Should You Pay Off Your Mortgage Early?
Your house is probably the most expensive purchase you’ll make in your lifetime. So it’s no wonder if you dream of the day that monthly mortgage payment is gone for good.
If you have the extra cash, should you go ahead and pay off the loan ahead of time? Maybe. Here’s what to consider before paying off your mortgage early.
Benefits of Paying Off Your Mortgage Early
- Save money on interest. By reducing the length of time you spend making mortgage payments, you’ll cut down the amount of interest you pay over the life of the loan. Depending on the loan amount, interest rate and original term, paying your mortgage off early could result in significant savings.
- Free up money for later in life. The typical mortgage lasts 15 to 30 years. That’s a long time to be saddled with loan payments. By paying off your mortgage early, you’ll free up cash to spend on more exciting things when you’re a bit older, such as travel.
- Increase home equity. Paying off your loan will increase the amount of equity in your home, which you could tap into with a home equity loan, home equity line of credit (HELOC) or cash-out refinance.
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How To Pay Off Your Mortgage Years Early: CLICK HERE