Has anyone been to A Mortgage Burning Party?

[YourCashFlowCoach]

I remember 35 years ago my parents took me to a party in the neighborhood; it was called a "Mortgage Burning Party". They would happen frequently but today you never hear the term anymore. Back then people in their mid 40's typically were close to paying off or already had the deed in hand, refinancing never came to mind.

It is said today that the average American 50 years old has less than 50K in assets and that includes home equity. Scary thought! Another statistic that I recently read on the subject was the average American spends $1.24 for every dollar earned.

If these stats are true it means that many will be forced to move in with their kids at retirement. If you’re in your 40's and still have 30 years left on your mortgage and little saved you best be kind to your children.

A change in thinking needs to happen now. Thoughts of refinancing to consolidate debts need to go away. Debt can be eliminated without taking another loan. Those who have succeeded need to share their story so those who don't believe "Mortgage Burning" is possible can see the light.

[RickLee]

..we invited two other families to join us at a friend's local restaurant. One family already burnt their mortgage about 5 years prior, another family was still on their way to end theirs.

I confess to one extravagance, we cracked open and shared a bottle of 1999 Chateau Latour (I'm a wine nut), which was expensive but special because 1999 was the year we began our mortgage. The wine was meant for aging, but it was pure pleasure to mark the end of both the mortgage and the wine prematurely.


RICKLEE

[YourCashFlowCoach]

Treating yourself for accomplishing such an achievment was well deserved.

Help others by sharing the magic you used in doing it.

I am constantly reminding people that a mortgage is "Death Pledge" and getting rid of it should be a priority. Once you get rid of the liability you can turn your home into an asset that can create wealth.

Much easier to save if you don't have the debt.

Nice job Rick

[starshard0]

Personally I've sworn to never take on any debt, including a mortgage. If I can't afford it up front, I don't need it.

[TexasNative]

I hope to be hosting one within the next 10 years! We borrowed $180,000 on our house in 11-06, and we have it paid down to $157,000 thus far. I'm thinking the occasion will merit at least a bottle of silver oak.

[starshard0]

Originally Posted by TexasNative

I hope to be hosting one within the next 10 years! We borrowed $180,000 on our house in 11-06, and we have it paid down to $157,000 thus far. I'm thinking the occasion will merit at least a bottle of silver oak.

That should be a blast! I know a lot of people who never bother to pay off their mortgages, which I suppose makes economic sense, but in my opinion it's better to own things free-and-clear.

[singleguymoney]

I'll invite you guys to by mortgage burning party....in 28 years!

[Julie Rains]

I am thinking about having such a party in the next couple of months and had been pondering asking for party suggestions so here I am. What was the reaction of your friends --- did you get support and congratulations? Did you choose only friends who valued a mortgage payoff?

[RickLee]

..is we invited three couples. One couple owned a lovely home much larger than ours, and they were still paying it off. One couple owned a nice home much earlier than we did, and had already paid it off. One couple was living with their parents, but were real estate investors who were flipping houses while keeping expenses low.

They were all congratulatory, supportive, asked questions, and we had a memorable party at our mutual friend's restaurant.

[Julie Rains]

I liked the idea that my mortgage payment was just a smidgen over my rental house payment. The rental house was down the block from a drug-dealing area and had a leaky basement (rendering my washer and dryer useless) but I hear others can find nice places to live less expensively.