Talk of The Villages Florida - Rentals, Entertainment & More
Talk of The Villages Florida - Rentals, Entertainment & More
#31
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#32
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#33
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We owed about $2000 when we purchased the house 2 years ago, my wife inquired on payment. We were surprised when we were told that we owed $2232. And it wouldn’t be paid off until 2032. The payment of $283.59 a YEAR was broken down to $159.73 in principal and the remaining balance of $123.86 was interest and ADMINISTRATIVE FEES! If we continued paying it on their schedule we would have paid an additional $1700. What a scam, they never talk about the ADMINISTRATIVE FEES. Pay it off if you can.
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#34
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I just recently purchased a home in TV. For me the Bond was paid off. Just curious, how much is a typical Bond amount when a new home is purchased. I know the Bond amount may vary depending on what year your home was built.
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#35
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Having the Bond Paid Off?
I would think it would be a good selling point to have your Bond paid off.
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#36
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One strategy I have heard of is to put down enough on the house and basically roll the bond into the mortgage. That way you get a lower interest rate, but you do need to put more money down.
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#37
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We took out a Home Equity loan and paid it off. The RATE was lower AND the interest paid was deductible. Iike getting a twofor. |
#38
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Our house, a Bungalow CYV was built in 2018. The bond was just north of $17k and the interest rate is 3.9%.
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#39
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I could but if we decide to go to a larger home would still not get the money back for the bond in full.
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#40
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In a perfect world, you would pay off the bond, save money on the interest, and, when you sell, the buyer would reimburse you for the principal amount of the bond that you paid off. Unfortunately, it is not a perfect world, and the buyer will not reimburse you for the full principal amount. So, you need to assess the value of the potential savings in bond interest versus the loss of principal when you sell.
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#41
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I think for most retirees in The Villages, their mortgage interest is not really tax deductible either. The higher standard deduction and no Florida income tax makes it more advantageous to not itemize their deductions.
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#42
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If we come across two equally liked homes with the bond completely paid off on one and the other that still had a bond balance, we would factor in the non-bond home as being a bit advantageous, but would never consider paying a higher price that fully equals the difference in bond balances. As buyers, I don't think we're alone in that viewpoint.
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#43
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I paid mine off when I bought the house that I currently have lived in for 9 years. I'm glad I paid it off. If I hadn't paid it I would have paid interest all these years and still have owed the bond. The least that will happen if I sell it in the future is it will be a quick sell for someone who wants NO BOND vs what could be a $20,000 bond.
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#44
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Last edited by rmd2; 11-26-2020 at 08:25 AM. |
#45
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Don't forget the monthly admin fee.............that greatly impacts your effective interest rate. $$$
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Identifying as Mr. Helpful |
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