1 Simple Mortgage Habit That Can Save You Thousands

I couldn’t resist sharing this with all my friends. Start making it a habit to pay more every month on your mortgage and save a lot of cash!

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By Matthew Frankel

If you have a 30-year mortgage on your home like most people do, it may seem like forever until you own your home free and clear. This doesn’t have to be the case though, and by paying just a little more each month, the time until your mortgage is paid off can drop dramatically. In addition to the shorter payoff time, you’ll save yourself a ton of interest in the process, so maybe it’s worth spending a little more now to make your financial future much brighter.

A little extra can go a long way
Let’s consider an example of a new 30-year mortgage with a $200,000 balance. At an interest rate of 4.5%, your monthly principal and interest (P & I) payment would be $1,013. However, if you were smart and bought a home you can afford comfortably, there should be a little extra in your budget.

If you could afford even $50 extra per month, it would knock almost three years off the loan. $100 extra per month would shorten the mortgage to just 25 years. Higher payments would knock even more time off the loan.

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About Jay Rock Realty Associate Broker

Jason "Jay Rock Realty" born and raised in Phoenix, Arizona is top-notch real estate professional that works to ensure that sellers receive top dollar for their homes in record time, and that buyers find the perfect home for their budgets. Specializing in Phoenix, Carefree, Cave Creek, and Scottsdale real estate communities and the surrounding area. Jason has spent years working on the appraisal side of real estate transactions giving him in-depth knowledge on home values which is essential in a real estate transaction. Whether it is helping first time home buyers achieve the pride in ownership or it is helping investor's build a plan of success in a productive rewarding industry, he gets it done with enjoyable and producing methods.
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