Category: Money Mindset

Paying off your mortgage as fast as possible is a popular personal finance mantra - but should you pay off your mortgage early? In a previous article we explored buying a home versus renting and investing the difference. We're now assuming you ran the numbers and decided buying is best for you.  On to the next question - should you pay off your mortgage early or invest the extra money? One of the most often asked questions from our clients is what should they do with extra money?  Almost all of them think paying down their mortgage is a good idea. Their thought process goes something like this: once it's paid off, I'll be able to put more away each month and end up with more overall. A) No, you'll…

Buying a home has long been considered a smart move to build wealth but is it always the best use of your money or could renting be better? Is buying a home really the best use of your money?   If you’ve ever bought life insurance, you’re probably aware the big decision is between whole and term policies.  Whole life is much more expensive but you’ll be told there’s an investment portion to it that will grow and always be available no matter how long you live.  Others will tell you to buy the cheaper term life policy and invest the difference in premiums in the stock market. Buying a home versus renting a home is a very similar concept to the life insurance decision.  You can either commit a large sum to a…

Wondering how much your home will appreciate in value? Let's take a look at historical data and see what that tells us about future home prices. There are many thoughts and emotions going through your mind when you purchase a new home.  You picture your children growing up and playing in the backyard.  You mentally decorate each room before you’ve ever moved in.  You imagine all of the great times with friends and family you’ll have in the home.  Maybe you even think about how much the home will increase in value; will this property make you rich? There’s a prevailing sentiment that purchasing a home is a great investment no matter what.  “Real estate always goes up!” someone will always say.  You would think 2008-2009 tampered that enthusiasm but home prices are already higher than…

Taking care of your physical and mental health will let you enjoy a longer, more fulfilling retirement.  It will also improve your financial freedom, possibly allowing you to retire early. Have you ever heard the phrase “The best time to plant a tree was twenty years ago.  The second best time is right now.”  You can’t do anything about not getting started in the past but you do control getting started right now.  It’s a great reminder that no matter how long you’ve put something off for, you can still start implementing that incredible new habit right now and reap the benefits. The same holds true for your finances.  If you’ve never put anything away for retirement, right now is the best time to get started.  Not tomorrow or next year.  Right now! Your physical and mental…

Debt can be a tool used to improve your life but if it’s not used smartly debt could ruin you financially instead. We’ll first take a look at what debt is and how it can be used.  We’ll then dive into the secret of using debt to your advantage.  It’s easier than you think. What is debt? In its most basic form, debt is borrowing money from someone now and paying them back later.  The person lending you the money will want something in return for the risk they are taking.  What risk?  There’s a chance you may not pay them back!  So, you have to agree to pay them back the original amount plus a little extra called interest.  The amount of interest will be tied to how much risk the lender thinks they are taking…