How can you pay your mortgage off early?

Answer 1

• By reducing the interest you pay. The only way to do this safely is to pay extra toward your principle. There are many schemes being sold to pay your loan off early, but no one ever seems to know anyone who ever made them work. The most successful homeowners trying to pay their loans early either simply send extra payments or pay the loans every two weeks. Mortgage payments are due monthly but most people use all of one paycheck or 50% of two to pay it. Since there are 26 such paychecks for most employed people, that means an extra payment occurs each year if you pay every 2 weeks vs. every month.
• You can pay your mortgage off sooner than the agreed to terms by paying additional amounts towards your principal each payment. Some loans have penalties for this, so look into your loan terms before sending in more than your agreed to payment.
• You can pay off your mortgage early by paying bi-weekly instead of monthly. Another good was is by paying in larger amounts going over your normal payment. By doing this more will be taken off of the principle amount instead of interest.
• I would ask your mortgage company first if it is possible to pay off the mortgage early. Some do not allow that. I would think making a higher payment than what is due would help pay it off early.
• I would advise putting any extra money you can toward your monthly mortgage payment. Always pay more than the monthly premium when possible. Avoid having children as this will put you much further away from this goal.
• If you want to pay off your mortgage faster the first thing to do is see if you can refinance through your bank to lower your interest rate. That will lower the amount you will pay over the life of the mortgage no matter how fast you pay it off. Next, make a monthly budget and put as much money toward your mortgage every month as you can afford. Make sure any extra money goes toward the mortgage principle rather than the next month's payment, that will reduce the life of the mortgage.
• Use the accerlated bi-weekly payment option in which by doing so, you're able to pay mortgage equivalent of two months in a month. Thus, this will be beneficial in creating less loan-interest and save you money.