AllExperts > Financing -- Loans 
Search      
Financing -- Loans
Volunteer
Answers to thousands of questions
 Home · More Financing -- Loans Questions · Answer Library  · Encyclopedia ·
More Financing -- Loans Answers
Question Library

Ask a question about Financing -- Loans
Volunteer
Experts of the Month
Expert Login

Awards

About Us
Tell friends
Link to Us
Disclaimer

 
 
 
 
About Finance Guy
Expertise
1. All questions relating to finance 2. All practical aspects of mergers and acquisitions 3. Many general business questions

Experience
Considerable experience in the area consisting of 25 years in both consumer and commercial finance and business management, including 15 years specializing in international Mergers and Acquisitions with over $100 billion in assets acquired Education/Credentials Business administration undergrad Wharton post grad in finance Awards and Honors numerous corporate awards Past/Present clients range from small enterprenurial companies to large multinationals
 
   

You are here:  Experts > Business > Small Business: Canada > Financing -- Loans > loan pay-off

Financing -- Loans - loan pay-off


Expert: Finance Guy - 3/24/2009

Question
I have a loan balance of $680,000. Payments are twice per year with 2.5 years (5 payments) remaining. interest rate is 4.25%. I have the money to pay off or could refinance same term @ 1.5%. I can invest @ 3.5%. What's my best option?

Answer
Myself, I would stay liquid and keep the note outstanding.

4.25% is a good rate.  There are bargains galore right now in the real estate market.  Banks are not lending.  Toady, a bank might not even loan you the money that you already have outstanding against your property, as wierd as that sounds.
Cash is now king again.

Add to this Answer   Ask a Question


 
User Agreement | Privacy Policy | Kids' Privacy Policy | Help
Copyright  © 2008 About, Inc. AllExperts, AllExperts.com, and About.com are registered trademarks of About, Inc. All rights reserved.