Quote:
Originally Posted by photon
I've got 2 HELoCs at prime - 0.5%, but been thinking about converting them (they're starting to become a problem when talking to banks about borrowing), it probably won't get much better than this eh?
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2.75% variable or 2.99% fixed for 5 years? Ummm.... is there a question there?
The only thing would be if you're planning to pay them off quick, the variable would be better obviously as you're limited to a 10% prepayment per year with the 2.99% deals. Instead of paying them off early (if you elected to go with the fixed), however, you could stash the cash in a bond or other investment until the 5 years is up and use the proceeds to pay off the mortgage then, so you do have some flexibility. It's not the end of the world.
The only way the 2.99% goes lower is if the outlook declines further. Which lets all hope it doesn't.