The mortgage interest tax deduction is so misunderstood. It is a deduction not a credit and only people who have enough deductions to itimize get the deduction. It isn’t really a money savings or a bargain to pay a few thousand dollars in interest to get our tax burden reduced by a couple of hundred dollars. Who thinks up that wacky math that says if we spend a lot of money we can save a little?
Thanks for commenting on that, Teresa. People told me that I shouldn’t pay off my mortgage but I ignored. Maybe I pay a little more tax now but I have no house payment. It is nice.
Barry – I have an article about paying off the mortgage too. http://www.stpaulrealestateblog.com/2013/12/silly-advice-mortgages.html people almost instantly assume paying off a mortgage is a bad move. I have never really understood that kind of math where spending a lot of money can save a little.