Posted by Tracey King on February 26, 2002 at 15:20:16:
Although paying off your own home may seem to be the noble thing to do, it might not be the right thing to do. Example: You make 50K on a flipper, you have 2 choices, pay off your house or buy 1-10 more houses. Which choice is going to make you more money in the long run? Your house doesn’t put money in your pocket. It isn’t truly an asset by the definition that assets put money in your pocket. It is a liability. Reading Rich Dad, Poor Dad or the Cashflow Quadrant might help you understand why paying off your house might not be the best use of your money.