Great article and I agree, except for one caveat. :)

I recently downsized from my home of 35 years. I could’ve put a 70% down payment on my new house with the equity from the old one. Then, I could have taken a 10-year mortgage for the rest and own my house free and clear.

However, I decided to only put 20% down on a 3.50% 30-year mortgage. I’ve invested for over 40 years and have the discipline to invest in the stock market consistently and not get spooked out.

I’m confident over the next 30 years, I will earn more than 3.50 %. My 3.50% is tax deductible; meanwhile, I have dividend funds in a Roth IRA currently making 3.31% that will be tax-free.

Plus, I have CDs for my 6 month emergency fund and a cash cushion of 1 to 2 years of expenses since I’m going to retire soon. Those are currently paying over 4.25% (laddered). So I am happy to send a mortgage payment to my bank when they are paying me more.

The problem could be people who need to be more disciplined to stay invested and not try and time the market. They could hurt themselves by not being disciplined.

Then, of course, there is the group who sleep better being mortgage free. It may not make sense when you crunch the numbers. But there’s also something to be said about peace of mind for people who find investing too tricky and not having any debt.

When you take on debt, you must be honest about your temperament on how you handle it. Used wisely, debt can be a beautiful thing :-)

Just my 2 cents 😊