The debate between my dad and my banker about buying a house in cash vs. financing

So my dad always told me to never borrow money for a house, just save up and pay cash. But the banker at my local credit union said I'd be dumb not to take a mortgage at 3.5% and invest the rest. I saved for 8 years and bought a $120k fixer-upper in Detroit with cash last spring, but now I'm watching my buddies with mortgages build equity and invest on the side. Has anyone else had to choose between these two paths or am I just overthinking this whole thing?

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1 Comment

the_laura15h ago

Cash isn't always king man. That 3.5% rate is basically free money compared to what your buddies are earning in the market.