Should I Pay Off My Mortgage or Invest the Money Instead? My Real-Life Dilemma

This isn’t a theoretical question — it’s my real-life decision.

I owe about $108,000 on my home — which is worth roughly $650,000 — at a 4.875% interest rate. My monthly payment is $837, and if I keep making those payments, my last one will be due on December 1, 2040.

But lately, I’ve been wondering:
Would it make more sense to pay off the mortgage right now, and then take that $837 each month and invest it instead of sending it to the bank?

Let’s look at both sides.

🏠 Option A: Keep the Mortgage

If I keep things as they are, I’ll pay off the home in 15 years and pay around $42,000 in interest by the end.

That’s not terrible, but it’s still money that could be working for me elsewhere.

Pros:

• I keep my savings intact for emergencies.

• I benefit from inflation over time (my payment stays the same even as prices rise).

• I retain flexibility with my cash.

Cons:

• I’ll still be paying $837 every month until 2040.

• I’ll pay tens of thousands in interest to the bank.

• The debt — even manageable — still hangs over my head.

💸 Option B: Pay Off the Mortgage Now and Invest the $837 Monthly

Now imagine this: the mortgage is gone. No more payments. And instead of sending $837 to the bank each month, I invest it — steadily, month after month — for the same 15 years.

Here’s what that might look like based on different average annual returns:

Scenario	Average Annual Return	Total After 15 Years (Investing $837/month)
Conservative	4%	$181,000
Moderate	5%	$225,000
Optimistic	6%	$243,000
Aggressive	7%	$264,000

That’s the potential of compound growth — even small, steady investments can snowball over time.

Of course, markets can fluctuate, and returns aren’t guaranteed. But history shows that long-term investing tends to outperform the cost of most fixed-rate mortgages — especially ones below 5%.

⚖️ Comparing the Two Paths

Pay Off the Mortgage Now	Invest the $837 Monthly
Guaranteed 4.875% “return”	Potential 6–7% long-term return
Complete peace of mind — no debt	More financial growth potential
Frees up $837/month immediately	Keeps the mortgage until 2040
Simplifies retirement and lowers expenses	Keeps cash more flexible and liquid

 

🧭 The Bottom Line

Financially, investing the $837 each month could lead to greater long-term gains — assuming the market performs well.

Emotionally and practically, though, paying off the mortgage offers a guaranteed return, immediate relief, and flexibility with future cash flow.

✍️ Tracy’s Take: Why I’m Leaning Toward Paying It Off

For me, peace of mind carries real value. Knowing my home is completely mine — no bank, no payment, no balance — feels like true financial freedom.

Once that monthly $837 isn’t going to the mortgage, I can redirect it however I choose:

• Invest it each month and watch it grow.

• Use it for home improvements that boost comfort and value.

• Or simply enjoy having a little more breathing room in my budget.

It’s not just about numbers — it’s about freedom, flexibility, and the feeling of owning my home outright. And that, to me, is worth every penny.

 

Monday Morning Market Update

Good morning, everyone!

First, I want to take a moment to thank my readers for their patience during my short break last week. I’ve been recovering from surgery and am happy to be back with your weekly look at what’s happening in the Florida Keys real estate market.

This week’s update comes in two parts — new listings and recent sales — so let’s dive right in.

🏡 New Listings

There were 65 new listings added to the MLS this past week, with prices ranging from $319,000 to $3,500,000.
It’s worth noting that a few of these “new” listings are actually properties that were re-entered into the MLS to appear fresh — a common tactic in our market.

Among the standout new entries is a rare listing on coveted Cook’s Island, a true Keys gem for those who crave privacy and waterfront tranquility.

Click here to see the new listings

💰 Recent Sales

On the sales side, we saw 24 closings last week. The highlight? An absolutely stunning oceanfront estate purchased by Barstool Sports founder Dave Portnoy for a record-setting $27,750,000.
This sale is not only headline-worthy but also a strong indicator of continued demand for ultra-luxury properties throughout the Keys.

Click here to see the recent sales

📊 Wrapping It Up

Overall, inventory remains active, with a healthy mix of new and luxury listings making waves across the islands. Whether you’re buying, selling, or just keeping an eye on market trends, the Florida Keys continue to offer some of the most desirable real estate in the country.

