CHAPTER 12 (BONUS CHAPTER 1)
PAYING CASH VS GETTING A MORTGAGE: WHAT MAKES THE MOST SENSE FOR YOU A lot of the people who will read this book are in a fortunate position. They might have enough equity, savings, or investments to buy their next home in cash. If that is you, first of all, recognize that you have options most buyers do not have. That is a very good place to be.
But that also raises a big question: If you can pay cash, should you?
My personal bias is that many people, especially higher income buyers, are often better served by keeping at least some of their money working in other places rather than tying it all up in a house. But there is no one answer that fits everyone. This chapter is about giving you a clear, balanced way to think through the tradeoffs. Please note: As always, this is not tax, legal, or investment advice. You will want to talk with your tax professional and financial advisor before making any final decisions. How Paying Cash Changes the Game Let us start with the obvious benefits. If you buy a property in cash:
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