Tips to help you pay off your mortgage early

Here are a few tips and tricks to help you pay off your mortgage quicker:

  • Make an extra payment. Divide your monthly payment by 12 and add that amount to your principle each month. 
  • If your income increases, do not increase your spending. It is always tempting to spend more, when we are making more. You should keep your same budget and put your extra income towards your mortgage. 
  • Put “surprise” money towards the mortgage. Whether it is extra money from taxes, a bonus, an inheritance, etc. Put this money towards your mortgage. 

Although, years ago a closer from the title company said to put the extra money that you would pay towards your mortgage into a separate ***interest bearing savings account. When Thanksgiving hits, write one check to your mortgage company and put your year of “mortgage savings” towards the principle only. Be sure to write in the memo line of your check “principle only”. Then, throughout the year you have an emergency savings fund just in case something happens and you can still make a lump sum extra payment towards your principle to pay off the mortgage sooner.