Mortgage VS Investing #finance #financialfreedom #money #MoneyTips #smartmoney #shorts

The Great Debate: Mortgage Paydown vs. Market Growth 🏡📈
It’s the question I get most often: "Should I take my extra cash and put it toward my mortgage, or should I invest it?" While it might feel like you're comparing apples to oranges, it really comes down to one thing: The Hurdle Rate.

The Math: Guaranteed vs. Potential ⚖️
The Mortgage "Win": Paying down your mortgage gives you a guaranteed, risk-free return equal to your interest rate. In Canada, because mortgage interest on a primary residence isn't tax-deductible, a 5% mortgage is a true 5% after-tax "hurdle".

The Investment "Potential": Historically, stock market returns (averaging 8–10% over the long term) have outpaced mortgage rates. However, these aren't guaranteed and come with market volatility.

The Psychology: Peace of Mind vs. Opportunity 🧠
As I discuss in this clip, "History doesn’t repeat itself, but it often rhymes." For some, the emotional freedom of being debt-free is worth more than a few extra percentage points in the market. For others, the opportunity cost of not investing—especially in tax-advantaged accounts like an RRSP or TFSA—is too high to ignore.

Finding Your "Middle Ground" 🛠️🤝
At The Hilberry Group, we don't guess—we model. We look at your:

Current Interest Rate: Is your "hurdle" low (e.g., a 2.5% legacy rate) or high (e.g., 6%+)?

Tax Bracket: Can an RRSP contribution refund actually be used to pay down the mortgage? (The "Best of Both Worlds" strategy!)

Time Horizon: How many years do you have for compounding to work its magic?

Are you a "Debt-Free" dreamer or a "Market" motivator? Let's figure out which strategy rhymes with your goals for 2026. 👇

Видео Mortgage VS Investing #finance #financialfreedom #money #MoneyTips #smartmoney #shorts канала Anna Hilberry