Putting a Little Extra Towards your Mortgage Payments – How a Little Extra will Benefit You
According to a recent survey conducted by Scotiabank, 6 out of 10 mortgage borrowers and holders said that they could put in a little extra towards their mortgage payments without significantly affecting their finances. This little extra amounts to $20. The question is, how does paying a little more towards mortgage payments help a mortgage borrower?
The simple answer to this question is that paying a little more towards one’s mortgage payments can save a borrower around $2,800 in interest over a period of 25 years. This additional $20 put towards mortgage payments on a regular basis can also bring a borrower’s amortization by at least ten months. So by saving at least $20 each month and using it to increase the amount of money you make for your mortgage payments, you can save thousands of dollars in mortgage interest and shorten the amount of time that you would stay as a borrower.
Just think about how you can use the money that you will save in mortgage interest for other more important purposes. If you do not have anything else better to spend your $240 a year on (for example, you do not have a debt to pay, you do not have any personal obligations, or you simply want to save money while still a mortgage holder), consider prepaying your mortgage. Prepaying your mortgage can actually be a sound and worthy investment. As long as you believe that your monthly $20 is best for mortgage prepayment, then by all means, put this little extra towards your payments.
For more useful tips and valuable information about today’s mortgages , visit the website of ComparaSave now. Head to https://apps.comparasave.com/mortgage-rates/best-mortgage-rates if you want to know more about how you can find the best mortgage that will help you save money and time.