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Ways To Eliminate The Mortgage More Quickly – Part 5

March 23, 2010 in Eliminate The Mortgage with 0 Comments

Welcome to the latest series at JosephSangl.com - Ways To Eliminate The Mortgage More Quickly.   It is my hope that this series can help you eliminate what is usually the single largest expense in the household budget and free that money up to much greater things than make a bank rich! Part 5   Eliminate one "nice-nice" monthly expense and send it to the mortgage company How much do you send to the cable/satellite company each month?   Let's say that it is $70/month.   That is $840/year.   Cancel the cable and re-route that monthly bill to the mortgage payment. Other items that could be reduced/eliminated include:
  • Grocery bill (use coupons!)
  • Dining out
  • Clothing
  • Spending money
  • Magazine subscription
  • Insurance premiums
Less payments toward these bills means more money for payments toward mortgage elimination!!! Read the entire series HERE Read recent posts

Ways To Eliminate The Mortgage More Quickly – Part 4

March 22, 2010 in Eliminate The Mortgage with 0 Comments

Welcome to the latest series at JosephSangl.com - Ways To Eliminate The Mortgage More Quickly.   It is my hope that this series can help you eliminate what is usually the single largest expense in the household budget and free that money up to much greater things than make a bank rich! Part 4   Pay one extra payment each year One of the most common ways that people reduce their mortgage payback period is by sending in one extra payment each year.   This will eliminate 5 to 7 years from a 30-year fixed rate mortgage.   You can send one extra payment each year using a variety of methods.
  • Send in one extra payment when you receive a tax refund or profitability bonus
    • Since this money is not part of the normal budget, it is can be easier to send this money immediately toward the mortgage.
  • Set up 1/2-payments to be made every two weeks
    • Since there are 26 two-week periods in a year, this means that 13 full payments will be made each year.   Presto!   An extra payment!
  • Send in 1/12 (8.3%) extra on each monthly payment.
    • 1/12th payment/month X 12 months = 1 full payment per year
Use the Early Pay-Off Calculator located HERE to run some numbers for your mortgage and become debt-free sooner! Read the entire series HERE Read recent posts

Ways To Eliminate The Mortgage More Quickly – Part 3

March 16, 2010 in Eliminate The Mortgage with 1 Comment

Welcome to the latest series at JosephSangl.com - Ways To Eliminate The Mortgage More Quickly.   It is my hope that this series can help you eliminate what is usually the single largest expense in the household budget and free that money up to much greater things than make a bank rich! Part 3   Pay 10% extra each month Whatever your monthly payment is, add 10% and you will eliminate 7 years or more from a 30-year fixed rate mortgage!   For instance, if your mortgage payment (including escrowed taxes and insurance) is $1,000, you would send in an extra $100 per month - $1,100/month. Example If you have a $150,000 5.50% fixed-rate mortgage with a monthly payment (including escrow) of $1,000 with $852 being applied to principal and interest each month (the other $148 being applied to taxes and insurance).   If you send in $1,100 each month, there is now $952/month being applied to principal and interest.   This will reduce a 30-year note to a 23 year 4 month note! Use the "Early Pay-Off Calculator" located HERE to run some numbers for your mortgage and become debt-free sooner! Read the entire series HERE Read recent posts

Ways To Eliminate The Mortgage More Quickly – Part 2

March 10, 2010 in Eliminate The Mortgage with 0 Comments

Welcome to the latest series at JosephSangl.com - "Ways To Eliminate The Mortgage More Quickly".   It is my hope that this series can help you eliminate what is usually the single largest expense in the household budget and free that money up to much greater things than make a bank rich! Part 2   Lower The Interest Rate One key way to eliminate a mortgage is to have an excellent mortgage interest rate.   Mortgage rates are at historic lows.   CNNMoney's website has an excellent calculator that one can use to evaluate different refinancing alternatives to see which one is best for your situation.   It can be obtained HERE. Just lowering the interest rate by 1% on a $100,000 mortgage will nearly $1,000/year!   That, my friends, will spend just like money and I would much rather apply that money toward principal reduction or funding a dream than sending it as a gift to my mortgage lender! We have an "Early Pay-Off Calculator" located on our NextSteps site (HERE) that will show you how much more quickly you can pay off your loan if you obtain a lower interest rate. This can seem very basic, but it is easy to get caught up in the day-t0-day bustle of life and miss one of the key ways to eliminate the mortgage more swiftly! Read the entire series HERE

One key way to eliminate a mortgage is to have an excellent mortgage interest rate.   Mortgage rates are at historic lows.   CNNMoney's website has an excellent c

Thisalculator that one can use to evaluate different refinancing alternatives to see which one is best for your situation.   It can be obtained at http://money.cnn.com/tools - click on mortgage refinance calculator.

Ways To Eliminate The Mortgage More Quickly – Part 1

March 8, 2010 in Eliminate The Mortgage with 0 Comments

Welcome to the latest series at JosephSangl.com - "Ways To Eliminate The Mortgage More Quickly".   It is my hope that this series can help you eliminate what is usually the single largest expense in the household budget and free that money up to much greater things than make a bank rich! Part 1   Introduction I remember the day that I signed up for my first home mortgage.   I financed such a large amount of money that I could not really comprehend the amount.   All I knew was that I wanted to purchase a house, and the bank was willing to lend me the money.   When I made my first mortgage payment, I realized just how much this debt was going to cost me.   Less than two-percent of the payment was applied to principal balance reduction.   The rest of the payment went to make other people and businesses wealthy - banks, insurance companies, and the government. What I discovered was that if I paid the scheduled payments on my first house for the entire thirty year term, I would end up paying more in interest than I paid for the house.   Ridiculous!   I set out to find ways to eliminate the mortgage more quickly so that more of my money would be applied to the principal balance. This will be fun! Read the entire series HERE

I remember the day that I signed up for my first home mortgage.   I financed such a large amount of money that I could not really comprehend the amount.   All I knew was that I wanted to purchase a house, and the bank was willing to lend me the money.   When I made my first mortgage payment, I realized just how much this debt was going to cost me.   Less than two-percent of the payment was applied to principal balance reduction.   The rest of the payment went to make other people and businesses wealthy - banks, insurance companies, and the government.

What I discovered was that if I paid the scheduled payments on my first house for the entire thirty year term, I would end up paying more in interest than I paid for the house.   Ridiculous!   I set out to find ways to eliminate the mortgage more quickly so that more of my money would be applied to the principal balance.