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my wife and I have to put an addition on our home for an elderly parent to live with us. We have $114,000.00 in stocks that seem to more on the slide than not. Our mortgage has two payments left before we are relieved of our 5% penalty for early payment. We were going to refinance after that period and still are going to but, we will have to come up with large portion of the addition money before then. Our addition will cost aprox $45,000.00. Any advice.

Dear Bob,

It's difficult to know how to guide you, because it's very a personal decision if you want to sell your stocks to pay for the addition. On the 'pro' side, you won't incur any new debt when you refinance. That will allow you to sock away extra cash to rebuild your savings. On the 'con' side, you might have capital gains taxes to pay when sell, which needs to be considered. It's a difficult decision that you have to make and live with.

It sounds like TMF Money Advisor, our new service for personalized financial planning and education, might be the answer for you. TMF Money Advisor includes toll-free access to an objective financial planner, and this is the kind of situtation that might need the expertise. TMF Money Advisor also includes unlimited use of some of the Motley Fool's most popular educational seminars, access to the best-available online financial tracking tool, and monthly insights from Motley Fool co-founders Tom and David Gardner. It's a great value, attractively priced for what you'd expect to pay elsewhere for personalized advice. Here's a link where you can learn more:

Fool on!

Karen Kosoy
TMF Karen

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