Mortgages: Is a bigger down payment or the minimum down payment better?
The minimum down payment is 20% but I can liquidate enough cash to pay 40%. Should I do as large of a down payment as possible to minimize my monthly payments? Or should I take out as much money as possible on a loan to maximize my deductible mortgage interest payments and subsequent tax benefits? Do these benefits outweight the costs of borrowing extra? And Is the extra cash on hand better off invested elsewhere than being put towards the down payment?
My credit score is excellent and I’m confident we can get good rates from lenders. We have some investments with decent returns but are not diligent investors that get outstanding ROIs on our portfolios.