Nov 27
Decades ago one of the people I considered a mentor told me: Pay $100 a month extra principal on the property with lowest mortgage balance.
When that property pays off, pay the mortgage amount plus the $100 towards the property with the next lowest balance and so on.
I argued that the money should be put towards the loan with the highest interest.
He said ‘Cash flow is king. Without cash flow, the rate of interest doesn’t matter, you’ll go broke.’
Ten years later I thanked him. He said ‘I wished I would have followed my own advice.’
