If you inherited £250,000

[ChilliChipolatas]

My husband says pay off the mortgage, but I've always been told it's the cheapest loan you'll ever get and you shouldn't pay it off. WWYD?

Definitely pay off the mortgage. You'll save loads in interest over 17 years.

In that case pay off the mortgage. Then the amount you'd spend on the mortgage each month save that up for all the other things you want to do, like the extension (in 1-2 years), and saving up for your son etc. It's a no brainer.

Either pay off your mortgage; or buy a holiday home in Europe with a really good rental return, which could more than cover your mortgage. Then all your future holidays will be very cheap and you'll always have an income.

I would never get an extension, they usually look bad and cost far more than they're worth.

Holiday home may be a good idea but it is a huge hassle. I would much rather use the 250K to pay off the mortgage. Then for the next 6-7 years save up all the money you would have paid towards the mortgage and buy a property here and rent that out. This can keep you going in your retirement.

I would probably look at retirement income first and pay whatever I could this tax year into that and probably keep the same aside for next tax year and possibly another.

Then look at savings for children. Then possibly pay some into mortgage. Keep some aside for a treat (holiday probably). Would also look at House - would an extension/refurb make things more enjoyable. A move?

It really depends are you struggling on your monthly income at the moment? If so reducing your mortgage would be helpful but if not why do that?

As I rent I would buy a house (you can get a very nice house for that where I live). In your situation I would definitely pay off your mortgage - that security is the important I think.

We do currently struggle with what what we earn compared to outgoings which is why clearing debt is super important because it would free up £600 a month. Paying for nursery for our son has left our finances a bit screwed (we had no savings before we had him, also once we get government funding this will free about another £500 a month)
We both have fantastic pensions through our jobs so not overly concerned about that.

My main issue is that that the circumstances that left us to inherit this money have made me realise that life's so short and I want to live for the here and now.
It's such a hard decision, and one I don't want to make rashly.

Thanks again - all of you. You've given me food for thought x

I would pay if my mortgage. We have 6 years left . It was an endowment that we got screwed on and can't claim for various reasons.
Some home improvements . Pay off my debts and then invest the rest . Possibly by buying my partner out of the house and telling him to fuck off. But that's a pipe dream

Pay off mortgage, depending on what’s left buy another property, holidaybhome, new car, holidays

Priority would be mortgage, debts etc

I would pay off 90% of my mortgage to avoid the settlement fee. I would put £10,000 away for my son and I would have a nice holiday to Disneyland for 3 weeks.