[quote=bearishgurl]To be clear, I never intended to imply that ER was “foolish” to pay off his MR. If he knows he will own the property more than ten years from the date he paid it off, then he got a BIG discount by doing so. He will save himself ~$6K for every year he owns it past 10 years, until the bonds are paid off (2033? not sure). So the payoff made sense for him and he was able to do it :=][/quote]

Yes BG. I think everyone has to look at their specific situation. It won’t make sense for everyone but in our case it does. We will be in our house for the foreseeable future, our house is completely paid off and we definitely will stick around.

One of the bonds actually wasn’t scheduled to be done until at least 2041. And it seems like there are a few cases where the bonds could possibly get extended out further.

That wasn’t appealing to me. Also, in reading some things online it seemed like the possibility to prepay could be denied in the future. So I wanted to take advantage of it while I could. In my case it will definitely be worth it.

I’m already well diversified in the stock market, real estate and other investments so the money was just sitting around not earning much interest at all.