• ArbitraryValue@sh.itjust.works
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    1 day ago

    being debt free

    I know a few people who are definitely not in a hurry to pay off low-interest mortgages from 2020 and 2021, but I suppose that they’re already in a very different financial position from the people who might consider going into debt for a watch.

    • NeatoBuilds@lemmy.today
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      1 day ago

      Can’t take the house with you when you die so the less you end up paying the better in a way, unless you have someone to pass it on to like kids

      • ArbitraryValue@sh.itjust.works
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        1 day ago

        Those mortgages have an interest rate of less than 3%, but now the returns on even low-risk investments are higher than that, so the borrower is better off investing the money, using some of the profit from that to pay mortgage interest, and keeping the rest.

        • frezik@midwest.social
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          1 day ago

          Even more: an interest rate of <3% is basically blown away by annual inflation.

          That assumes your salary goes up with inflation, though.