Buying precious metals vs. paying interest

How often did you need to skip a payment?

 

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Never, just covering all the bases.

 

And there you have it. Never skipping a payment, because you think you paid for a couple of months in advance, doesn't prove that you were actually paid in advance. Your payment was almost certainly paid towards principal or escrow and you either shortened the term of your mortgage, or you were refunded the overpayment of your escrow when you paid off your mortgage.

 

Like others have said, have a 6 month emergency fund and no CC debt, then pay off the mortgage. Precious metals are iffy as investments. Sometimes they really shoot up, but long term they haven't been very good. Index funds do better.
One compromise that I personally do is this: I like silver. I have found that you can often buy beautiful silver commemoratives at close to bullion value. So I have some lovely coins, but also have "scratched the itch" of wanting a small stash of precious metals. Also, you can buy lots of "junk silver" coins at bullion prices and find as a bonus a few desirable collectable coins in the mix. Win-win!

 

The amorization schedule is the way to cut your mortgage years in half of where it is right now. Follow this schedule by paying the next months principal. Realize since the interest goes down some each month that means the following months principal goes up, best way to pay off early.

 

I am not saying Index Funds are bad in anyway, had one for years. To me Index Funds offer more downside protection than upside potential.

 

I would pay off the mortgage faster. You are buying real estate, which is a good investment, especially since you are living on it, which makes managing it much easier. Being a landlord can be a pain, especially if you have bad tenets.

 

It's very possible you'd have rented out to bad tenants because you've got bad tenets.

 

In my opinion, this is good advice. My wife and I haven't had a mortgage, or any other type of debt for over 20 years. We own a very successful business and for years lived much more modestly than most folks that made a fraction of what we do. We have never regretted it. A lot of folks aren't great at delay of gratification though.

I stacked bullion for a very long time. Dtort is correct that compared to index funds, like an S&P index fund, PM's haven't performed that well. Once your home is paid off, and you have a strong cash and investment position, then consider adding some PM's. I don't regret having a stash of PM's. For me they are somewhat like a fire insurance policy on your home. You hope you never really need it, but the peace of mind of having it is certainly worth something.