MSN titled this article “The No. 1 Tip To Pay Off Your Mortgage Early.”
But it really has 5 numbered tips.
So I don’t get the title.
All the tips boil down to the this:
You have to pay more than your base payment.
You don’t get a magic bullet.
You have different ways to pay more but you have to pay more.
- Ask your lender how to get rid of Private Mortgage Insurance (PMI) first.
- If you can’t do that, look at paying extra in lump sums when you get it.
- As a last resort, refinance to a 15-year mortgage.
A lot of people are pushing 15-year mortgages lately but they just want to get your refinancing fees.
A 15-year mortgage locks you in to a higher payment.
You can turn a 30-year mortgage into a 15-year mortgage just by paying more each month.
If your water heater blows up, you can skip the extra payment and use it to fix your water heater.
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