Quote:
Originally Posted by Bugsinrugs
My advice is to pay his loan off as fast as possible or refinance the loan to around 2.5%. He would need to put up 20% to get the loan. He has $200,000 in the bank. He is just trying to figure out the best strategy.
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First off all congratulations to your son. Well done.
Depending on the refi fees, penalties, etc. (make sure he gets all the details nailed to the penny), I would do both: Refi and then get busy paying off the loan as soon as practicable.
I always keep a level of liquidity that I am comfortable with for emergencies, contingencies, and peace of mind. That level is his to decide, but he appears to be in very good shape, enough to make some short term financially smart decisions.