Mortgage Reduction Tips

Did you you know you can reduce your interest on your mortgage and save few years in the process without increasing your repayments?

In general most people are tied up with a monthly repayments for a number of years usually around 30 years and some lenders will offer you 40 and even 50 years option.
This means that your repayment are quit low but the actual cost of your loan is much higher since you are paying interest for a much longer time span.

but what if you could just continue paying the same amount with out any added extra repayments and actually reducing your debt?

How about cutting few years of your loan in the process? well you can.The solution is simply to make bi weekly repayments.
here is an example for a loan of $300,000 with 7% interest your monthly payments are $1995.91 see table below.

As you can see from the  calculator the biweekly payments are $997.95 which is equal to half of your monthly

repayments but the actual interest savings are are quit significant over $100,000 difference  and 75 month shorter .

You should take advantage of the low interest rates that are offered ,but also make sure you repayment are set for biweekly to get these benefits.

take a look at this chart to see how you can save money on your mortgage and apply it to your own loan to see the savings you can achieve using biweekly payments