House Loan Strategy | Wetzel Work

🏆 Recommendation: Dad's 3.5% loan, $1,250/mo floor, pay extra when the waterfall allows

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Best 30-year outcome

Dad's 3.5% loan at $1,250/mo + investing the freed-up cash yields $2,178,087 net worth at year 30 — +$114,914 over buying a new house, with ~$722k of it liquid.

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Bank construction loan is the worst path

At 6.5% it finishes ~$314k behind Dad's loan, and 104 Harrington is held under Bond for Title — no legal title until payoff, so bank-secured construction loans/HELOCs are effectively unavailable anyway.

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Want less interest? Front-load, don't refinance

At 3.5%, $2,000/mo pays off in 13 yrs with ~$61k interest vs ~$126k at $1,250/mo. Keep the contractual floor low for affordability and prepay voluntarily. Full analysis: ADR-007 and docs/house-loan/ in the repo.

Loan Inputs

Adjust and hit Update to redraw the scenarios.

📜 104 Harrington Bond for Title

Bond Purchase Price ($)

Bond Interest Rate (%)

Monthly P&I Payment ($/mo)

Expected Gross Rent ($/mo) Only used by the "Buy New + Rent" scenario.

👨‍👦 Dad's Loan

Loan Amount ($)

Dad's Interest Rate (%)

🎯 Custom Payoff Explorer

Custom Monthly Payment to Dad ($/mo) 0 hides the custom scenario. Interest-only is ~$729/mo at 3.5%.

Upfront Lump Sum ($)

🏗️ Bank Construction Loan

Construction Cost ($)

Bank Mortgage Rate (%)

🏡 Buy New House Instead

New Home Price ($)

Market Mortgage Rate (%)

Dad IO (3.5%) Outflow $2,154/mo Never pays off

Dad $1,250/mo Outflow $2,675/mo Paid off in ~25 yrs

Dad $1,500/mo Outflow $2,925/mo Paid off in ~19 yrs

Buy New (20% Down) Net $3,194/mo Net of rent offset

Scenario Comparison

Monthly outflow includes the $1,425/mo Harrington bond payment. 30-yr totals assume no refinancing.

Strategy Scenario	Dad Monthly Pmt	Total Net Monthly Outflow	Payoff Timeline	30-Yr Total Outflow	Total Interest Paid