 

First Class Fridays: Spotlight on Key Haven

When I first moved to the Keys back in 1987, the very first place I called home was Key Haven. Maybe that’s why this community has always held a special place in my heart. Tucked just outside of Key West, Key Haven has long been one of the most desirable neighborhoods in the Lower Keys—and for good reason.

Why Key Haven is So Special

Key Haven blends the best of island living with convenience. Imagine stepping out your back door and being just minutes from open water—perfect for boaters, anglers, and anyone who loves the sea breeze. At the same time, you’re only a short drive to downtown Key West, which means you can enjoy all the dining, shopping, and cultural experiences without sacrificing peace and quiet at home.

The Community Feel

One of the things I loved most when I lived there was the sense of neighborhood. Key Haven is made up of waterfront and dry lot homes, many with direct boating access. You’ll see neighbors out walking dogs, kids riding bikes, and folks waving as they head out for a sunset cruise. It’s upscale yet laid-back—the quintessential Keys lifestyle.

A Timeless Choice

Even decades later, Key Haven continues to be in high demand. The combination of its location, waterfront opportunities, and community charm makes it timeless. For anyone looking to be close to Key West but still enjoy a little more space and tranquility, Key Haven checks all the boxes.

For me, it will always be more than just a neighborhood—it’s where my Keys story began. 💛

Take a look at what's available in this great Keys community.

 

Florida Keys Weather: Frost-Free, Fun, and a Little Feisty

One of the biggest reasons people love the Florida Keys? The weather. It’s the stuff vacation dreams are made of.

No Frost Allowed

Here’s a fun fact: the Keys are the only frost-free spot in the continental U.S. That means no scraping ice off windshields, no frozen toes, and no dead tropical plants. Your flip-flops are safe all year long.

Sunshine on Speed Dial

Most days, the forecast reads something like this: “Sunny with a chance of paradise.” Warm breezes and colorful sunsets are pretty much our brand. Locals know—it’s tough to stay grumpy when the ocean sparkles like that.

But Hold the Halo

Now, let’s be real. It’s not always perfection. Summers can feel like you’re walking through soup. Afternoon storms show up out of nowhere, dump a bucket of rain, and then disappear like nothing happened. And yes, humidity has a permanent residence here.

Hurricanes and Other Hazards

We can’t skip the big one—hurricane season. From June to November, locals keep a weather eye on the tropics. Most storms pass us by, but preparedness is part of the Keys lifestyle. Think of it as island survival skills 101.

Worth the Trade

So, what do we get in return? No frost. No shoveling snow. No gray, endless winters. Instead, we get sunshine, salty breezes, and weather that keeps us outdoors almost every day of the year. Sure, the Keys throw in a little drama now and then—but hey, that’s island life.

 

Eco-Friendly Homeownership in the Florida Keys: Protecting Paradise One House at a Time

The Florida Keys are more than just a chain of islands—they’re home to one of the most delicate ecosystems in the world. From our coral reef that acts as a protective barrier, to the freshwater we import and carefully conserve, to the endangered Key Deer that wander Big Pine, every piece of this environment is part of the charm that drew us here in the first place. And yet, many long-term locals worry: are we loving the Keys to death?

As homeowners, we play a critical role in protecting this fragile paradise. Here are some ways Keys residents can live sustainably while still enjoying the lifestyle that makes our islands unique.

1. Water: Our “Liquid Gold”

Freshwater in the Keys is scarce, expensive, and often piped in from the mainland. Simple choices—like installing low-flow fixtures, using rain barrels for irrigation, and xeriscaping with native plants—can make a big difference. Every gallon saved is a step toward preserving what many residents call “liquid gold.”

2. Landscaping the Native Way

The Keys aren’t meant for lawns of thirsty grass and imported ornamentals. By choosing native species like mangroves, sea grapes, or firebush, homeowners can cut down on watering, provide food for native wildlife, and resist pests naturally. Plus, native landscaping helps fight erosion and protects against storm surge.

3. Solar Energy and Sustainable Power

The sunshine that warms our waters can also power our homes. Installing solar panels not only reduces reliance on fossil fuels but also helps lower utility bills in the long run. Even small steps, like solar water heaters or outdoor solar lighting, can have a meaningful impact.

