Everyone dreams of owning a house, but paying off the mortgage can be a daunting task. However, some celebrities have managed to pay off their mortgages early and become debt-free homeowners. In this post, we will discuss how these famous people achieved this feat and what lessons we can learn from them.
1. Oprah Winfrey
Oprah is known for her generosity and charitable work, but she is also a savvy businesswoman who has made some smart financial decisions in her life. One of those decisions was paying off her $50 million mansion in Montecito, California, ahead of schedule. She did it by making larger-than-required payments on her mortgage every month until the loan was fully paid off.
Lesson: If you have extra money each month after meeting your basic expenses, consider putting that towards your mortgage payment instead of spending it elsewhere.
2. Dave Ramsey
As a personal finance guru who teaches others how to live debt-free lives through his books and podcasts, Dave Ramsey practices what he preaches. He paid off his own home mortgage early by following his “baby steps” plan – which involves saving an emergency fund first before aggressively tackling debts one-by-one until they’re all paid off.
Lesson: Follow proven principles like creating an emergency fund and prioritizing your debts strategically to reach financial freedom faster.
3. Taylor Swift
Taylor Swift may be young but she’s already made some great choices when it comes to managing her finances. When she purchased her Beverly Hills mansion for $25 million in 2015 with cash rather than taking out a mortgage at all! This allowed here to save on interest rates as well as avoid being tied down by monthly repayments
Lesson: Saving up enough money upfront may allow you to purchase property without taking out any loans which could save you thousands over time
4. Ellen DeGeneres
Ellen is not just known for being one of the funniest TV hosts around; she’s also known for being financially savvy. She and her wife, Portia de Rossi, paid off their $26.5 million Beverly Hills estate in just three years by making larger payments than required each month.
Lesson: If you have the extra cash flow to do so, consider paying more than your minimum monthly mortgage payment which could help reduce interest rates and pay off loans faster
5. Jay Leno
Jay Leno is a car enthusiast with an impressive collection of vehicles but he’s also a smart investor who knows how to manage his money well. He paid off his mortgage on his 11-bedroom mansion in Newport, Rhode Island by investing in high-risk stocks that eventually paid off big time.
Lesson: Investing can be risky but if done right could lead to big returns that can help pay off mortgages or other debts.
6. Will Smith
Will Smith is not only an A-list actor but also a shrewd businessman who has made some great investments over the years. When he purchased his Calabasas mansion for $20 million in 2003, he took out a $10 million mortgage but then quickly paid it all back within two years using funds from various business ventures.
Lesson: Utilize multiple streams of income to achieve financial goals like paying off mortgages early.
In conclusion, these celebrities prove that becoming debt-free homeowners is achievable through hard work and smart financial planning. Whether it’s making larger payments than required each month or following proven principles like creating emergency funds and prioritizing debts strategically – there are many ways to make progress towards this goal no matter what your income level may be!