How to Pay Off A Mortgage Early

Want to know the steps on how to pay off your mortgage early to be debt free? This ehow will help you out.

Difficulty: Moderate

Instructions

Things You'll Need:

• Mortgage
• Extra Checks

1. Gather all you mortgage info. This should all be readily avalible on your monthly statement.

2. If you have Excel you can open an amoritization table in it By Clicking on the bottom tabs Insert>Spreadseet Solutions>Loan Amoritization

3. Put in your current Loan information This will help you decide how much you want to pay extra per month

4. Send the decided extra amount each month in, but do not send it with your normal payment. Write a separate check, and be sure to write "Principal Only" on the check so that way they just don’t apply it to your next months bill.

5. By doing this, you will pay off your Mortgage early and pay much less in intrest across the life of the loan. This will save you thousands of dollars across a 15 or 30 year mortgage.

Tips & Warnings

• Be sure and Write Principle only
• Even if you can only do a one time payment, go ahead and do it. Every bit helps
• Don't Avoid paying down credit cards to do this, unless you are paying a higher APR on your car loan than your credit cards.

[kaytay]

on 1/28/2009 Great info. 5 stars

[cadence]

on 12/20/2008 Great tips to pay off your mortgage early.

[dsarokin]

on 9/8/2008 Thanks, especially for the Principle Only caution...hate to be paying off my interest early, only to have the principle left. 5*