If I have a $150,000 loan on a $150,000 home, I will have paid over $300,000 in payments by the time it is paid off. Instead of saving over $150,000 in interest payments by just paying cash for the house, why does everyone still recommend having a loan?
Why does having debt and a horrible amount of interest to pay build equity?
Yeah, I can deduct interest on my income taxes, but so what? If I still owe twice as much as what the house is work in interest, what's a couple thousand in tax savings?
Wouldn't saving hundreds of thousands of dollars in interest payments be worth just paying in full for the house to begin with?
Can someone tell me why, in detail, or is it just Mortgage lenders who say that all this debt is good?
2006-10-10
06:32:55
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20 answers
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asked by
gg
7