4. Protecting Our Coral Reef

Our coral reef is dying from warming waters, pollution, and overuse. As homeowners, we can help by choosing eco-friendly cleaning products, maintaining septic systems properly, and ensuring stormwater runoff doesn’t carry chemicals into our canals and ocean. What happens in your backyard can ripple all the way to the reef.

5. Being Good Neighbors to Wildlife

Key Deer, sea turtles, manatees, and countless species call the Keys home too. Homeowners can reduce nighttime lighting near beaches during turtle nesting season, drive carefully through wildlife zones, and avoid feeding wild animals. Thoughtful construction and slower traffic literally save lives.

Living in the Keys Means Stewardship

The Florida Keys aren’t just a place to own a home—they’re a responsibility. As development and traffic increase, locals often say the environment and ambiance that brought us here in the first place are being destroyed. The truth is, the Keys can remain paradise only if we protect it.

Eco-friendly homeownership isn’t just about lowering bills—it’s about preserving the natural beauty and delicate balance of our islands for the next generation of dreamers, boaters, divers, and families who fall in love with the Keys.

Because here in the Florida Keys, paradise isn’t just where we live. It’s what we must protect.

 

Florida Keys Monday Market Update

Another busy week in the Florida Keys real estate market! Whether you’re buying, selling, or just keeping an eye on the trends, last week’s numbers show the incredible variety of opportunities across our island communities.

New Listings

Fresh to the market, we saw homes and condos ranging from $393,900 for a Key West condo to a stunning estate on Duck Key listed at $8,999,000. That wide spread means there’s something for nearly every buyer—whether you’re dreaming of a starter property or seeking a luxury retreat with all the extras.

👉 You can take a closer look at the new listings here: View New Listings

Closed Sales

On the closing side, 32 properties changed hands last week. The sales ranged from $231,000 for a mobile home in Big Pine Key to an amazing beachfront estate in Lower Matecumbe that sold for $16,000,000.

👉 See all the sold listings here: View Sold Listings

What It Means for Buyers and Sellers

• For buyers: The market continues to offer a spectrum of choices. Whether you’re just starting out or searching for a trophy property, opportunities are available across many price points.

• For sellers: Strong activity at every level shows buyers are out there and deals are getting done. If you’ve been on the fence about listing, now may be the time to explore your options.

The takeaway? From condos to multimillion-dollar estates, the Florida Keys real estate market remains lively and full of possibility. Whether you’re ready to move up, downsize, or make your first purchase, last week’s activity is proof that the Keys continue to attract interest across the board.

First Class Friday Spotlight: Mariner’s Club – Key Largo

Long ago, the land where Mariner’s Club now stands was left untouched. For years, it sat quietly by the water, waiting. Then came the vision that changed everything. Developers transformed it into one of the Upper Keys’ most exclusive private communities.

🏝 A Club Lifestyle in the Heart of Key Largo

Mariner’s Club is a gated oceanfront retreat. It offers the feel of a private club, similar to Ocean Reef, but at a more approachable price. Here, you’ll find a rare mix of privacy, luxury, and convenience.

✨ Resort-Style Amenities for Every Day

Life at Mariner’s Club feels like a vacation.

• Two pools: one heated for year-round use, and a dramatic grotto with waterfalls

• Hot tubs, a sandy beach, and lush tropical grounds

• Indoor and outdoor pickleball—the only indoor courts in the Florida Keys

• Tennis and basketball courts for active play

• A full clubhouse with events and a professional fitness center

⚓ A Marina Built for Boaters

For boaters, Mariner’s Club shines. The 43-slip protected marina offers safe, easy access to the ocean, plus dry storage. Whether you’re heading out to the reef or planning a trip to the Bahamas, you’ll launch with ease and peace of mind.

📈 Investment and Lifestyle Combined

Mariner’s Club is one of the few communities in the Keys that allows nightly rentals. Owners enjoy strong investment potential while still keeping their home as a personal retreat. HOA fees cover water, cable, insurance, and premium on-site security—making ownership as simple as it is rewarding.

🌴 Perfectly Positioned in the Keys

Location matters. From Mariner’s Club, the mainland is only an hour away, and Key West is just two hours to the south. You get the best of both worlds: easy access to everything, yet the calm of an island escape.

