Comments on: The Simple Dollar Time Machine: June 19, 2010 http://www.thesimpledollar.com/2010/06/19/the-simple-dollar-time-machine-june-19-2010/ Financial talk for the rest of us Sat, 16 Feb 2013 01:14:45 +0000 hourly 1 http://wordpress.org/?v=3.5.1 By: Courtney http://www.thesimpledollar.com/2010/06/19/the-simple-dollar-time-machine-june-19-2010/#comment-915140 Courtney Sat, 19 Jun 2010 19:47:33 +0000 http://www.thesimpledollar.com/?p=5543#comment-915140 “An early payment on your home loan is the same as investing that much money at a rate of return equal to the interest rate on your mortgage.”

Not quite. If I invest money in the market, in a savings account, or some other financial vehicle, and then six months from now I need that money back, I can sell shares/cash in bonds/withdraw my investment and have most/all the money in three days or less. If I invest in my house, I have to put my house on the market, wait for it to sell, and pay realtor commissions and possibly taxes in order to get my investment back. And then I have to find a new place to live.

]]>