Re/max Executive Realty
Steven Lindquist, Re/max Executive RealtyPhone: (508) 981-1395
Email: [email protected]

How You Can Pay Off Your Mortgage Faster

by Steven Lindquist 10/15/2019

The dream of paying off your mortgage fast may seem like an overwhelming task. After all, it is money that is involved. And it is not just an amount you can sneeze at; it is thousands of dollars. In this modern era of financial distractions, being able to pay such amount of money within a snap of your fingers is not common.

However, if you wish you to pay off your mortgage fast, you can do so by switching to a biweekly payment plan.

What is a bi-weekly Payment?

When you are dealing with your debt, and you are trying to pay it off, a monthly structure is available. This monthly structure includes interest which you deal with and, it pays off every month.

The point of you getting out of debt on time is to live your life and pursue your dream so you need to use the tools and the knowledge available to you that you can implement right away - bi-weekly payment is one. 

A biweekly mortgage is like your traditional mortgage. What makes it different is that you will need to structure your payments. In other words, you won’t be making one payment at the start of a new month; you will be making half of your payments every two weeks.

Bi-weekly Payment Are Not Twice a Month Payment

The main difference between a fortnightly payment and twice a month payment is that you have to pay an extra month payment at the end of a year. So, there are 12 months in one year. At the end of the 12th month, you would have paid 13 months of payment without spending more than you are already paying every month.

With a bi-weekly payment, you only have to split your mortgage in half. You take care of the first half after the first 14days and the second half at the latter 14 days, so nothing is changing in your monthly payments. The only difference with bi-weekly payments is that you have to make sure your money is going towards the principal and not the interest charge balance.

How Does Bi-weekly Payment work?

- 52 weeks a year/ 2 bi-weekly payment in a month = 26 payments a year

- Divide 26 payment by 2 to get the picture of what a “full month’s payment” would be. 1 full month payment = 1 month

- 26 payment per year/ 2=13 full payments (13 months) instead of 12 monthly payment in a year.

You will make an additional loan payment per year without any extra effort. Bi-weekly payment can help you pay off your mortgage fast, but you will need to consult a mortgage advisor to know if it will suit you. 

About the Author
Author

Steven Lindquist

I understand that buying or selling a home is more than just a transaction: it’s a life-changing experience. That’s why I am dedicated to providing exceptional, personalized service for all of my clients. I take great pride in the relationships I build and always work relentlessly on the client’s behalf to help them achieve their real estate goals.

I am always striving to lead the field in research, innovation, and consumer education. Today’s buyers and sellers need a trusted resource that can guide them through the complex world of real estate. With my extensive knowledge and commitment to providing only the best and most timely information to my clients, I am your go-to source for real estate industry insight and advice.

My philosophy is simple: clients come first. I pledge to be in constant communication with my clients, keeping them fully informed throughout the entire buying or selling process. I believe that if you’re not left with an amazing experience, I haven’t done my job. I don’t measure success through achievements or awards but through the satisfaction of my clients.