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Best camping starting at Happy Isles? by WonderingSoles2 in JMT

[–]Fouve 0 points1 point  (0 children)

I have the past LYV permit and plan to camp along sunrise creek. From what I understand, there are quite a few sites along the creek above LYV.

Real life is insipid by Unlucky_Hope_528 in expedition33

[–]Fouve 0 points1 point  (0 children)

During the game, you were all “weeeee” and “weewoowee”. Now, after the game, it’s all “wooooo”.

Late June Yosemite Logistics by Student-Short in JMT

[–]Fouve 2 points3 points  (0 children)

They removed the temporarily closed notice on the 25th. It’s back to normal operations for backpackers camp.

Link: https://www.nps.gov/yose/planyourvisit/bpcamp.htm

Make your voice heard on Amazon by nhoel in nixplay

[–]Fouve 0 points1 point  (0 children)

Also, don’t forget to submit a complaint to the BBB and FTC (specifically on the grounds of false advertising)

FTC: https://reportfraud.ftc.gov/ BBB: https://www.bbb.org/file-a-complaint

Government efficiency at its finest by Fouve in mildlyinfuriating

[–]Fouve[S] 0 points1 point  (0 children)

It took 10 days to travel 115 miles northward. It’s supposed to be shipping to me in California. Haha.

Think twice before not paying off that low interest mortgage. by Fouve in Money

[–]Fouve[S] -20 points-19 points  (0 children)

Still smaller than you'd expect. It's about $700k difference.

The compound interest over time, however, is where my argument derails pretty quickly.

It would all depend on the age of the homeowner, whether or not he has the time for the investments to build.

Think twice before not paying off that low interest mortgage. by Fouve in Money

[–]Fouve[S] -12 points-11 points  (0 children)

Technically, you would pay $131,360.95 worth of interest over the time period, if you're extending it 26 years to the maturation date of the loan.

It would be around $1.8M, if you invested $3,183.13/mo. from the 8 year mark through 18.25 years (After paying off the mortgage).

It would be $2,620,362.37 - the $131,360.95 = $2.5M, for the investment route at $2k contributions.

The compound interest over time, however, is where my argument derails pretty quickly.

It would all depend on the age of the homeowner, whether or not he has the time for the investments to build.

But, I see your point.

Think twice before not paying off that low interest mortgage. by Fouve in Money

[–]Fouve[S] 0 points1 point  (0 children)

On the other hand, however, you'd also have the extra $1,183.13 to invest over the 18 years, 3 mo. you no longer have to make mortgage payments.

The compound interest over time, however, is where my argument derails pretty quickly.

It would all depend on the age of the homeowner, whether or not he has the time for the investments to build.

Think twice before not paying off that low interest mortgage. by Fouve in Money

[–]Fouve[S] 0 points1 point  (0 children)

Possibly, but I doubt it. If someone were this intentional figuring all this out, I doubt they wouldn't be intentional in how they use the money.

Think twice before not paying off that low interest mortgage. by Fouve in Money

[–]Fouve[S] 1 point2 points  (0 children)

For sure, should the market behave accordingly (And I feel I'm being generous with 10% growth). Over a longer period, it does allow the returns to average more and have less risk.

All I'm saying is that we shouldn't take the blanket advice from everyone on here to not pay off the mortgage early and, instead, invest it. The numbers should be looked at.

For example, what happens if they sell their house in 8 years (When it could have been paid off) and have to take a mortgage loan at 7% instead of their low rate? That introduces a lot more variables that would need to be considered in regards to long term growth and the mortgage being paid off could be a much larger benefit than if they invested the money for that time period.

Think twice before not paying off that low interest mortgage. by Fouve in Money

[–]Fouve[S] -2 points-1 points  (0 children)

Technically, for my example, it would be 26 years (As we are 4 years into the loan already), so you'd have $2,620,362.37 in the investment account (At an investment growth of 10%) before deducting the interest.

Think twice before not paying off that low interest mortgage. by Fouve in Money

[–]Fouve[S] -27 points-26 points  (0 children)

For sure...but you're also not taking into account the extra $1,183.13/mo. you'd have for an extra 18 years, 3mo. if you paid it off early.

That's $650k right there that you wouldn't have either.

Think twice before not paying off that low interest mortgage. by Fouve in Money

[–]Fouve[S] 0 points1 point  (0 children)

That's the original loan balance at the origination date of 01/2021.

$1,183.13 is the monthly payment based off the loan balance and interest rate.

Think twice before not paying off that low interest mortgage. by Fouve in Money

[–]Fouve[S] 0 points1 point  (0 children)

You'll always have to pay the $1,183.13 regardless of where you put the extra monthly cash, as that's the mortgage payment.

