> 1.) If you truly are "rich," then you pay for your home in cash. You might buy a house in cash if you're rich to get a better purchase price and have a quic

> 1.) If you truly are "rich," then you pay for your home in cash. You might buy a house in cash if you're rich to get a better purchase price and have a quicker closing process. However, you would likely mortgage the house AFTER purchase and then invest that cash in a high dividend stock or some other security. Only a rich fool would keep a house mortgage when interest rates are as low as 2.5% in some cases. (source: friend who has this interest rate) For instance - there are some REITs that return dividends higher than 8%. What rich person would want to keep non-liquid capital tied up in home equity when there are plenty of high performing dividend stocks out there?