Paying off your mortgage can be challenging, but it has its rewards. The thought of paying off one’s mortgage early is possible and can be a financially savvy decision. If you really were able to pay off your mortgage faster, what would that look like?
Here are five great ways to help you pay off your mortgage faster:
- Round off your mortgage payments. If your monthly mortgage payment is $750.45 per month, you can round it out to $1,000. The extra money you pay towards your balance goes a long way and shorten the amount of time you have to pay off your mortgage.
- Make a lump-sum payment. If you run into money or get a tax refund, you can put some of that money towards your principal balance. You can make a large payment on your mortgage with any cash you have available. If you find a way to pay a large sum of money towards your mortgage balance, you’ll be in good financial shape.
- Refinance your mortgage to a lower interest rate. Studies have shown that borrowers who refinanced their home get a lower rate, which can make it easier to pay off your mortgage in a more timely manner.
- Refinance your loan to shorten its time frame. If you have a 30-year fixed-rate mortgage, you can shorten it to a 20 or 15-year mortgage. By doing this, you can continue to keep your monthly payments relatively close to what you were paying before. You will build equity faster and save money on interest.
- Change your payment schedule to make bi-weekly payments. When you pay off half of your monthly payments every two weeks instead of just once, you are taking off almost six years off of a 30-year mortgage. You will be saving thousands of dollars of your total mortgage.
It is possible to achieve the dream of paying off your mortgage early. The home loan experts at Ace Mortgage Loan Corporation can assist you in paying off your mortgage faster. Ace Mortgage Loan Corporation in Coral Springs, FL provides home financing, refinancing your home, or obtaining a mortgage with a rate that fits your budget. Our mortgage brokers are knowledgeable about FHA and HARP home loans, VA loans, and Fannie Mae & Freddie Mac. Don’t let time pass by and your debts to get higher, call Ace Mortgage Loan Corporation today.