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Originally Posted by coach
I'm a Dave Ramsey fan like an earlier poster. Here is a question he would ask." In today's market, if your house was completely paid for, would you take a mortgage out on the property to invest in the market?"
My answer is no. The point many advisers don't factor in is the risk. The potential return of 10 % in the stock market needs to be balanced against the certain return of not paying 6-6 1/2% for your mortgage. When you consider risk, taxes and the joy of no debt, I would go with a home in TV and no mortgage.
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Although I'm no expert on investing, the comment on "todays market" implies that 'todays market' is not a time to invest in equities. The richest stock investors became that way on one major principle : when everyone is panicking and selling BUY! Stocks are cheap now. If I was 30 years old and had available cash, I'd be pouring the money into the market.