What are the advantages of paying off the mortgage quickly??
Sure, not paying interest and truly owning your house is great, but then the money is tied in a fixed asset, and if you want to get at that money, the banks charge higher interest rates on equity loans vs mortgage loans.
Not to mention that one could invest the cash at a much higher rate than mortgage loan, giving net profit after the mortgage interest is paid.
I don't think the numbers matter a lot, because as someone said, they vary by location and individual case. The banks are in the business to make money, so you'll never see them loan money for less than they borrow. I am in Canada, so roughly a 5 year mortgage rate is 3.00%, and equity loan is 3.65%. Suppose my mortgage is $200k and I'm paying $700/month, $350 of which is interest. I also have $100k in cash. Now, its not hard to build a very conservative portfolio that will earn at least 5%, which means I'll keep at least $800/year after mortgage interest is paid.
I have heard "paying off your mortgage is good" so many times that I am wondering if there is anything I'm missing?