Primary residence

[Latasha Shipman]

I am new to this so bare with me...

Currently buying a home worth 90,000 @15 year term. My family and I are using this home as a primary residence as a buy and hold. We have the ability to pay it off in 5-7 years. With hopes of using it as passive income in the future.

Am I on the right track in suggesting to pay this home off prematurely? 

[Thomas S.]

If you did not yet sign on the dotted line you can try anything. Beg or threaten if you have to but try and get it changed to 30 years with a minimum down.

A personal home is a luxury. As stated It is not an asset it is a liability.

If you intend to rent it out calculate your numbers based on 100% financing not on the amount owing on a mortgage. If you are tied in to 15 years your best option is to pull out as much money as you can with a HELOC when you decide to rent it out. Otherwise you may be further ahead at that time simply selling and investing properly in something else.....