How to Pay Your 30-Year Mortgage in 10 Years

Options to pay off your mortgage faster include:

1. Adding a set amount each month to the payment.
2. Making one extra monthly payment each year.
3. Changing the loan from 30 years to 15 years.
4. Making the loan a bi-weekly loan, meaning payments are made every two weeks instead of monthly.

A 20-year mortgage loan can be paid off early by sending in extra principal payments with your regular monthly mortgage payments.

1. Use an online mortgage calculator with amortization.
2. Enter your loan data and calculate the monthly payment and loan amortization.

This means you can make half of your mortgage payment every two weeks. That results in 26 half-payments, which equals 13 full monthly payments each year. Based on our example above, that extra payment can knock four years off the 30-year mortgage and save you over $25,000 in interest.

Simply by making an additional payment over the life of a 15-year mortgage for $300,000 dollars at an interest rate of 5%, amounts to an eventual savings of up to 200 dollars monthly. It is possible to save even more by making extra payments if the interest rate is higher.

1. Buy a Smaller Home.
2. Make a Bigger Down Payment.
3. Get Rid of High-Interest Debt First.
4. Prioritize Your Mortgage Payments.
5. Make a Bigger Payment Each Month.
6. Put Windfalls Toward Your Principal.
7. Earn Side Income.
8. Refinance Your Mortgage.

Five ways to pay off your mortgage early

1. Refinance to a shorter term.
2. Make extra principal payments.
3. Make one extra mortgage payment per year (consider bi–weekly payments)
4. Recast your mortgage instead of refinancing.
5. Reduce your balance with a lump–sum payment.

A 20-year mortgage loan can be paid off early by sending in extra principal payments with your regular monthly mortgage payments. Use an online mortgage calculator with amortization. Many financial websites have mortgage calculators; the one on Bankrate.com is easy to use.

A 15-year loan went for 3.8%. Though it was only a 1.2% difference, the total payout was significant. If you borrowed $200,000 over 30 years at 5%, the total payout was $386,815. If you borrowed $200,000 over 15 years at 3.8%, the total payout was $262,719.

If you keep the 30-year mortgage, you’ll pay more than $158,000 in total interest over the life of the loan. But if you switch to a 15-year mortgage, you’ll save over $85,000—and you’ll pay off your home in half the time! Sure, a 15-year mortgage will probably come with a bigger monthly payment.

The unpaid principal balance, interest rate, and monthly payment values can be found in the monthly or quarterly mortgage statement. Payoff in 14 years and 4 months The remaining term of the loan is 24 years and 4 months. By paying extra $500.00 per month, the loan will be paid off in 14 years and 4 months.