Should You Carry a Mortgage into Retirement?

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The brief’s key findings are:

  • More than 1 in 5 households aged 60-69 in 2007 had a mortgage and had sufficient assets to pay it off.
  • Paying it off makes sense unless a household:
    • can earn a risk-free return that exceeds its mortgage interest rate; or
    • cannot satisfy its demand for risky assets without borrowing money.
  • Few meet these exceptions, so the payoff option is the best bet.