If you’ve dreamed of the club lifestyle of Ocean Reef—with its luxury, amenities, and sense of community—but want a more attainable price point, Mariner’s Club delivers.

🔑 See what’s available at Mariner’s Club here: View Listings

📲 Ready for a private tour? Contact me today and step inside one of the Florida Keys’ most prestigious addresses.

 

Room to Roam: Homes on Acreage in the Florida Keys

Land is rare in the Florida Keys. Most homes sit on compact lots with just enough space for a house, a pool, and maybe a little yard. But every now and then, you’ll find something different—homes on an acre or more. These are the exception, not the rule, and they stand out as some of the most desirable properties in the island chain.

What You’ll Find

Homes with acreage in the Keys come in all shapes and sizes. At one end, you’ll see rustic, off-grid escapes. A great example is Cook’s Island near Big Pine Key, where a private, boat-access-only home sits on more than an acre. Priced around $749,000, it’s ideal for anyone craving solitude and self-sufficiency.

At the other end, you’ll find luxury estates that rival world-class resorts. One of the most stunning? A $42 million oceanfront estate with sprawling grounds, infinity pools, private docks, and the kind of views you never forget. These are showpieces—designed for buyers who want space, privacy, and pure luxury.

Between those extremes, there’s something for almost every lifestyle. Some properties are tucked into quiet neighborhoods. Others offer space for horses or large gardens. Many come with boating access, because in the Keys, the water is always part of the lifestyle.

Where to Look

Acreage is scattered throughout the island chain, but some areas are better bets than others.

• Big Pine Key and the Lower Keys: Known for larger lots, natural beauty, and a slower pace of life. This is where you’ll find off-grid retreats and properties that feel more “old Florida.”

• Islamorada: Home to several luxury estates with sprawling waterfront acreage. If you’re looking for prestige and space, this is a hot spot.

• Key Largo: Offers a few rare parcels with room to roam, often paired with private canals or direct ocean access. It’s a great choice for commuters who want space without giving up proximity to the mainland.

• Middle Keys: Marathon and nearby islands also feature occasional acreage, often paired with water access for serious boaters.

Each part of the Keys has its own character. Choosing the right one depends on whether you want quiet seclusion, easy access to the mainland, or high-end luxury living.

Why Acreage Matters

More land means more freedom. With an acre or more, you can spread out, create gardens, or design incredible outdoor living spaces. Families enjoy room for kids and pets. Entertainers love the extra parking and space for gatherings. Privacy seekers simply enjoy peace and quiet.

In the Keys, where space is at a premium, acreage makes daily life feel different. It’s not just about the size of the lot—it’s about the lifestyle that comes with it.

Finding Your Space

Acreage may be rare, but it isn’t impossible to find. From a $749,000 off-grid escape to a $42 million resort-style estate, there are opportunities for buyers across a wide spectrum. The common thread? Each of these homes offers room to roam—something truly special in the Florida Keys.

So, if you’ve been dreaming of wide-open space in paradise, don’t rule out the Keys. The right property could be waiting for you. Click here to see the list of available homes.

 

Monday Market Update (One Day Late Edition!)

First, let me start with a quick apology — this week’s Monday Market Update is arriving on a Tuesday! The market doesn’t wait, and I don’t want you to miss a beat, so let’s dive into what happened in the Florida Keys real estate scene last week.

New Listings: 45 Fresh Opportunities

Last week, 45 new homes came on the market across the Keys. That number is a little lower than what we’ve been seeing recently, which is a good sign that inventory is slowing down. Fewer new listings often means less competition for sellers — and a stronger chance for your property to stand out if you’re thinking about listing soon.

These new listings include a mix of property types, from cozy Key Largo cottages to waterfront escapes. If you’d like to browse them all, you can check out the full list here: See New Listings.

Recent Sales: 31 Homes Closed

Buyers stayed active last week, with 31 homes sold across the Florida Keys. Prices ranged widely:

• On the affordable end, a Key Largo mobile home sold for $325,000.

• On the luxury end, a Lower Matecumbe oceanfront estate closed at $3,900,000.

This wide spread shows just how diverse our market is. Whether you’re looking for a starter home, an investment property, or a dream waterfront retreat, the Keys truly have something for everyone.

You can see all the recent sales here: View Sold Homes.

