Should You Pay Off Your Mortgage Before Investing In Property? | Ep. 66

In this episode, we talk about whether prospective property investors should pay off their personal (owner occupier) mortgages before investing in property – and which they should pay off first. 

This question came from the Property Investment Chat Group NZ, a Facebook group where investors discuss property in New Zealand. 

Andrew walks through the reasons why it is generally better to get into investment property early rather than wait. And that it is typically better to pay off your own occupier mortgage before you pay down any investment debt. 

The key reason behind the latter point is that it is inefficient from a tax perspective to pay down investment debt first. That's because the interest on an investment loan is tax-deductible, while it isn't on your personal home.