Save Big on your Mortgage
Paying regular additional payments on your loan principal provides enormous savings. Borrowers use different methods to meet this goal. For many people,Perhaps the easiest way to organize this process is by making one additional payment per year. If you can't pay an additional whole payment in one month, you can split that large amount into 12 smaller payments and write a check for that additional amount monthly. Finally, you can commit to paying a half payment every other week. Each of these options yields slightly different results, but each will significantly reduce the duration of your mortgage and lower the total interest you will pay over the life of the loan.
One-time Additional Payment
Some borrowers can't manage any extra payments. But remember that most mortgages will allow you to make additional principal payments at any time. Any time you get some unexpected money, consider using this rule to make an additional one-time payment on principal. For example: five years after moving into your home, you get a very large tax refund,a very large inheritance, or a cash gift; , you could apply a portion of this money toward your mortgage loan principal, which would result in significant savings and a shorter loan period. Unless the loan is very large, even modest amounts applied early can yield huge savings over the life of the loan.
Ward Kilduff Mortgage can walk you Ward Kilduff Mortgage has your mortgage answers. Give us a call: (860) 658-7100.
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