Save Money on Your Mortgage
Your home is the most expensive item you are ever likely to buy. And since most of us don’t have the financial wherewithal to pony up with the full price in cash, you’ve probably got a mortgage. That means you’re paying hundreds, if not thousands, every month in interest.
Buy a $150,000 home with $30,000 down and you’ll end up with a $120,000 mortgage. At an average interest rate of 9% for 30 years, you’ll spend $227,500 in interest, on top of the original $120,000 principal you owe, virtually doubling the cost of your home!
Money Saving Tip #1: Increase your mortgage payment by $100 a month.
If you pay an additional $100 each month you will save over $82,000 in interest payments. Pretty sweet eh? It gets better. Not only will you save buckets of money, you will also have your home paid off 9 years earlier.
It doesn’t take a lot of extra money to make a difference. But it does take a little foresight. And a little cutting back. And a little discipline.
So now that you know you can save over $80,000 on your mortgage, where are you going to find the extra $100 a month for your mortgage?