Author Topic: Took Stock Gains and Paid down principal + eliminated PMI  (Read 2287 times)

Honest Abe

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Took Stock Gains and Paid down principal + eliminated PMI
« on: May 14, 2013, 03:35:38 PM »
This isn't necessarily a stroke of genius but it's a goo thing nonetheless. When I bought this house two years back I was single and hadn't discovered mustachianism yet. Hence my mortgage came with a PMI of $177/mo.  Now, I am married to a beautiful mustachian woman and our finances are in a good place.

Putting this amount of money into my principal will not only save us the $177/mo from PMI (which we wil direct back into principal) but will also bring us to the point where we'll be paying an extra $100/mo in principal (or less interest, however you want to think of it.)

Leading to a grand total of $277/mo more towards our stache.

tomsang

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Re: Took Stock Gains and Paid down principal + eliminated PMI
« Reply #1 on: May 14, 2013, 04:18:46 PM »
Congrats!  Is it time to refinance?  Rates have dropped in the past two years. Also financially you would be better off investing vs. paying off the mortgage early with the extra $177 a month if you think that stocks will beat 3.5% or whatever you have for a mortgage rate.

Maybe you are saying you refinanced or I don't know where the $100 is coming from.


Putting this amount of money into my principal will not only save us the $177/mo from PMI (which we wil direct back into principal) but will also bring us to the point where we'll be paying an extra $100/mo in principal (or less interest, however you want to think of it.)

Leading to a grand total of $277/mo more towards our stache.

Geek

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Re: Took Stock Gains and Paid down principal + eliminated PMI
« Reply #2 on: May 27, 2013, 12:10:33 AM »
$100 extra paid per month on the principal is $ towards the 'stache (plus whatever is being saved in interest). Your house is part of your net worth.

gooki

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Re: Took Stock Gains and Paid down principal + eliminated PMI
« Reply #3 on: May 27, 2013, 03:04:35 AM »
Good shit.

olivia

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Re: Took Stock Gains and Paid down principal + eliminated PMI
« Reply #4 on: May 27, 2013, 06:45:45 AM »
Awesome, congrats!