Quote:
Originally Posted by Army Guy
You are correct! We just bit the bullet and payed ours off this past May. We ran the numbers and if you can do and plan to stay in your present villa, it makes a lot of sense to do. Plus of course it lowers your annual tax bill also since no bond to pay!
Army Guy
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Key point: "If you plan to stay....." Seems like most all buyers have an expectation that there will be some outstanding bond amount associated with the property when they are looking to purchase. Yet no buyer wants to factor anything into the value of the house they're considering if the bond's paid off. So it's pretty much "lost money" for the seller, unfortunately. But as the owner, it does make sense to pay it off if you're planning on being there for the duration. Do the math - annual bond payment times number of years remaining - and the result is rather surprising. Kinda like doing the same thing with a mortgage payment vs. a payoff!!!
Losta money being shelled out for interest!
Bill