Quote:
|
Originally Posted by prior poster
As far as never having a mortgage or paying interest...that is fine if that is one's choice. But as some have already stated having a mortgage for less than 4% and making 8% in investments is a no brainer.
|
Hmmm...I realize you pay the 4% in interest on the mortgage and then you get a tax deduction (not to be confused with a tax credit, where you would deduct the 4% paid on the tax owed), but don't you also have to pay income tax on that 8% return (income) on investments?
As long as you are sharing your financial wisdom...If your investments in the portfolio take a nose dive (lets say you invested in Seadrill and the recent crude oil prices have driven your holdings value down), would you be able to deduct those losses from your taxes? Would you have to sell the stock at the losing price to take the deduction?
Oh never mind...I could not sleep at night worrying about all that!