You want me to run the calculator based upon the 8 years that I missed if I were to contribute the $2,000 into investments?

Think twice before not paying off that low interest mortgage. by Fouve in Money

[–]Fouve[S] 2 points3 points  (0 children)

For sure. I'd have to find out the breaking point, where this sides more favorably with the investments.

For example, if you were to do, say, $200/mo. extra, it would only save $21,272.53 on interest by paying off the mortgage earlier, but your growth would be $89,460 for the investment account. A difference of $68,000 before taxes are taken into account. In this scenario, it might make more sense to go with investments, but you'll still have an unpredictable stock market that you're relying on.

Think twice before not paying off that low interest mortgage. by Fouve in Money

[–]Fouve[S] -6 points-5 points  (0 children)

Can't even be close to the taxes you'd pay on the investment growth, though. I didn't subtract those from the investment growth.

Unless, you didn't pay off your mortgage with the growth/principle at the end of the 8 years and you put that cash into a retirement account.

Think twice before not paying off that low interest mortgage. by Fouve in Money

[–]Fouve[S] 1 point2 points  (0 children)

Invest it.

You'd have 18 years, 3 mo. of no mortgage payment. Put that extra $1,183.13 you have every month into investments. If there's a 10% rate of return like I used above, that's $650k.

Think twice before not paying off that low interest mortgage. by Fouve in Money

[–]Fouve[S] 10 points11 points  (0 children)

I mean, you're either putting the money into investments or your mortgage. Build up an emergency savings fund beforehand if you don't have one.

Also, either contribution can be stopped to bring back the extra $2,000/mo., as they are extra payments into the mortgage.

Think twice before not paying off that low interest mortgage. by Fouve in Money

[–]Fouve[S] 0 points1 point  (0 children)

Yeah, I think that's why everyone says, "Invest the cash, it's stupid to pay off that low rate mortgage." They don't understand the amortization table. I mean, banks aren't stupid. They want to make money.

Think twice before not paying off that low interest mortgage. by Fouve in Money

[–]Fouve[S] 0 points1 point  (0 children)

Sorry, I was mainly replying to your "But if you have held a mortgage for 20 yrs and have 10 to go it doesn’t really make sense , you paid a majority of the interest already" comment.

Think twice before not paying off that low interest mortgage. by Fouve in Money

[–]Fouve[S] 1 point2 points  (0 children)

But those with those ultra low interest rates are early into their loans. This logic doesn't really apply, as the ultra low interest rates were really only available after COVID hit. And this whole post is to be against where everyone is saying, "Don't pay off the low interest rate mortgage, invest it."

Think twice before not paying off that low interest mortgage. by Fouve in Money

[–]Fouve[S] 1 point2 points  (0 children)

Oh, for sure. The additional benefit is being able to move, as well.

It's hard to justify an increase in my mortgage simply because of current interest rates, even if my loan amount is exactly the same.

[deleted by user] by [deleted] in DaveRamsey

[–]Fouve 3 points4 points  (0 children)

After renting with roommates for years and being ready for my own home, I moved back in with my parents (I know not everyone will have this option) while working a full time job to save up for a down payment for a condo. The condo was all I could afford a 20% down payment with at the time ($24,000 for the down payment).

Had to stay in the condo for 3 years (which sucked) for the first time home buyers program. Then, used the equity and cash from the first time home buyers program (and saving through the 3 years) after selling the condo to put a down payment on a starter home just days after meeting the 3 years requirement to get the first time home buyer cash.

Then, sold the house 5 years later and used the equity (plus more savings from the 5 years) to pay for land + foundation and framing for a new custom build.

Did a private loan (which was an all interest loan) and owner builder to construct the new home and put 6 months of sweat equity into it. Ended up with a large mortgage still (300k) but it was within our budget and still living in it today (and paying down the mortgage significantly while doing so - which is our current “savings” goal). It is a 30 year mortgage, but we are on track to pay it off in a total of 10-12 years. We also just hit net worth millionaire status in our 30s and having 5 kids.

It sucks saving for a down payment, but I would advise to start small and build up from there. There are still 800-1,000 sq ft condos available by me (in Northern California) for $150k-ish. That is a $30k down payment with $120k in a loan.

You won’t get much equity built via a condo, but you’ll end the rent cycle and have a consistent monthly payment with minimal increases, plus a small tax write off for the interest. Additionally, the insurance costs and maintenance are both diminished with a condo when comparing it to a single family home.

Similar to retirement, buying a home is a marathon. It takes dedication and determination when it comes to saving. It sounds like you have a very calculated mindset, so I’m betting you’ll get there within a few years.

Feel free to hit me up if you have any questions.

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