February 17th, 2013 9:07 PM by Jill Kohler
Did you know that if you make one extra mortgage payment per year, you would typically reduce the term of a thirty year mortgage by about 7 years. By doing this you could save thousands of dollars. Rather than making 12 monthly mortgage payments, homeowners who opt to make half of a monthly payment every 2 weeks would make 26 half payments each year. This equates to 13 monthly mortgage payments over a 12 month period. The extra monthly payment goes directly to principal thus saving a lot in interest payment. The sooner you start doing this, the sooner you’ll start to save.