While conventional wisdom says homeowners should pay off mortgages before entering retirement, there are times when the opposite is true, experts say. Kathleen Mealey of Cabot Money Management says homeowners should consider the interest rate and length of time left on their mortgage. "Compare this with the 401(k) investment options," Mealey said. "If the long-term rate of return on the 401(k) plan will be higher than the mortgage and there is a comfort level with the risk involved, it may not be advantageous to pay off the mortgage."

Full Story:

Related Summaries