<p>I paid off my mortgage with a home-equity loan of credit. I am currently making monthly payments towards loan of credit.</p>
<p>harry7…perhaps you could clarify this a bit. on what property did you take out the home-equity loan? if it’s your residence, then you are hardly debt-free. if it’s another property, then i believe you are forsaking the deductability of this loan. either way, i’m wondering why you did this</p>
<p>nycdad…Yes, the home-equity loan is for primary residence. I took home-equity loan to pay off mortgage because interest rate was lower and it is fixed-rate loan.</p>
<p>We have a home equity loan as our loan for our primary residence (same reason…lower interest rates). It is treated the same as a mortgage payment. You still owe X number of $ on your home. In fact our bank even calls it our first mortgage (we also have a home equity line of credit against the same home which we have NOT used…but we have it…just in case).</p>
<p>harry7…in that case, you should treat it no differently than if it were a conventional mortgage</p>