You’re paying $70k in “non-deductible” interest in exchange for less deductible interest. 

If you have no desire to actively pursue other investments where you make more than a 2.8% return, then by all means pay it off faster.TYFYS and best of luck!

., Purchase Price: $475,000 ($197.9/sq. ft.).Estimated Market Value: $402,000 ($168/sq. ft.).Financing Terms: 2% interest rate, with a 9-year balloon.Unit B Income: $2,049/month (Section 8 tenant through November 2025).Unit A Income Potential: Similar rent or higher; Section 8 cap for the area is $3,234/month.Monthly Loan Payment (P+I): $1,386.Cash Flow Breakdown (if both units are rented at $2,049/month):Gross Rent: $4,098/month.Vacancy (10%): $410/month.Operating Expenses (37.3%): $1,376/month.Net Cash Flow: $943/month.Key QuestionsWould you be comfortable paying an 18% premium for financing at 2%, especially in a market where current mortgage rates are closer to 7%?

Another option is to invest in the market instead of paying down a mortgage.

I'm looking at small multifamiles and won't have an issue with capital thankfully.I am in Arkansas and looking to stay local-ish initially.

When you pay off a mortgage you pay the interest for all the years you didn't own the house?!?

Grow wide first, then deep (pay off)- your little expenses add up fast

Will it pay the full PITI plus Capex, management fees, maintenance etc?

The tenant was paying rent to the previous owner but hasn't been paying rent for a while since the property was foreclosed and sold to the bank.

if he performs a service for you, just pay him for it.