I've recently moved for work and sold my primary residence. I have $350k in tax free profit sitting in SWVXX.
My new mortgage is $960k at 6.5%. I'm fairly confident that rates will go down into the 5's next year and I'll refinance at 5%.
Should I recast my current mortgage or leave it in SWVXX until the refinance next year. I know that my mortgage is at 6.5% vs the 5.5% I'm getting from SWVXX, but it's a healthy amount of interest that I reinvest into the fund. The yield will drop when rates go down next year anyways when I refinance and I'll put another $300k towards the principal to put the loan amount at 650k.
Thoughts?
Submitted December 25, 2023 at 02:14AM by shamblingman https://ift.tt/8snpIHG
