Making regular additional payments on the principal balance will yield big savings. Borrowers make this happen in a few ways. For many people,Perhaps the easiest way to keep track is by making 1 additional payment a year. If you can't pay an extra whole payment in one month, you can split that large amount into 12 smaller payments and pay that additional amount monthly. Another very popular option is to pay a half payment every other week. The effect here is that you will make one additional monthly payment each year. Each of these options yields slightly different results, but they will all significantly shorten the duration of your mortgage and lower the total interest paid over the duration of the loan.
It may not be possible for you to pay extra every month or even every year. Keep in mind that almost all mortgages will allow you to make additional payments to your principal at any point during repayment. Any time you come into extra cash, consider using this provision to make a one-time additional payment on mortgage principal. For example: several years after moving into your home, you get a larger than expected 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 enormous savings and a shortened loan period. For most loans, even this modest amount, paid early enough in the mortgage, could offer big savings in interest and in the duration of the loan.
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