The Financial Math
This depends on mortgage rates versus investment returns. If mortgage rates are 4% and historical stock returns exceed 10%, investing may be financially optimal.
Risk Considerations
Mortgages offer guaranteed rates while investments fluctuate. Investment market crashes could force early liquidation. Your risk tolerance significantly affects this decision.
Personal Preference
Beyond the math, debt comfort matters. Some prefer maximum monthly leverage for investment potential. Others prefer equity and lower debt stress. Both approaches can be financially sound.
