How to pay your mortgage off 6 years early… without doing anything different
Deputy here, are you tired of paying so much damn money on your mortgage every month?
Do you love drinking Pina Coladas. And getting caught in the rain?
You wanna work on that "Project car" 6 years earlier than expected?
Well, I've got a simple trick that could help you save some cash and pay off your mortgage faster.
All you gotta do is split your normal payment in half. If you get paid every two weeks than you should jump all over this!
Simple right?
Now double the numbers saved because of the interest rates currently at 7-8%
Here's how it works: instead of paying your mortgage once a month, you pay half of the amount every two weeks. That means you'll be making 26 half-payments in a year, which is like making 13 full payments! And by making that extra payment every year, you'll be able to pay off your mortgage faster and save money on interest charges, too. It's like killing two birds with one stone, man!
Here are some of the cool things that happen when you start paying your mortgage twice a month:
You pay off your mortgage faster. When you make that extra payment every year, you'll be able to pay off your mortgage quicker than if you just made the regular monthly payment.
You save money on interest charges. By paying off your principal balance faster, you'll pay less in interest charges over the life of your loan. That means more money in your pocket.
You build up equity faster. As you pay off more of your mortgage, you'll build up equity in your home quicker, which can be helpful if you ever need to borrow money or sell your house later on.
You'll look good on paper. By making on-time payments every two weeks, you'll improve your credit score, which is like your financial reputation. That can help you get better interest rates on future loans and stuff.
Downside?
Not all mortgage lenders offer this kind of payment option, and some might charge you extra fees to set it up. Plus, it might not be the best choice for everyone. So, make sure you talk to your mortgage lender first and think about your own financial goals before you make any changes.
Paying your mortgage twice a month might not sound super exciting, but it's a simple way to save money and pay off your mortgage faster.
So, give it a try! Your bank account will thank you, and you'll be one step closer to owning your home outright.
