As a wedding "gift", my SO and I have been offered the opportunity to borrow up to $50k from a family member at 3% to "help us start out our lives together." We could choose our term own up to 30 years. We have no qualms about borrowing from this person - he's a former banker, very generous and has lent to other members for home down payments and college tuition over the years.
I'm soliciting opinions about whether, given a similar opportunity, you'd take the money and invest it. Our plan would be to add it to our index funds and just let it compound, and assume/hope that over 10+ years it would return more than 3%.
A few details: We currently have ~$100k in savings, no debt except our mortgage (which is at 3.04%, so no point using this to pay that down), and would have no problems making the automatic monthly payment on this loan. We would be taking this exclusively to boost our 'stach. We have no plans to spend it until FI, BUT one thing that does appeal to us is the idea that, should a catastrophic, $100k+ emergency hit we'd have the funds to deal with it.
Thoughts?