Question

If you make an extra $50.00 principal payment per month, what are the opportunity cost considerations? I am looking into a prepayment vereses investment loan

Answer 1

This is hardly economic analysis. The idea is to have a home in hard times, when you are out of work, or disabled. You do that by paying off the morgage. That increases your security and net worth.
Investment loans increase your debt, and risk. If the investment goes sour, you lose the ïnvestment"and still owe the loan.

It is hard for me to conceive the economic choices here. I suspect someone is wanting to make money off of you, not for you.

Answer 2

I agree with Bob Pursley. My thesis in life has been (and is) to become debt free as soon as possible and that is by operating, as much as possible, on a cash basis. If the opportunity presented itself I always made prepayments. The sooner that mortgage is gone the sooner the principal AND INTEREST is free to spend other places.