You are probably closer to retirement and plan on paying off your mortgage in the next five years. But you are not sure whether it still makes sense given the current market conditions.

Since the market has slashed your retirement savings by almost 40%, you are betting that the stock market will rebound and that you would recoup your retirement savings.

Can you actually afford to still pay off your mortgage before your retirement?

You need to know two reasons why you need to get rid of your credits and pay off your mortgage in advance this year 2009.

But before I provide you with an explanation of those reasons, here are two important considerations that you might want to bear in mind before you pay off your mortgage.

Although there is one exception that Ill be writing about later, it is recommended that you pay off high credit card debts first as interest rates can reach at up to 30%. Clearing off your credit card bills before paying mortgage is yet the most practical action to take.

Another important consideration would be this: make sure that your 401(k) or retirement savings account contributions are updated. Although the stock market has not been doing so well during the last eight months, keep contributing to your retirement savings account so that you can still qualify for your employer matching contribution. This is like free money.

If you have completed these steps, then getting your mortgage all paid off before your retirement is the best financial tactic you achieve starting in 2009.

Living in your own home after you retire allows you to enjoy the fruit of your labor. You only have to spend your retirement benefits on property tax and maintenance cost. That hateful mortgage bill will no longer tear a hole in your retirement savings.

Having your mortgage all paid off when you retire gives you the option of accessing your funds by means of reverse mortgage.

With a reverse mortgage, you will be able to make use of your home equity and turn your home as a source of income when you retire. However, you may only enjoy this benefit if you have your mortgage account almost paid off fully.

You would think that you will be paying off your mortgage out of your hard-earned money but this should not be the case.

There is a new technique called mortgage acceleration that will help you pay off your mortgage faster without changing your lifestyle. This technique can help you slash at least 13 years off your mortgage and save thousands of dollars of interest.