Should i pay 100 to 150K towards my mortgage?
A] Our current financial situation:
Combined household income - 238K$.
If i get laid off, i will get paid less.
Stock investments -
Primarily in high tech stocks.
Retirement plans -
401K - 207K$
We only match what the company matches (6%). I.e. We dont max out our 401K
Health savings account -
House was bought at - 491K$
Down payment – 98,200$
Mortgage pending – 364K$
30 year convertible adjusted rate mortgage.
7 years lock-in with 3.25%
After 7 years, the interest rate will be what the market rate is.
We have paid mortgage for 1 year, 6 more years till the lock-in period expires.
Since couple of months, every month we pay extra 5K$ towards principle.
1. Should I pay 100K to 150K $ towards my mortgage in-order to save on interest?
Once onetime payment is done, should I continue paying 5 to 6K$ every month extra towards principle?
2. Should I invest most of my liquid cash in index bonds? And other low-risk instruments?
3. Are there glaring mistakes that we are doing W.r.t investments?