Kim Lee

Save On Interest

Save On Interest - Kim Lee
Table of Contents

How to Save Thousands of Dollars in Interest and Pay Your Mortgage off Faster

Discover simple tricks to shave years off your mortgage and save big on interest costs! By making additional principal payments, you unlock a world of savings and fast-track your journey to owning your home outright. Dive into these easy-to-follow tactics and watch your mortgage shrink before your eyes. Perfect for homeowners eager to ditch their mortgage payments, this guide is a treasure trove of secrets that banks might not tell you. Keep reading, and you’ll find out how a few smart moves can lead to huge savings. Why wait? Start your path to financial freedom now!

1. Round your monthly payment up

The results of this simple strategy can save you a fortune and drastically reduce the length of your mortgage.

As an example, if your monthly mortgage payments were $734 dollars a month, but you rounded it up to $800 per month, you would save more than $48,000 in interest payments, and reduce the length of your mortgage by 7.5 years!

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2. Make One Time Pre-Payments Using Your Income Tax Refund

This is an easy way to save money and shorten your mortgage. For example, if you have a $100,000 mortgage, and you have a $1000 tax refund this year, you take apply that refund to your mortgage. Over time, this will save you more than $8600 and shave 1 year and 1 month off your mortgage! That’s another amazing result from a simple strategy.

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3. Choose a 15 Year Mortgage

If you can afford it, you are far better off getting a 15 year mortgage instead of 30. It won’t cost you much more, and the interest savings are truly incredible.

If you have a mortgage of $100,000 at 8% interest over 15 years, your monthly payment would be about $200 more, but you’d end up saving $92,083 in interest over the life of your mortgage!

Using these strategies is the easiest way to reduce your interest expenses and shorten your mortgage period.

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Kim Lee (Vancouver Realtor)

As a Vancouver realtor, Kim Lee combines her love for people with her passion for real estate to provide guidance throughout the process and to building lasting relationships.