Pay your mortgage off quicker

In the past few weeks I have been reading a couple of books on how to pay off your mortgage quicker and save money on interest payments. These books are small and easy to read and almost seem to be general knowledge, but at the same time they are really useful for grasping techniques to save you thousands over the course of your 25 year loan.

The books are called;

1. How to be mortgage free in 4 easy steps by Harj Gill
2. Own your home years sooner by Gill & S Therry.

Today I will list some interesting ways in which people could possible save money on their mortgage and start to own their own home years sooner.

Imagine cutting your loan term from 25 years to 16 years!

Tips to pay off your mortgage

1. Pay your mortgage fortnightly. Doing this cuts down on added up interest and will save you ALOT of money over the course of your home loan. If you are super game, pay your mortage weekly!
2. Pay a lump sum twice a year. If you get $2000 back from your tax return, make a large payment towards your mortgage. These large lump sums cut years of interest off the loans.
3. Increase your repayments. You can cut upto 2 years off your loan by paying an extra $20 to $50.
4. List your regular expenses and find 1 or 2 objects to remove from your life.
5. For those who are yet to have a home loan, START SAVING MONEY! The rule of thumb is that you need 10-15% of your house loan to deposit.
6. Offset your loans with a savings account, this is called mortgage offsetting.
7. Sometimes you just have to admit your loan is bad. You got done and need to find a new one ASA, this is called mortgage refinancing. Go to a home loan lender and get them to do the hard work for you.

Finding the best loan

Here are the features of a good home equity loan;

1. Income can be paid directly into your home equity loan.
2. You can make interest only payments.
3. There are no early payout/exit fees.
4. It is a life long facility.
5. It is fully transferable to other properties.
6. Sames interest rates for personal & investment debts.
7. You receive monthly statements.

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