Forum Replies Created
-
AuthorPosts
-
Hatfield
ParticipantYeah, ok. At 2 million barrels per year I wouldn’t exactly call Spaten premium. It’s a factory beer. It’s sorta like the Michelob of Germany. Which actually isn’t a bad analogy, since Spaten is owned by Anheuser-Bush-InBev.
Hatfield
Participant[quote=deadzone](vs. premium imported from Germany for less?).[/quote]
You keep saying that so I’m curious. What’s your go-to premium imported beer from Germany?
Hatfield
ParticipantPretty much. Look at it this way: Ballast Point sold for 10 times forward earnings, and 20 times trailing earnings. That’s cheaper than the S&P.
According to Forbes, the Chargers are only worth $920M. Which would you rather own?
Hatfield
ParticipantBallast Point to be acquired by Constellation brands for a cool $1B,
http://www.brewbound.com/news/constellation-to-acquire-ballast-point-for-1-billion
Hatfield
Participant[quote=scaredyclassic]How to profit from blood running in the streets[/quote]
I’m sorry, but fuck this thread. What the hell is wrong with you?
Hatfield
Participant[quote=scaredyclassic]No more refugees will be allowed into europe.[/quote]
You do realize that these assholes are why there are refugees in the first place? Who do you think they’re trying to get away from?
Hatfield
ParticipantWell, there’s the Rose Canyon fault, and I remember reading a few years back that seismologists had concerns it might become active again, or some other seismic event would make it become active again.
Hatfield
ParticipantWait, I think I’m missing something. If a horse comes in and pays $85 on a $50 bet, you get the $81. You don’t also get your fifty bucks back. Or was there an additional $50 deposit to use their system? That would seem fishy to me.
November 2, 2015 at 9:43 AM in reply to: Can refinancing to a lower rate increase the amount of interest you pay? #790935Hatfield
ParticipantDang. I’ve never performed that little experiment before. Thanks! I’ll just see myself out, lol.
November 1, 2015 at 11:21 AM in reply to: Can refinancing to a lower rate increase the amount of interest you pay? #790903Hatfield
ParticipantAnd apologies to joec, I just realized sorta misquoted you. That’s what I get for rereading the thread after posting, and now I can’t edit. So let me rescind some of the words I kinda put in your mouth. Again, apologies.
It is true that late in the loan, you are mostly paying interest. Paying down the loan will still lower the total interest paid, just not as much as it would have earlier in the loan.
November 1, 2015 at 11:08 AM in reply to: Can refinancing to a lower rate increase the amount of interest you pay? #790902Hatfield
ParticipantWhen we did our (hopefully last, ha!) refi, I got quotes for 15y vs 30y. The interest rate spread at that time was about half a percent. I compared the amount of time till payoff and total interest paid for the 15 year vs the 30 year making a monthly overpayment to equal the 15 year monthly payment. The 30 year loan ended up taking about 15.5 years to pay off, and with a bit more total interest paid over the life of the loan.
However, we were looking to make a more significant monthly overpayment, which closes this gap considerably. In the end, we went with the 30y. We will pay slightly more in overall interest, but liked the flexibility of being able to drop back to the minimum 30y payment if a change in income required it. And I suppose if interest rates rise above our loan rate, there’s a compelling case to be made for dropping back to the minimum payment in that scenario too.
November 1, 2015 at 10:45 AM in reply to: Can refinancing to a lower rate increase the amount of interest you pay? #790901Hatfield
Participant[quote=harvey]
– Person A took out a 30 year loan 15 years ago. The remaining balance is $100K and the rates is 5%– Person B just refinanced with a 15 year loan. The balance is $100K and the rate is 5%
[…]
at this point in time they are exactly the same scenario.[/quote]
I think this misses several important differences. 1) where they are on amortization curve. The person with the 15 year loan is almost entirely paying interest at this point. The person 15 years into a 30 year loan in is paying roughly half interest, half principal. You can see where the curves cross pretty clearly in Karl’s Magic Mortgage Calculator linked previously. 2) the person with the 30 year loan has a lower monthly payment. The 30 year guy has the option of making a larger payment if he wants to, but the person with the 15 year loan does not have the option of making a smaller one.
Earlier in the thread:
[quote=joec]
Paying it off early at that point doesn’t help you lower your interest paid since the interest was front loaded and you already paid it.
[/quote]Not true at all. Let’s go back to my hypothetical $300k / 5% / 30y loan. Making the normal $1610.46 monthly payment pays the loan off in 360 months. Over the life of the loan, the total interest paid is $279,767. The meager $50/month overpayment that shortens the loan by 23 months also has the effect of reducing the total interest paid by almost $22k. A $250 monthly overpayment will save you over $81k in interest. Play around in Excel and see for yourself.
October 30, 2015 at 5:00 PM in reply to: Can refinancing to a lower rate increase the amount of interest you pay? #790853Hatfield
ParticipantIt’s a cool tool, but I don’t see a way for it to show what the effect of making overpayments. Here’s one in Excel that does. The units are in GBP but it doesn’t really matter. Download the spreadsheet, plug in the numbers for your current mortgage, and then try typing in various recurring overpayment amounts to see how much it will shorten the life of your loan and how much you’ll save in interest.
For example, even a meager $50 overpayment will shorten a $300k / 5% / 30y mortgage by almost two years. $250 will take about 7.5 years off.
Hatfield
ParticipantHa. So I saw The Martian last week, and one of the previews was for some action film or other. One of the scenes showed a huge pallet full of cash being dropped out of an airplane, and all I could think of was Helicopter Ben. I hadn’t given him much thought recently until then.
-
AuthorPosts
