4 Ways To Cut Years off Your Mortgage

By Linda Welsh

Specialize in representing savvy Buyers and Sellers for residential, second home, vacation properties, lake and hill country properties, new and existing homes, land and lots. Relocation services include area, community and neighborhood expertise and helping the entire family to find the perfect home to meet their needs and wish list.

Are you frustrated with the slow pace of paying off your mortgage? Month after month, it can feel like your balance barely moves. There are simple strategies that can help you pay off your mortgage faster and build equity sooner.

To help you get ahead on your mortgage, put your money to work, and save thousands over time, here are four practical tips you can start using today:

1. Make one extra payment per year. Even one extra payment a year can make a big difference. You can do this by paying a lump sum from a bonus, tax refund, or savings. Or, you can split it up over the year by paying half of your monthly mortgage every two weeks. This small change means you’ll end up making 13 payments in a year instead of 12, which helps you pay off your mortgage faster. Setting up automatic payments makes this super easy.

2. Switch to biweekly payments. Instead of paying once a month, ask your bank to take payments every two weeks. You’ll still pay the exact total each month, but this schedule automatically gives you an extra payment each year. That extra bit goes straight toward your mortgage balance, helping you get ahead faster without feeling the pinch.

3. Put windfalls toward your mortgage. If you get unexpected money like a work bonus, inheritance, or gift, consider using some or all of it to pay down your mortgage. Make sure the extra payment goes toward the principal (the amount you borrowed), not just future interest. If you’re unsure how to do this online, visit your bank in person.

4. Refinance to a shorter loan term. Switching to a shorter-term mortgage, like 15 years instead of 30, can help you pay off your home faster and often lowers your interest rate. This can save you thousands and is especially useful if you want to be mortgage-free sooner or reduce your monthly payments.

Paying off your mortgage faster doesn’t have to be complicated. By making an extra payment, switching to biweekly payments, using windfalls wisely, and refinancing to a shorter term, you can start building equity faster and get closer to financial freedom.

If you’re looking to pay down your mortgage faster, build equity, or just want to understand how different strategies could work for your home, call me at (512) 657-4033 or visit www.LindaWelshRealtyGroup.com. I’m excited to help you take control of your mortgage and reach your financial goals.