new pole barn

[rockrv22]

Wife and I decided to build a new barn. Is it stupid to take out a loan. We have more than enough in savings to pay for it and still have an emergency fund. Loan is 2.75% cheap money it seems. What you all think?

[creditcardfree]

It's 0% to use cash on hand. That is cheaper than 2.75%.

What is keeping you from using the cash?

[disneysteve]

Is your savings earning much more than 2.75% after taxes? If so, then the loan might make sense. If not, it makes no sense at all.

[Fishindude77]

Just finishing up one myself. Although we have reasons to justify our nice garages, barns and shops, most of us realize we could live without them, so I classify it alongside "toys" such as boats and motorcycles. Pay cash for your toys, don't borrow.

[james.hendrickson]

Wife and I decided to build a new barn. Is it stupid to take out a loan. We have more than enough in savings to pay for it and still have an emergency fund. Loan is 2.75% cheap money it seems. What you all think?

Do you have any major expenses coming up that you think you might need your cash for?

[msomnipotent]

Since you would still have an EF, I would probably use cash. Really, I would buy everything I could with a credit card to get the points and then pay it off just before the due date.