<prompt> Human: Is there a calculator somewhere that allows you to determine if its more worth it to pay off a house in cash, or take out a mortgage, even if you can afford to pay cash? Im looking at purchasing a home in the next year or so. I have a good amount saved up for 20 down on the house, and if my income stays exactly as it is now, I will be able to pay off the house in cash in 4 or 5 years, less if my income goes up. The only thing is that Ive heard in some places that this may not necessarily be a good idea, because if your mortgage rate is low, you might benefit from just paying the mortgage, and investing the cash that you would have spent on paying off the whole house. Plus, theres inflation to think about - so since my mortgage payment is the same in 20 years as it is now, that mortgage payment isnt going to be as much money really as it is today. On top of that, since mortgage interest is tax deductible, my mortgage payment wouldnt really be as much as it seems. Just wondering if theres an easy way to figure out which is more worth it.  <response>: Ask the question in reverse. If you had a paid for house, would you take out a mortgage on it and then invest that cash just to get try and get the best return on rates? If the answer is no, you know what to do. 