Quote:
Originally Posted by OhioBuckeye
If I've got this figured right, I've paid on my bond now for 5 yrs. & I still owe for 25 more yrs. I pay $2,000. a yr. on my bond, so that means I still owe $50,000. To pay that off a lot of people just don't have that kind of money lying around. Also to pay your bond off all at once would mean to me your house would be worth $50,000. more than you paid for it. So if you sell it, that would be great for the buyer but a loss for you. Am I thinking right?  |
One technique some people down here use is to take out a home equity loan for the amount of their bond. They pay off the bond. The interest on the home equity loan is tax deductble - at this time - but that could change. The interest is also lower on a home equity loan.