Ah, the age-old question: to pay off or not to pay off the mortgage? It’s a decision that often sparks debates among homeowners, and for good reason. Everyone’s situation is unique, and what works for one person might not necessarily work for another.

Let me share my journey with you. As a portfolio landlord, I’ve had my fair share of mortgage struggles. Initially, I opted for renting – it was undeniably cost-effective. But eventually, I took the plunge and bought a house outright with cash. Did it feel like a smart move? Well, not exactly. Sure, I owned the property outright, but my life didn’t change dramatically. I still lived in the same place, and that large capital pot seemed to vanish into thin air.

It wasn’t until later, when I paid off another property in cash, that I truly understood the financial weight of such a decision. Suddenly, renting felt like a bargain in comparison. Capital in the early days of investing is precious, and seeing it tied up in property wasn’t exactly my cup of tea.

Now, don’t get me wrong – paying off your mortgage has its perks. There’s a certain sense of security in knowing that your home is completely yours, free from the shackles of debt. And if that’s your goal, then by all means, go for it. But for me, the thought of all that capital locked away didn’t sit well.

Instead, I found a middle ground. Leveraging the limited company through which we own our properties, my spouse and I took advantage of mortgage products available to us. By securing loans against our property, we were able to maintain liquidity while still enjoying the benefits of property ownership.

Here’s how it works: You own your home outright in cash, but you also have access to loans secured against the property. You can then use that capital to invest in buy-to-let properties, all while keeping your options open and your finances flexible.

It’s a strategy I’ve been using for over a decade now, and it’s served me well. So, am I against paying off your mortgage? Not at all. But I do believe in keeping your options open and finding a balance that works for your financial goals.

In the end, whether you choose to pay off your mortgage or not, the most important thing is to make informed decisions that align with your long-term financial plans. After all, it’s your financial future at stake.