Why Investors Should Not Pay Down a House Mortgage

It is sometimes tempting to make extra mortgage payments in the effort to save on the vast amount of interest we pay to mortgage companies. This is especially true when we receive advertisements from companies who specialize in splitting you payment into two parts so as to reduce the overall payments you will have to make. This may be of some use for an average homeowner (although they could get the same results without paying a company to do it for them), but it is not a good idea for investors. Here are some reasons why: 1. Don't drink your liquid assets. If you increase monthly payments to a mortgage, you are reducing your liquid assets, one of the most precious resources that investors have.