? About paying off a house

[SSMAN]

How does that affect your credit score??
For some reason I am thinking it would not be good for it, but have no clue

[quikag]

How it affects your credit shouldn't even be a primary or secondary consideration. Figuring currently historically low interest rates and the deductibility of mortgage interest, there aren't many good purely financial reasons for paying off a house. The main reason many do it is for the sole sake of not having any debt hanging over their head and the comfort factor of living in a completely paid off house.

[bcoop]

I'm no expert, but the following should be taken in to consideration.

1) it will show account closed by user.
2) What is your current debt to income ratio?
3) Current standings with other open accounts and past closed accounts
4) Total of remaining balance on loan?

Is there a reason you're concerned over what it will do to your credit, like you plan to purchase another property or make some other major purchase?

[LANTIRN]

Fuck any stupid reason to keep a mortgage. Paying off the house would be fucking awesome. Fuck debt. No debt will lower your credit score to zero, but you don't need a credit score if you don't borrow money. I'd pay off my house today if I could. Fuck debt.

[abecx]

Going with what Lantirn said, if you already have a house there are probably few things left in life you need your credit score for other than buying a car. You can probably put everything else on 6-12 month no interest credit cards that is if you ever needed them. No debt ftw.

[ceyko]

I too would pay off my house if I could, regardless of credit impact but my reasons are paranoid based. In the event of social decline...etc...etc, at a minimum I'd have my house and property minus any taxes still being taken.

Mr. Banker - most likely won't be out of the collection process if economy plummets and chaos breaks out bigger than we've ever seen before...etc.

[slow99]

Figuring currently historically low interest rates and the deductibility of mortgage interest, there aren't many good purely financial reasons for paying off a house.

Word, doesn't really make financial sense. One of the biggest benefits of real estate is the ability to lever. I'm at 3.65% on a 30 year fixed; I'm never prepaying that shit.

[Sean88gt]

If you're that concerned, buy a rental property and pay on it.

[GhostTX]

Fuck any stupid reason to keep a mortgage. Paying off the house would be fucking awesome. Fuck debt. No debt will lower your credit score to zero, but you don't need a credit score if you don't borrow money. I'd pay off my house today if I could. Fuck debt.

Can I get an "Amen"?!?!

[Mongoose]

How does that affect your credit score??
For some reason I am thinking it would not be good for it, but have no clue

It should have zero impact score wise ( unless we are talking about maxed out credit cards in the scoring mix ), in fact if you opened up another mortgage soon after paying this one off your score may dip a little due the average age of your accounts being lowered. The only two negatives ( if there is any actually ) would be some Prime Rate lenders like to see an active mortgage as part of a healthy credit mix when it comes to underwriting. Secondly, your Mortage Fico ( Not your General Fico ) score will lower slowly over time until the account falls off in 10 years after date of last activity. Even then, so long as you are doing everything else right, you shouldn't have a problem if you needed another one during - or after that. Unless you have plans on taking out a large loan with an ultra conservative lender due to them offering the best of best credit risks zero point nothing - Dont worry about it.

[SSMAN]

I'm no expert, but the following should be taken in to consideration.

1) it will show account closed by user.
2) What is your current debt to income ratio?
3) Current standings with other open accounts and past closed accounts
4) Total of remaining balance on loan?

Is there a reason you're concierned over what it will do to your credit, like you plan to purchase another property or make some other major purchase?

Actually I am just curious about it. Currently I am in good standing with all debts. Current scores are 822/819/808

[SSMAN]

Your debt to income ration is a big part of the. Score,so if my debt is gone it made sense to me that it might have some impact to the score? Just my random thinking

[SSMAN]

Only reason for paying it off is simply because the note is up

[Mongoose]

Current scores are 822/819/808

Fukking A man! Fukking A!

Only reason for paying it off is simply because the note is up

I`d say just pay it off if that is the case and use what you have been paying per month to eliminate any of your remaining debt - Or invest it somewhere.

[Broncojohnny]

Mine will be paid off soon. One thing to remember is that incrementally the tax deduction may not be worth that much to you if your mortgage is small. The standard deduction is about $12,500 or so, if you don't have many other write offs you may be taking that without a mortgage. This is the exact situation I am in. I have been paying mine off for years because I think a lot of shares are over valued, although I have gone balls deep into oil here lately.