Pay off mortgage early to save money

By Qiong (June) Zhang38 Comments

http://seattletimes.nwsource.com/html/realestate/2017259959_webmort18.html

Paying off your mortgage might sound like an ambitious plan, especially if you have recently refinanced into a 30-year term. But it’s still smart for homeowners to give some serious thought as to how they’ll pay off their home loan; if not in 2012, then sometime.

Paying more quickly reduces your housing cost, freeing up that money. You’ll still be responsible for property taxes, homeowners insurance, and home maintenance and repairs.

To pay off your mortgage early:

— Add an extra amount, say $50 to $500, to each monthly payment, Rogoszinski says. Don’t sacrifice necessities, such as sustenance or medical care.

Some homeowners add enough to their monthly payment to make one extra payment each year. McIntosh explains the math: Divide one payment by 12 or multiply one payment by 10 percent, and add that to the amount each month. Make sure the extra money is applied to principal, not interest or your escrow account.

One way to make that extra payment less painful is to make payments every two weeks instead of every month. The result is 26 half-payments instead of 12 full payments. McIntosh says biweekly payments can knock approximately six years off a 30-year term.

A gift of money, an inheritance, a bonus or an income tax refund creates another chance to put extra money toward your mortgage. This strategy works best if you don’t have other, more costly debt.

Refinancing can help you pay off your mortgage sooner, the idea being that a lower payment frees up money that can be applied to additional principal payments.

To maximize the benefit of refinancing, shorten the term of your loan. For example, if you’ve paid off 10 years of a 30-year term, refinance with a 15-year mortgage instead of a new 30-year loan.

Selling your house might seem like a dramatic way to get rid of a mortgage, but it’s certainly effective, leaving you free to buy a more affordable home for cash or become a renter without any housing debt.

Homeowners who don’t have spare cash on hand might be tempted to tap a retirement account to pay off a mortgage. This idea has gained purchase in recent months, as legislation pending in Congress would waive the early withdrawal penalty if money removed from a retirement account were used to pay a home loan.

News

38 Comments to “Pay off mortgage early to save money”

  1. Jorge says:

    Because the admin of this web page is working, no
    hesitation very shortly it will be renowned, due to its feature contents.

  2. Lamont says:

    magnificent submit, very informative. I wonder why the other specialists of
    this sector don’t realize this. You must proceed your writing.

    I’m sure, you have a huge readers’ base already!

  3. Rufmgg says:

    buy doxycycline 100mg without prescription – cheap doxycycline 200mg chloroquine 250mg for sale

  4. Yyvzke says:

    order furosemide 100mg generic – order zithromax 500mg online cheap purchase azithromycin generic

  5. Aitmti says:

    buy isotretinoin – buy amoxil without prescription order amoxicillin 500mg online

  6. Dalton says:

    Asking questions are in fact fastidious thing
    if you are not understanding something completely, except this post offers
    pleasant understanding yet.

  7. hi says:

    First of all I would like to say superb blog! I had a quick question which I’d like to ask if you don’t mind. I was interested to know how you center yourself and clear your thoughts prior to writing. I have had a difficult time clearing my mind in getting my thoughts out. I do enjoy writing however it just seems like the first 10 to 15 minutes are generally wasted just trying to figure out how to begin. Any recommendations or hints? Appreciate it!|

  8. Pqmbfa says:

    buy erectile dysfunction drugs – online ed medications buy prednisone 10mg generic

  9. Latoya says:

    Hello There. I discovered your weblog the use of msn. That is an extremely neatly written article.
    I’ll make sure to bookmark it and return to learn more of your useful information. Thank you for the post.
    I will definitely comeback.

  10. Dianna says:

    Way cool! Some very valid points! I appreciate you writing this post and also the rest of the website
    is really good.

  11. Vkbnyo says:

    viagra for sale – buy viagra 100mg pill cialis otc

  12. Chris says:

    Today, I went to the beach with my kids. I found a sea shell and gave it
    to my 4 year old daughter and said “You can hear the ocean if you put this to your ear.” She placed the shell to her ear and screamed.

    There was a hermit crab inside and it pinched her ear.
    She never wants to go back! LoL I know this is entirely off topic but I had to tell
    someone!

  13. Randi says:

    Way cool! Some extremely valid points! I appreciate you penning this post and also the rest
    of the site is also very good.

  14. Cbvcml says:

    buy avodart without prescription – real cialis pharmacy prescription cialis 20mg pills

  15. Eyczvt says:

    order topiramate pills – buy levaquin 250mg sale imitrex tablet

  16. That’s an awesome point

  17. Guwwxv says:

    order cialis generic – coumadin 5mg us order warfarin 5mg for sale

  18. Uxrzit says:

    purchase tadalafil sale – sildenafil cost viagra 50mg for sale

  19. Oyflxl says:

    order furosemide 40mg sale – doxycycline 100mg price real viagra sites

  20. Pqfilo says:

    order isotretinoin 10mg online cheap – isotretinoin 20mg generic zithromax 250mg without prescription

  21. Fbqqnj says:

    provigil cost – provigil cheap best over the counter ed pills

  22. Aowjpi says:

    cialis for daily use – Buy no rx cialis order cialis pill

  23. Irundo says:

    order esomeprazole generic – esomeprazole usa order promethazine generic

  24. Uycrhs says:

    viagra price – cheap viagra sale cheap sildenafil 150mg

  25. Bmfaoe says:

    order viagra 50mg pills – order plavix without prescription purchase clopidogrel online cheap

  26. Mceccz says:

    buy gloperba – strattera oral buy strattera 10mg without prescription

  27. Klacor says:

    brand toradol 10mg – order baclofen 10mg generic order lioresal

  28. Oumjsd says:

    sildenafil 50mg us – buy cialis 5mg sale order cialis 40mg pills

  29. Oftvdb says:

    viagra usa – lisinopril order buy cyclobenzaprine 15mg for sale

  30. Dfpsrp says:

    oral ezetimibe – generic celexa citalopram 20mg tablet

  31. Sxksvy says:

    order diltiazem generic – generic diltiazem brand zovirax 400mg

  32. Dbmliy says:

    order tadalafil 10mg pill – cheap cialis online order cenforce 50mg generic

  33. Crwzut says:

    buy viagra 150mg for sale – neurontin 600mg usa gabapentin tablet

  34. Nwusuj says:

    order cytotec online – levothyroxine tablets generic synthroid 100mcg

  35. Eogyra says:

    buy desloratadine 5mg sale – aristocort canada buy triamcinolone pills

  36. Pksjkd says:

    clomid 100mg uk – albuterol without prescription zyrtec 5mg cheap

  37. Sqbeel says:

    buy pregabalin pill – buy lyrica online cheap lyrica generic

  38. JosephArora says:

    Vulkan Vegas looks like a professional casino with a lot to offer. At first glance, the platform seems quite simple; however, they genuinely go out of their way to produce some really cool

    Vulkan Vegas brings you a different take on the betting platforms you’ve become so accustomed to. This platform is fresh and exciting. What adds to the appeal is the riveting bonus

    vulkan vegas cazino rotiri gratuite

    From this Vulkan Vegas casino review, it’s evident that it has a lot to offer. Ranging from the vast assortment of games with new ones constantly being added to the fantastic

Leave your Comment

Blue Taste Theme created by Jabox