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Should I Pay Off This Mortgage Loan?
I just heard a personal finance expert recommend paying off a mortgage that has 14 years remaining. Here are the parameters of the 30-year fixed rate loan:
Debt Present Value: 229,880Remaining Term: 168 (16 years paid, 14 years left)Annual Interest Rate: 6.6% (fixed over 30 years)Monthly Debt Service: -2,100 (principal + interest)Annual Debt Service: -25,200
From these parameters, [...]
Posted in Introduction to Income Valuation and Syndication, Real Estate Investing, Time Value of Money, Wealth Creation
Tagged capitalization rate, cash flow, cash on cash, credit, debt, equity, finance, financial, interest, invest, investment, investor, leverage, loan, mortgage, principal, return on equity, syndication, syndicator, yield
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