One work around to the question is if you have sufficient equity in your home, you may be able to get a home equity loan to pay off the bond. In the current market, you should be able to beat the rate and the interest on a home equity loan is fully deductibe.
A word of caution: Do this only if you plan to keep your home several years. When I purchased my home, several realitors advised me that normally, sellers do not recoup the full amount paid on the bond when it is paid off in the first year or two. I calculated my break even on a payoff to be about 7 years - given the interest rate.
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