off.
They don’t care about us at all. It’s all about $$$$
No way you would get a mortgage as a retired person in Australia
Happens in America for sure.
,, everyone is saying rates are high but they never discussed what his credit scores are which also determines the rate.... does Dave do Mortgages?? NO but I do ! And of course there are several ways to work this scenario
Dave has gone insane. 3.6% is super low if this call was in 2018. My 2017 rate of a new place I bought started with a *4*
agree. Dave also thinks it is super easy to get a mutual fund paying 12%.
2.59 here
2.09 here
@@marcoviljoen6370 Nice 😃
It’s now January 2021 and that’s really high...
That caller was terrible with money lol. Was all excited about paying his mortgage off in six years, then ends the call saying he's paying his daughters car payments! Which is it, taking on other peoples debts or getting out of it?
It all comes down to math and financial education.
I may have missed something.. retired, 14k in savings and 60k income and wanting to throw the 14k at the mortgage and then pay off his daughters car? This all seems like bad advice? Or am I missing something?
Well he had his 20k emergency fund too?
I agree. At age 68 we have seen very steep uncovered medical expenses (even with insurance) slap us in the pocketbook. Save the 14k in your emergency fund as you may need it for medical costs as a retiree. Meantime, reduce all bills and pay a huge portion of take home income to the mortgage (40 to 50%). Let the daughter pay for her own car and to be thankful mom and dad are becoming debt free and will not be calling her to pay their bills!
Buying a house once you retire a mistake. Paying off the daughter's car note is the second mistake.
@@timmartin723 taking money out of your investments is a third mistake.
3.6 is high 😂😂. Wiat until 2023. Its at 7.14. Insane times
3.6 is a little high. Huh since when.
9.0 is a little high.
Just 2.125% on a 15 year fixed. It's nearly 2021 now though
Since circa 2018
Dave "What's your interest rate? Caller "3.6", Dave "Really? That's pretty high"...😭
Wait until 2023 calls😂😂. 7.1 😭😭
This is a repeat episode! 🙁
This video was literally just posted today HOWEVER, is this an older video as Dave is STRESSING that the caller’s mortgage rate is pretty high. Mortgage interest rates are well into the 4’s now. So, does anyone know if this is an older video/show?
Peace Love And Unity 3.6 is historically low even if this was a older video
Peace Love And Unity it is an older video, I’ve seen it once before because I remember the announcement at the end
15 year fixed in the 2's as of April 2018? Impossible!
I thought the same thing...must be old.
Peace Love And Unity - This is an old call. I’ve heard it before. I specifically remember it because I thought the guy was dumb and I didn’t understand why Dave went so easy on him. He’s in over his head with a new mortgage, living on Social Security, and promising to pay off his daughter’s car... craziness.
Repeat !
"What's your interest rate?" "3.6%" "That's a little high"....... Had to see when this video was published, I'd have loved that rate on my new house!
It’s a little high haha 😂! I know rates were low back then but 3.5 is excellent. Quote of under three is ridiculous. I have 75 k left on my mortgage at 3.5 percent.
A guy pay off my mom Truck and mortgage and my mom House pay off yesterday am so happy I was pray all
Get rid of the $14,000 you have gaining 12% per year, and pay off your house, which costs you 3.6% per year.
Great advice Dave, so glad I found your channel.
Nothing like making the caller feel bad about the rate he has. SMH 🤦🏻♀️
Dear Mr. Ramsey, My Wife Sydney and I have American (St. Gaudens) Gold Coins, that we would like to use to pay off our Mortgage of $35,000 remaining. How should we go about this? Just contact the Mortgage Company? Well meaning, (but not Financial Masters) Friends of Ours, tell us you can't trust Banks, because they always find a way where you can't use your Gold directly to pay them; as the Bank/Mortgage Corporation would lose interest money on the Loan. Can you or anyone here, give us any Recommendation(s)? Very Respectfully, John Sullivan in the White Mountains of NH sending...
This is an old video!!
20 years mortgage in India: 9% (variable, which means banks can raise it anytime without informing us). This is still considered low as interest rates have gone up to 10.75% in the past. A 3.6% fixed interest rate would be a gift from God for us.
