Mortgages are not just for the average American. They are actually for everyone- regardless of how much cash they have on hand.

Fun fact- the Facebook founder Mark Zuckerberg refinanced on his home in 2012 which ultimately saved him a significant amount of money each month. So, yes, even billionaires have mortgages.

So, there are a few things to keep in mind. Yes, paying cash up front wins bidding wars and even helps cut costs. And, generally speaking, when developers are buying up abandoned lots or foreclosed homes, they will pay cash up front.

As an individual looking to purchase a home, having a mortgage is actually an excellent option. The mortgage debt is relatively low, plus the liquidity you also receive, often makes a mortgage the smarter option.

Additionally, while you may have the money to pay the cash up front, it may not always be the most sensible option- tying up all of your finances in a house mortgage. Truthfully, it can tie your hands further on down the road. Having cash available and on hand is extremely important, as many homeowners know.

Preparing for the little (or big) surprises

The unexpected basement flooding. Replacing the furnace. Fixing the roof. All of these things are “complications” every homeowner will experience at some point throughout the duration of their home owning experience.

If you tie up all of your money in your own home, these “unexpected” expenses can actually cause you your house.


To get a mortgage or to pay in cash: that is truly the question.

If you are looking for more specific answers to your unique situation, talk to our experienced mortgage lenders. They can advise you on the best next-steps.


Total Home Lending


Natasha Mason