I need to get my roof done. I have saved up $20,000 the roof will cost me $6500. If I finance it it will be with a 9.99% interest rate. I don't really want to use cash I have never saved that much money before, but I don't want to run my credit either. What will be better.
2007-01-10 07:48:26 · 9 answers · asked by Anonymous in Business & Finance ➔ Personal Finance
I'm also in the market to buy another house.
I concerned that I may need the money for that
2007-01-10 17:22:34 · update #1
Pay cash.
I bet you're not earning 9.99% on your money in the bank.
2007-01-10 07:56:27 · answer #1 · answered by Jack 6 · 1⤊ 0⤋
Since you have the cash available to pay for the roof then pay cash. Then pay your savings account the amount of the monthly payments.
The new roof on your home allows your house to appreciate in value. Thereby increasing your net worth. I am not an appraiser, however, in general, a new roof on your home costing $6500.00 should increase your homes retail value by more than 10k.
Excellent job on your savings achievements. Keep it up.
2007-01-10 12:48:39 · answer #2 · answered by RSO 2 · 0⤊ 0⤋
You probably aren't getting 9.99% intrest on your money sitting in the bank, so pay cash and save paying interest to the credit card!
2007-01-10 07:56:32 · answer #3 · answered by wish I were 6 · 1⤊ 0⤋
Charge it on your rewards credit card to get the points, then pay it off with your cash when you get the bill. There is no reason at all to put yourself in debt for your roof when you have the money available to pay for it.
BTW, way to go on saving all that money!
2007-01-10 07:56:23 · answer #4 · answered by budget_master 2 · 1⤊ 0⤋
always pay cash! always pay cash! always pay cash! financing it will just cost you more money in the end! Why would you want to have to pay to spend money when you already have it!?
2007-01-10 07:58:25 · answer #5 · answered by SleeplessSuz 2 · 1⤊ 0⤋
Pay with cash, but also make back the "payments" to replenish your savings!
2007-01-10 09:50:08 · answer #6 · answered by budget strapped 3 · 1⤊ 0⤋
Pay cash .You can't get %9.9 guarantee return anywhere else.
2007-01-10 11:03:14 · answer #7 · answered by sm4125 3 · 0⤊ 0⤋
just do cash, you have the money it will be cheaper this way and a lot less hassle
2007-01-10 07:52:59 · answer #8 · answered by metallicash 2 · 1⤊ 0⤋
do half cash, half credit
2007-01-10 07:50:55 · answer #9 · answered by Stephen R 3 · 0⤊ 0⤋