How quickly should one pay off a house?

May I ask?

Early 40s. For me personally, it’s not really an attitude that only comes with age. My wife and I completely earned our financial status ourselves. And we always did what suited our life situation at the time. Long-distance travels and city trips in our late 20s to mid-30s. (I crossed the Alps when I was 30 :D ) In between, two fully self-paid weddings (registry office and church ;) ). Then came the child and Corona and we saved massively (both also had a major career leap during the Corona period). And then we built the house. Nothing is spared on our daughter. But nothing is spent senselessly either (the first 4 years only second-hand clothes from her cousin). Shortly after building the house, my wife fulfilled her dream of owning a horse. I recently got myself a new e-mtb. The car is 7 years old and will be driven until it falls apart. All expenses are experience-oriented. Never purely status symbols. We have always managed well with that. It’s possible others have more money than us when they are 60. But I don’t feel like the prime time of my life has to be just before retirement, for which I would have to give up a lot for years beforehand.

I am in favor of paying off quickly. I did it myself that way. Debt-free after 10 years. Meanwhile, the [Photovoltaik Anlage] of the [iD3] has been realized and the heat pump is in implementation. It’s really cool when you don’t have to pay rent or loans.

Since I also know enough people who did not reach retirement age or were too sick to spend their saved money meaningfully, it was clear to us that the house should not lead to any restrictions. We built three years ago, and we probably will never fully repay the loan in our lifetime. So what? The installment is so low that either one of us can easily afford it. We both love traveling. And on this point, I have to disagree with . When you retire, you have more time, and therefore you need more money if you have hobbies like traveling. But it was clear to us that we did not want to give up a house for that.

I also think that it is very individual. If you have enough money to pay off quickly and comfortably, you should probably do that. But to enslave yourself for years and decades and put every cent into it, I don't think makes sense, because you only live once and no one knows for how long. For example, three years ago at the age of 32, I had cancer, and after that, you simply see the world differently. Who knows how long I will live, whether the cancer will come back at 40, or if I will be run over by a bus at 50. I don't want to look back and say to myself, "Yeah, but the remaining debt is nicely small," but I want to say, "I had a good life." Our children are now almost 9 and almost 11, for example — I'd rather go on a vacation with them than do special repayments. For us, it is important that the house is paid off and in decent condition by retirement at the latest (so for us at 70^^). Because I assume that the pension will be poor. Either you sell then, or you just live there rent-free.

And on that point I have to disagree with @ypg. When you retire, you have more time and therefore you also need more money if you have hobbies like traveling.

Did that come across wrong? Of course, traveling and living it up are on the agenda.

Meanwhile, the photovoltaic system for the iD3 has been implemented and the heat pump is in the process of being installed.

It's sad if that is the life goal.

Did that come across wrong? Of course, traveling and living are on the agenda.

You said that you don’t need more money in old age than before. And that is not the case if you want to travel more than before because you have more time.