Quote:
Originally Posted by RickeyD
I do not understand why people feel that a bond is something we need to accept. Every year it is money down the drain. It's not tax deductible so why keep it ? Even if it were, why keep it ? I feel it's an unnecessary expense. I don't hold a mortgage on my retirement house, why should I carry a bond ? That 23K is gonna cost me double and that $1700 per year could go to something beneficial to me, not some bond holder. Just my simple approach to a personal finance situation. I can sleep at night better knowing I owe no one.
|
The difference is, unlike already retired people here, the o.p. is a) still working and earning for another 8-10 years; and b) has a mortgage. Chances are high that within 8-10 years they will want to sell to get another place in TV or elsewhere. It happens all the time with the average Villager moving within TV 3 times. If the o.p. pays off the bond and then sells in a year or two, that cash is gone when the
buyer would have had to assume the bond balance.
Of course if a person is retired and debt-free, you'd want to get rid of the bond payments and interest. But a lot of things can change in 8-10 years for the o.p. who has not actually been able to
live full-time in the home yet.