5 Uncomplicated Ways To Pay Off Your Mortgage Quicker

Keep Monthly Payments The Same After Renewal

There will be times when interest rates drop and you have a chance to refinance your mortgage for a lower rate. If you keep monthly payments the same after renewal, however, you can pay off your loan faster. For example, you can refinance your home for 3.5 percent rather than the 4.4 percent you are currently paying. If you can refinance for the lower rate but still pay the same amount you’ve been paying, it will save you a lot of money and time.

Your new monthly payment would be around $1,347 if you change, and you’re saving more than $150 per month with the new rate, but you can pay off your loan so much faster if you keep the payment at $1,500. You could pay off the total amount of your mortgage in just over twenty-five years if you pay the original amount even after you refinance for a lower rate. The terms, of course, depend on the specifics of your home, your loan, and your interest rate. However, you have the option to pay a lot less money over the course of fewer years. If you still break it down into weekly or bi-weekly payments, you can pay it off even faster.