I’m actually giving some serious consideration to changing my strategy and instead of trying to pay off my primary earlier with a 15, refinance back into a 30 year and take as much cash out as possible..then take the money and do something with it. Like use it to buy cheaper/paid off rental property.
Afterall, if we think the dollar is getting weaker, is there any good reason why I should try to pay this off in today’s dollar sooner, versus using less-worth dollars in the future??? I mean at least if I have some rentals, I can jack up rent (to a point) to keep up with inflation.. Also, since the refinance is on my primary, my interest is deductible up to the phase out limit… On the other hand, if I tie up too much equity now, that’s money that’s lost opportunity which will devalue because I can’t do anything with it….Seems like a big opportunity cost… (other than I just wasted the past 6 years paying down a loan )
Thoughts? Someone talk some sense into me, please…