Hitesh Dsouza wow😳! That really puts things into perspective for us complaining around here about how high our 4.25% mortgages are. Thank you for sharing that.
But in India 🇮🇳 you guys live in huts not houses.
@@jaimecruz5367 You are flaunting you utter ignorance here.
@@jaimecruz5367 really sir?
@@jaimecruz5367 dude just google for appartment costs in mumbai...you may faint
I've got 64k left on a mortgage with 17 years left, 20k in savings, a car worth 15k that's paid off that I barely drive, but still love, make 35k a year and have no other debt.
How should I attack my mortgage??
Swampcrawler LS1 increase your income
Keep doing what your doing
I wish 3.6% was still considered high 😑😑😑
Looking to buy some land. It is owner finance at 9%!!!! looking at 300k worth of finance charges. It is a 197k loan. My credit sucks and I am hoping I can get some advice? 10k down payment
Why is Dave recycling videos? I watched this months ago
He’s on vacation 😜
I’m curious where is this guy going to get a extra $20000 a year when he is retired)
Everyone is saying to pay off the monthly sum 2x or more and that is basically it. Well.... in my country banks will fine you if you pay off your loan earlier than the agreed contract. For obvious reasons. How do i challenge that?
Lots of different strategies, the simplest would be to put all the money you'd be throwing at the mortgage into an after-tax non-registered safe investment like an S&P index ETF instead. If you get an average return higher than your mortgage interest rate (almost guaranteed) you would even be much further ahead, in terms of net worth) than just paying off the mortgage early.
3.6%? it is a little high! we really missed that train didn't we
He should of followed up with once the car payment is paid off. She is always buying a car with cash.
“How to pay off mortgage.”
Ya how do i even afford a mortgage when average housing cost is at all time high…
What's the best way to save for a down payment?
Qualify for a VA loan; zero down.
2023 interest rates are over 8%
Our bank had zero charge for refinancing
Who is your bank?
This video must have been taken in 1920 because 3.6% is low.
Interesting rates are even this high. In the UK I'm on 0.9% currently...
@@tomnorton7817 thats because the most economies around the world are parking your money in the US treasury making another 2% on top of you........ The real problem will start when every government around the world goes negative.
governments lower interest rates to stimulate an economy to make taking loans cheaper for the consumer.. which fuels inflation. what do you think will happen when interest rates go negative and everyone is taking loans and inflation goes through the roof at rates yet seen by the world (yes im including WW2).
3.6% is high. I've seen 2.5-3%
@@jimroscovius
It not pays to get a loan.
I got 2.5 on a 15 year only 3 to 6 months ago
2024 crying because of 3 percent intrest rate being high
So do you own a home before or after you’ve paid it off?
Gee Cee : You really never own a home
exactly lol don't pay the property taxes and you will see exactly who owns the home
You own the home the moment you sign the contract, you just owe the bank. Financing a car is different, where the bank owns the title until you pay it off.
12% interest rate in South Africa 🎉
SEÑORES, TENGAN BUEN DÍAS, U USA TODAS PROTECION Y ESCUCHAR RECOMENDACIONES MÉDICA. ES IMPORTANTE
I am 55, I will be selling my business in a year. My wife and I have managed to stash 3.5MM over the last 30 years, May will be our 30th anniversary. We owe roughly 600k total on 2 houses. When we sell the business we will pay a lot of tax but we will easily have enough to payoff the houses. With a 3% interest rate (average) on both houses why would I pay those off vs investing that money back into something that will yield 8%? Either stocks, bonds or just go build rental houses?
My interest rate is higher than my GPA. Im at 2.6% interest
Im 44, and i just found Ramsey. Is it too late for me?? We have some debt and a small mortgage. I am starting his baby steps method now.
Never too late buddy. Get stuck in and good luck. Wish you all the best
@@steamroller231 thanks
Paying for your daughter car debt is not a good idea. She should be responsible for her own debts.
Okay. Done. Now what?
3% int on ANYTHING is high for someone with good credit
The interest rates they’re talking about are laughable. I know it’s a six years ago but today we’re screwed.