Quote:
Originally Posted by FreeHugeMovies
No, one extra payment per year it turns it into a 17 year note.
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Must be Rochard math. It was 15 years now its 17 years. I already asked you once to provide a source or to please explain. What you saying doesn't add up to me.
Quote:
Originally Posted by pornguy
A mortgage underwriter once told me the best way to pay your mortgage is 2 times a month Half on the 15th and half on the 30th.
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I haven't looked into that a whole lot. I've heard a few people talk about what you are saying and there was people trying to sell "systems to do something like this" etc.. but at the same time you need to check to see if your mortgage company allows you do these things. It was a while back and I vaguely remember, I just know what ever the trick was my particular company wouldn't let me do it.
Another tip for you guys before you go to do your next mortgage... if you didn't already know, the break points for a reduction of interest is at 15 years. There is a 30 year rate and a 15 year rate which is usually good bit less. So if you are positive you can afford it and you want to pay it quicker / less in interest, then do it over 15 years and benefit from the interest rate reduction.
However, if that amount per amount makes you nervous and you worried that over 15 years you might not be able to afford it, then don't do your loan for 20 years or 25 years, jump all the way to 30 years because the interest rate will be the same at 30yrs as it is from 16yrs-29 yrs. So you would be best off doing it at 30yrs, and sending in additional principle each month that you can afford to and if your financial situation gets bad at some point you stop sending the extra. (double check with your bank, but every one I've dealt with and everything I have heard this is the case.)