Should you pay off our house early? According to Garrett Gunderson…. definitely not. And in the shore video below, he explains why. However, Dave Ramsey has a different take on why you should. Is it about the numbers, or about the peace of mind? Is there a right or wrong answer? Here both sides of the story below.

Garrett Gunderson’s Take (No!)



  • If you have your money trapped in equity, it will only be available to you if you are in a good financial position. And banks are incentivized to go after someone who has more equity in the home as it is easier to get the cash back on it.
  • On the other hand, if you save the money on the side, you will have better access to it if a crisis hits and puts your financial situation in turmoil.
  • It lowers your “cost of money” (overall rate of return on your cash flow). If you are making a greater return on your investment, than you are paying interest on your mortgage, then you are accumulating money faster than if you paid off the mortgage.


Dave Ramsey’s Take (Yes!)



  • Ramsey discusses a case study on Millionairres and how they got to where they are. Most got there with a 401k & a paid Off House, as opposed to investing and keeping their mortgage.
  • Having a paid off house changes the way that you operate with your money because you are standing on a solid foundation with no risk.
  • Because you would never borrow on a mortgage to invest money, then you should never keep a mortgage to do the same.


Bonus Video (The Money Guy Show)


Their Conclusion:  It depends on age & opportunity cost.


What is your take?


Commercial Real Estate