Quote:
Originally Posted by pilotbob
...am paying double house payments (doubling principle) amount each month. I can't wait for my mortgage burning... I hope it's before I am 50.
|
I've had a hard time convincing other people to agree with me (so maybe I'm wrong
) but I think, for people planning to pay off their mortgage early, it's a good idea to consider getting a mortgage spanning the longest time possible.
A lot of people find the idea of a shorter-term mortgage appealing, but if you're planning early payment anyway it may not be the best option. A 30-year mortgage will have lower monthly repayments than a 20-year one - this repayment differential can be used to reduce the principle owed.
The more money going to pay off the principle, rather than interest, the more efficient the mortgage repayment strategy imho.