Save on your Mortgage Loan
There's a simple trick to significantly reduce the length of your mortgage and save thousands of dollars in interest: Make extra payments which go toward your principal. People accomplish this goal in several different ways. For many people,Perhaps the simplest way to keep track is by making 1 additional mortgage payment every year. If you can't pay an extra whole payment all at once, you can split that large amount into 12 smaller payments and pay that additional amount monthly. Another very popular option is to pay half of your payment every two weeks. The result is you make one additional monthly payment each year. Each option produces different results, but each will significantly reduce the length of your mortgage and lower your total interest paid.
Additional One-time payment
Some people can't manage extra payments. Keep in mind that most mortgage contracts will allow you to pay extra on your principal at any point during repayment. You can benefit from this provision to pay down your mortgage principal any time you come into extra money. If, for example, you receive a large gift or tax refund five years into your mortgage, you could pay a portion of this money toward your mortgage loan principal, resulting in significant savings and a shortened payback period. Unless the mortgage loan is very large, even small amounts applied early can yield huge savings over the life of the loan.
Evolution Mortgage Inc. can walk you Evolution Mortgage Inc. has your mortgage answers. Give us a call: 631-273-1188.
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