Now I get paid to borrow money....
Today I changed my loan for the house to another bank. I get 1,29 %.
So if I have a loan at 100 000 I have to pay 1290 in interest in a year.
BUT in sweden gouverment pay back 30 % of the cost in a tax-pay-back. So next year I will get about 400 back at taxdekleration.
So - I pay about 800...
In a year we have an inflation of 1,9 %. We can say 2,0 to make it easy.
So I borrow 100 000 and one year later the value of the loan is lower then the money I have to pay back. The interest is so low that it is better to loan money than to save them in a bankaccount.
If I borrow 100 000 and wait 5 years to pay it back (yes that is possible) the value should be about 90 000. In this year I have to pay about 3200 in interest.
Just now it is very good to take loans in Sweden.....But it feels strange....