On Wed, 20 Aug 2008 17:11:53 -0400, "Eisboch" wrote:


"Vic Smith" wrote in message
news
On Wed, 20 Aug 2008 16:33:11 -0400, John H.
salmonremovebait@gmaildotcom wrote:

On Wed, 20 Aug 2008 15:28:48 -0500, Vic Smith
wrote:

On Wed, 20 Aug 2008 16:16:32 -0400, John H.
salmonremovebait@gmaildotcom wrote:

Would it be a wise move to take out a loan on your home to buy stocks?

Would it be a wise move to sell stocks to pay off a loan on your home?

A lot has to do with your personal view on risk and holding debt.
Personally I hate any debt.
Since *nobody* can accurately predict what the stocks will do, it
comes down to that.
Well, I guess that was no help at all.

--Vic

When I bought the house, I was holding a lot of debt. I'm still holding
some debt on the house.

Taxes are tricky. I'd love to knock off the rest of my house debt,
but the tax hit in cashing in a CD doesn't give advantage.
If it was less than a grand costs I'd do it anyway, just to clear the
debt. Like I said, personal view.

--Vic


Having spent most of my life in debt, I don't understand why anyone wants
or needs it (except banks) once they are in a position of paying it off.

We own three houses and hold a mortgage for a forth (sold it and are acting
as the "bank").

We don't have any mortgage payments or debt. We pay credit card balances
off every month.

I've been advised that's bad because we don't get any tax advantages.

But, to me, it isn't worth it. Why pay somebody interest, just to get a
write off on income taxes that does not equal the interest paid?

Eisboch



I've never understood the advice to pay interest for the tax break. Where
is the break in giving away $1 to get 30 cents back? Seems like 70 cents
got lost there somewhere.

I can understand holding debt while building a savings account, but once
the cushion exists, I can't see the reason for it.
--
** Good Day! **

John H