How To Pay Off Your Mortgage Faster

Today we're going to talk about how to pay your mortgage off faster.

The number one trick to paying your mortgage off faster is paying by accelerated biweekly payments. What that means is you take your monthly payment divided by two and make that payment 26 times per year. This simple trick will pay your mortgage off three years faster over your total amortization. Lenders also allow you to use other prepayment privileges with your mortgage loan.

Every lender's a little bit different, but the majority of them are about 20% of your original mortgage size that you can apply as a lump sum payment throughout the year. And you can't exceed 20% a year, but you can make a lump sum payment on any regular scheduled payment date.

You can also increase your payment by up to 20% every year, and some lenders allow double up payments. So if you have a bonus from work, come into some extra money from family. You are able to apply that to your mortgage. It goes directly to principal and it pays your mortgage off faster.

If you have any questions, our team is always here to help.