Quote:
Originally Posted by bsloan1960
New owner/first time- closing at the end of June.
(using approx. numbers) $20,000 bond paid over 30 years @$1100 per month = $33,000... Ouch!
I assume this is why some people choose to pay the bond off in cash. I called the Development District and there is no creative way to reduce the interest payments- it's either pay it off in full or pay it monthly.
With this in mind what is the best way to pay this bond?
Thanks,
Bill
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Don't worry about if the bond adds value to the home
Forget about "piece of mind" with paying off a $20,000 bond
These are so far down the list of deciding factors.
What you need to do is ask yourself, what will I do with the money if I don't pay off the bond.
If you will keep it under you mattress, then pay off the bond.
If you will renew your CD, then pay off the bond.
If you will keep your baseball cards and coin collection, then pay off you bond.
You have to honestly ask yourself, can I invest the money and guarantee myself a better ROI (return on investment) than 3.7% per year over 30 years. I know PLENTY of investment vehicles that can easily attain that goal.