Post by @howtoadultschool

Invest vs pay off your mortgage faster is an age old Canadian debate. . The cold hard math says that with interest rates so low it’s better to invest your extra cash. . The emotional appeal however is to pay down your mortgage faster to feel debt free asap. . The point I never see anyone discuss is focusing on investing because invested money is more accessible generally than money you lock up in your home. Accessible money gives you more optionality, and money that gives you options is the most valuable form of money. . When you focus on investing, one day you’ll realize that you have enough invested to pay off your mortgage if you wanted to. This meets the emotional need to have the option of getting rid of all debt, but lets you continue making the smarter mathematical choice of keeping your money invested. . This is a damn good place to be, and it feels amazing once you hit this milestone. . So, invest or pay down mortgage faster? Invest, celebrate when you have enough that you ‘could’ pay off your mortgage, but then just keep on investing. Mortgage debt feels very different when it becomes a choice rather than a necessity. . #PersonalFinance #canadianfinance #financialeducation #financialliteracy