Paid off your mortgage? Woo-hoo! Break out the champagne and celebrate the freedom you must now feel! But once the dizzy excitement has passed, what will you do next? What will you choose to do with your new found house equity?
Technically speaking, if more than 30 percent of your pre-tax income goes towards paying your mortgage, you meet the common definition for being ‘mortgage-stressed’ – and, unfortunately, it’s more common than you think. We see it often with young successful couples who tend to commit beyond their future means.
For most Australians the largest financial commitment ever undertaken is their home mortgage. The prime objective of many is to pay it off as soon as possible, particularly as the interest is not tax-deductible. Learn how to take control of your mortgage.