Q&A
Ang’s decision about investing comes down to ...
Mortgage versus share fund
Q We are in our early 50s, with two teens still living at home, and we have been paying down our mortgage while topping up our offset account as quickly as possible. We have about $80,000 to go until we no longer pay interest. However, given interest rates continue to drop (ours is 3.59%) we wonder whether we should invest in indexed share funds instead.
We have $75,000 cashback available and $80,000 in the offset account. Should we withdraw $50,000 or $100,000 to invest? Alternatively, would it be better to tap into our equity and obtain a loan or line of credit to also take advantage of tax deductions (we are both in the lowest tax bracket)?
You know, Ang, I am really conservative. So I hate the idea of borrowing against my