What This Means for You

• Buyers: With fewer new listings hitting the market, it’s a good time to move quickly on homes that fit your wish list.

• Sellers: Slowing inventory puts you in a stronger position. If you’ve been waiting to list, the fall season could be the sweet spot.

  
  

 

First Class Fridays: Ocean Harbour in Islamorada

If you’re looking for a slice of paradise in the Florida Keys, let me tell you about one of my favorite communities—Ocean Harbour in Islamorada.

What makes this place so special? For me, it starts with the landscaping. The buildings aren’t just dropped on a lot. They’re tucked in among lush trees and greenery, connected by a winding road that loops through the complex. It feels like nature and design are working together to welcome you home. Perfect for a peaceful morning walk or an evening stroll.

And then, of course, there’s the oceanfront lifestyle. Ocean Harbour is set right on the water, with an impressive clubhouse overlooking the ocean and a resort-style pool that practically begs you to stay all afternoon. It’s the kind of view you never get tired of.

But what really makes Ocean Harbor shine are the amenities. Here’s just a taste:

• A full marina with boat ramp, fuel dock (diesel & gas), and even ice on hand.

• A saltwater lagoon with its own sandy beach—yes, right inside the complex.

• Tennis courts, bocce ball, and horseshoe pits for when you’re feeling active.

• A car wash station (because salt air is no joke for your ride).

• Covered parking to keep things cool.

• And of course, the peace of mind that comes with a gated community.

Add in the lush grounds and you’ve got the perfect blend of relaxation, recreation, and island living.

Ocean Harbour isn’t just a place to live—it’s a place to enjoy. Whether you’re walking the shaded paths, watching the sunset from the pool deck, or heading out on the water from the marina, every detail is designed to make life here first class.

✨ Curious about making Ocean Harbour your own? Click here to see the latest available properties in Ocean Harbourand discover what first-class living in Islamorada looks like.

 

Florida Keys Coral Reef: Past, Present, and Protecting Our Paradise

If you live in or love the Florida Keys, you already know we’re home to something truly special: the only living coral barrier reef in the continental United States. Stretching about 350 miles, it’s not just a pretty underwater garden—it’s a lifeline for our islands.

A Look Back in Time

The reef has been a part of Keys history long before we called these islands home. Early settlers and sailors both feared and relied on it. Ships sometimes wrecked on the shallow reef line (hence all the shipwreck stories around here), but those same reefs also created safe harbors and abundant fishing grounds. For centuries, the coral reef was our natural protector and provider.

Nature’s Storm Shield

Here’s something many folks don’t realize: the reef isn’t just a diver’s paradise—it’s also our first line of defense during storms. Coral structures act like a giant underwater breakwater, absorbing wave energy before it reaches shore. That means less flooding, less beach erosion, and a safer island chain when hurricane season comes calling. Without the reef, the Keys would be far more vulnerable to the sea’s power.

The Challenges We Face

Like reefs around the world, ours has seen tough times. Rising ocean temperatures, pollution, and disease have taken a toll. Coral bleaching events—where coral loses its vibrant color and weakens—have become more frequent. Sadly, large sections of once-thriving coral have died off over the past few decades.

Hope on the Horizon

But here’s the good news: the community is fighting back. Programs like Mission: Iconic Reefs are working to restore seven key reef sites in the Keys, planting coral grown in nurseries back onto the reef. Local groups, divers, and scientists are teaming up to rebuild what was lost. Every year, more corals are being planted, and progress is slowly but surely taking shape.

Even simple actions—like choosing reef-safe sunscreen, reducing plastic waste, and supporting eco-friendly tourism—make a difference. Protecting the reef is a team effort, and everyone who loves the Keys has a role to play.

A Treasure Worth Saving

The Florida Keys coral reef is more than a dive site. It’s part of our culture, our history, and our protection. By caring for it today, we’re safeguarding our islands, our economy, and our way of life for generations to come.

So next time you’re out on the water, take a moment to appreciate the living fortress beneath the waves. The reef has been protecting us for centuries—it’s only right that we return the favor.

Quick Tips for Reef-Friendly Living 🌊🐠

• Choose reef-safe sunscreen – skip the harsh chemicals and go mineral-based.

• Leave only bubbles – never touch or stand on coral when diving or snorkeling.

• Reduce single-use plastics – they too often end up in the ocean.

