Homeowners Can Save Money by Paying off Mortgage Early – Santa Monica Real Estate

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While many homeowners continue to make their scheduled monthly mortgage payments, paying their loan off early will save money over time. An early payoff of a 15 or 30-year loans can cut out added interest and save homeowners money.

If homeowners are looking into paying off their mortgage early, one financial advisor told the source to simply add a little extra to the monthly payments already made. Additional payments should range between $50 to $500 dollars, but the source says families should be careful where they pull the extra money from, as other necessities shouldn’t be sacrificed. The AP also suggests simply adding an extra mortgage payment each year.

According to the source, homeowners may want to change their monthly payment into a payment every two weeks, which would result in 26 half payments versus 12 full payments for the year, cutting roughly six years off of a 30-year mortgage loan.

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