Quote:
Originally Posted by KeepingItReal
Fact is if you even get a portion of the bond back when you sell you will still come out ahead since you have not given away thousands in interest over the previous years. Should you sell after 12 years you will have paid out enough to have paid off the entire bond in full and will be trying to sell a home with 18 more yearly bond payments due which is still one and on half as many dollars as the entire original bond was to begin with. If you plan to sell in a year then maybe you would not want to pay it but each year you pay the interest and fee is actually an addition to the overall bond amount if you do pay it at some point.
A 12 year old house with the bond paid VS a 12 year old house with 18 more bond payments to go is no contest at all everything else being equal..and the owners of each of the homes has paid out exactly the same amount towards the bond. This will be even a larger incentive in the newer areas where the bond is very high compared to some areas.
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The only flaw I see in your argument is "all things being equal" how often is that the case when looking at property???
Also the poster before you recommended waiting a few years to be sure this is the home you are going to stay in - that to me is a no brainer - why give away 20 thousand to save a few over a couple of years?