Don’t forget to share on facebook (below) or subscribe (on the right) if you want to keep updated with more tips like this.
Simple answer…Yes!
We get this question a lot and most people think that $50 a month can be put towards something better. Sure, in the short term, you may find something better to apply $50 per month, but the reality is that over the life of your 30 year mortgage the savings is amazing!
Take the example of a $150,000 mortgage balance on a 30 year loan with an interest rate of 5.0%.
The total amount of interest you would be saving over the life of the mortgage would be a whopping $19,969! You would also be paying off your mortgage 3 years and 8 months early!
To figure out how much your extra monthly payment will save you, feel free to use my mortgage calculator. (scroll down to “Budget” then “Mortgage Payoff”)
Any questions?
Leave a comment