would you buy a 30 year CD at 4.75% with a big withdrawal penalty with all your money? Why not?
does it seem as appealing to put half the money in the house? it doesn’t, psychologically. sounds dumb, right. but tat’s an indication that it’s a foolish asset allocation.
dont put all your eggs in one basket, and don’t spend your last dime buying “security” by paying off a house.
that said, of course, as stated above, there are lots dumber things you could do with the half million.
I cannot tell you what the smarter things to do are.
and if you cannot think of or do anything smarter with the money, then maybe it’s not so dumb to pay off the house after all…
