I want to pay my house off within the next 5 years. Just a personal goal that I have set. It is the only thing that I owe money on. I basically have two options that I'm trying to figure which is best.
I want to put an additional $2500 each month toward the house. Interest rate on house is roughly 3.5.
So here are my two options:
This is going to be very aggressive on my part. Especially being daughter will be a freshman at ECU next fall. So this will have a factor on my decision.
I do have a nest egg of about one year for emergency that will not be considered toward my decision. As this will not be touched except in an emergency.
What would you guys suggest? Pros and Cons of each.
I want to put an additional $2500 each month toward the house. Interest rate on house is roughly 3.5.
So here are my two options:
- Make a principal payment on house each month.
- Put the $2500 in mutual fund and let it ride for the 5 year period and cash out and pay one lump sum.
This is going to be very aggressive on my part. Especially being daughter will be a freshman at ECU next fall. So this will have a factor on my decision.
I do have a nest egg of about one year for emergency that will not be considered toward my decision. As this will not be touched except in an emergency.
What would you guys suggest? Pros and Cons of each.