• Support local eco-projects – from coral planting to beach cleanups.

• Fish responsibly – follow local regulations to protect reef life.

Together, small steps add up to a big difference for our coral reef.

 

Florida Keys Condos and Townhomes Under $500,000

If you’ve been dreaming of owning a place in the Florida Keys, here’s some good news: you don’t have to spend a million dollars to do it. In fact, there are plenty of condos and townhomes available right now under $500,000. Whether you want to be close to the action in Key West, enjoy small-town charm in Tavernier, or love the convenience of Key Largo, there’s likely a community that fits your lifestyle—and your budget.

The best part? These are just some of the complexes where you’ll find affordable options. Most communities in the Keys offer a variety of units for sale, and many include homes well under the $500,000 mark.

Key Largo: Landings of Largo

Landings of Largo is a favorite for many buyers. Tucked along the bay, this gated community offers resort-style amenities like pools, tennis courts, and even a marina. Several condos here often fall under the $500,000 mark, giving you the chance to enjoy a Keys lifestyle without breaking the bank.

Tavernier: Plantation by the Sea

Head a little farther south and you’ll find Plantation by the Sea in Tavernier. This oceanfront complex has a private fishing pier, a pool with a view, and easy access to schools and shopping. It’s a great option if you want ocean breezes and a more laid-back pace.

Marathon: Bonefish Towers

Looking for views that go on forever? Bonefish Towers in Marathon might be your spot. This high-rise offers panoramic ocean views, a pool, and a central location in the Middle Keys. Units under $500,000 give you a front-row seat to some of the best sunrises in the Keys.

Key West: Santa Clara and Solana Condos

Even in Key West, where prices are known to climb, there are affordable options. Santa Clara and Solana Condos provide budget-friendly living with easy access to shopping, restaurants, and the island’s vibrant energy. These communities let you enjoy the Key West lifestyle without stretching your budget too far.

The Bottom Line

Condos and townhomes under $500,000 can be found across the Keys, from Key Largo to Key West. The examples above highlight just a handful of the options available, but most complexes have a variety of units to choose from, giving you flexibility in style, size, and location.

✨ Ready to explore your options? Whether you’re looking for a weekend getaway spot or a full-time home in paradise, I can help you find the right fit. Reach out today and let’s talk about which Florida Keys condo or townhome could be perfect for you.

Click here to see what's available

 

Why the Upcoming Rate Drop Could Be Your Golden Ticket to Buying in the Florida Keys

Big news is on the horizon: interest rates are expected to drop soon. If you’ve been sitting on the fence about buying a home in the Florida Keys, this could be the sign you’ve been waiting for. Pair that with the fact that local prices are softening right now, and you’ve got yourself a rare window of opportunity. Let’s talk about why this matters—and how it can help you.

What a Lower Interest Rate Means for Buyers

More house for your money
When interest rates fall, your buying power goes up. That means you might be able to afford the house with the dock, the view, or the bigger kitchen you’ve been dreaming of—without stretching your budget.

Lower monthly payments
Even a 1% drop in rates can shave hundreds off a monthly mortgage payment. That’s money that can go toward boat fuel, family dinners, or upgrading your gear for fishing weekends.

Big savings over time
Lower interest doesn’t just help month to month—it can save you tens of thousands (sometimes more) over the life of a loan. Imagine putting that money back into your island lifestyle instead of into the bank’s pocket.

Why Timing Matters in the Keys

Right now, we’re seeing two things at once: interest rates trending down and home prices dipping. That combo doesn’t come around often. Historically, when rates drop, buyers rush in. Demand goes up, and guess what? Prices usually climb again.

The Florida Keys aren’t like other markets. There’s only so much land here, and demand never really goes away. That’s why today’s buyer might find themselves in a sweet spot—better rates, softer prices, and less competition… for now.

The Bottom Line

If you’ve been dreaming about life in the Keys—coffee on a porch with ocean breezes, dropping the boat in after work, or just slowing down to island time—this could be your moment to make it happen. Lower interest rates and lower prices don’t usually show up together, and when they do, they don’t last long.

Ready to see what’s available? Start your search right now by browsing active Florida Keys listings here. When you find something you love, I’d be happy to walk you through the next steps and help you make it yours before the market shifts.