[quote=matt] I am thinking about paying this off to #1 assure my family a roof over our heads should we ever need it, #2 call me conservative but a guranteed 4.75% for me is a decent return. [/quote]
Nothing wrong with being conservative. Don’t ever let anybody talk you into taking risks that you aren’t comfortable with.
Due to your circumstances, just realize that equity in your home is trapped if you cannot qualify to refi.
Weigh giving up cash vs. having a huge cash cushion. Paying off debt comes at a cost.
Many seniors are house rich but cash poor.
Even with a $1 million dollar home owned outright they may not qualify for a $200K loan. The system is broken.
They may have the option of a reverse mortgage to be able to get some cash, but I am not a huge fan of this loan. It’s another govt creation.
*I may be able to help you with a refi if you’d like to contact me privately. Your situation is unusual and I need more details.
