| Border - 3/3/2021 19:30
??? If you have a million dollars on a five year at 2.5 vs a 30 at 4% you pay 680,000 less in interest cost if you have the 30 you have 158,000 more a year to spend on those other high roi things. If you take that 158,000 extra every year and get 8% you would have 1.1 million.
And not everyone can payoff a piece of land in 5 years lol.
in our case we were 4 years into a 20 year land note, after refinancing and keeping the same pmt per acre and shaving off 4.5 years of time value and interest paid makes a huge difference on the ammort table and principle rolldown. |