Bond payoff
I'm just a wannabee, but this is my understanding.
The bond is charged at about 7% interest and is drawn down over 30 years.
If you are planning to have a mortgage, based on current rates, it seems to me that it would make sense to bump up the mortgage amount by the amount of the bond. This way you pay off the bond at a lower interest rate and the mortgage interest is tax deductible. If I remember correctly, you can pay off the outstanding balance on the bond once a year. So you pay it off when you can. The interest on the bond when paying it off in the conventional manner is not tax deductible.
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