...we can rebuild him?

Why pay him what we owe him early? He won the lottery, so he can have the current annuity or a lower lump sum one time payment. Acuatuaries unite!

WTF?

SBISA Victim said:

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My question is that why can't we rip the bandaid off, and pay Jimbo what we owe him and move on?

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It took a contract change to strung out his payments. Why do you care, though? Committed funds displace other spending no matter how you look at it…

AgsMyDude said:

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OP also pays his 2.75% mortgage early

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Why wouldn't you? Mortgages are not simple interest contracts. Front loaded interest should be paid off as quickly as possible, no matter what the rate. Yes, its 2.75%, but on a $550k loan, if you pay the loan off in 10 years, you will save $109,000 in interest. The time value of that $109,000 over the next 20 years, earning 9% interest is $610,000. And the value, if you reinvest the mortgage payment is exponentially higher, not to mention the appreciation in your asset, your home.

goosespn said:

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AgsMyDude said:

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OP also pays his 2.75% mortgage early

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Why wouldn't you? Mortgages are not simple interest contracts. Front loaded interest should be paid off as quickly as possible, no matter what the rate. Yes, its 2.75%, but on a $550k loan, if you pay the loan off in 10 years, you will save $109,000 in interest. The time value of that $109,000 over the next 20 years, earning 9% interest is $610,000. And the value, if you reinvest the mortgage payment is exponentially higher, not to mention the appreciation in your asset, your home.

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You pay cash on the $550k house. I'll take out the 2.75% mortgage and invest the rest. Run the numbers and see who comes out ahead in 30 years.

AgsMyDude said:

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goosespn said:

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AgsMyDude said:

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OP also pays his 2.75% mortgage early

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Why wouldn't you? Mortgages are not simple interest contracts. Front loaded interest should be paid off as quickly as possible, no matter what the rate. Yes, its 2.75%, but on a $550k loan, if you pay the loan off in 10 years, you will save $109,000 in interest. The time value of that $109,000 over the next 20 years, earning 9% interest is $610,000. And the value, if you reinvest the mortgage payment is exponentially higher, not to mention the appreciation in your asset, your home.

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You pay cash on the $550k house. I'll take out the 2.75% mortgage and invest the rest. Run the numbers and see who comes out ahead in 30 years.

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What if the guy who pays cash has the discipline to invest every month the amount he WOULD BE paying in mortgage every month for 30 years….

Seamaster said:

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AgsMyDude said:

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goosespn said:

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AgsMyDude said:

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OP also pays his 2.75% mortgage early

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Why wouldn't you? Mortgages are not simple interest contracts. Front loaded interest should be paid off as quickly as possible, no matter what the rate. Yes, its 2.75%, but on a $550k loan, if you pay the loan off in 10 years, you will save $109,000 in interest. The time value of that $109,000 over the next 20 years, earning 9% interest is $610,000. And the value, if you reinvest the mortgage payment is exponentially higher, not to mention the appreciation in your asset, your home.

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You pay cash on the $550k house. I'll take out the 2.75% mortgage and invest the rest. Run the numbers and see who comes out ahead in 30 years.

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What if the guy who pays cash has the discipline to invest every month the amount he WOULD BE paying in mortgage every month for 30 years….

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Sure but that's a different pool of money ..What if the guy with the mortgage ALSO did that?

Paying cash for a home with multiple bidders has its advantages.

This guy probably likes getting money back when he files his taxes.

How is the market today?

Burnsey said:

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How is the market today?

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What market are you referring to

How was the market on these 3 days?

2020-04-06
2020-03-24
2020-03-13

We have so much money that we just stole Samford's basketball coach.

Ever heard of the concept that cash in present day is more expensive than cash in the future?