how much xtra do you pay towards your mortgage each month?

and do you know how to figure out home much time it will take off your mortgage?

Re: how much xtra do you pay towards your mortgage each month?

We were paying 1/12 extra of our entire mortgage payment each month, but then my work hours got cut down. Once we are normal again, I'll increase it.

I think I figured out it would have us finish the morgage in 23 years instead of 30 if I remember correctly.

Re: how much xtra do you pay towards your mortgage each month?

I called our bank (wells fargo) and asked them to explain it to me. I was confused on which was better in the long run and better for tax purposes. Pay one payment more a month, every two weeks, one lump sum etc. ther are different options. They explained EVERYTHING, broke down all the numbers, and it was easy for me to compare and figure out what works best for us.

For us we pay one extra mortgage payment a year,broken down by month, whioch goes directly toward principal. It saves us 6 1/2 years, and over 100K intrest only over the life of the loan. Call your bank, thats what they are there for ! They work for you, they are making a LOT of $ from your 30 year loan!

Re: how much xtra do you pay towards your mortgage each month?

if you plan on staying in the house it's worth it.......

if you don't plan on living in the house for more to 5-7 years it's probably not worth making those extra payments....

you'd probably be better off investing that money into something else...that is what we are going to do.....

Re: how much xtra do you pay towards your mortgage each month?

Re: how much xtra do you pay towards your mortgage each month?

thanks for your responses. Im def going to call our bank. we def planon staying in this house for a long time, we consider it our forever house so for us it will be worth it to pay it off sooner!!

Re: how much xtra do you pay towards your mortgage each month?

we dont (at this point) except the 2 extra payments that we make per year since we pay every other week (26 payments) vs. two times per month (24). Apparently, when you make the 26 payments vs. the 24 per year, it reduces your interest and total years to pay dramatically. Also, the two extra payments go totally towards principal

Re: how much xtra do you pay towards your mortgage each month?

our mortgage broker did the math for us to take over 10 years off the mortgage....
i think we pay an extra 12% a month that goes directly to principal

Re: how much xtra do you pay towards your mortgage each month?

I round up to the nearest thousand just to make it easier to write the check...that's about 10%

Re: how much xtra do you pay towards your mortgage each month?

www.mortgage.com This site has a mortage calculator that lets you put in various different amounts for additional monthly payments and it shows how much it will shorten your loan and it has a graph showing interest saved. I've seen one that lets you plug in whether or not you want to make one yearly payment, extra each month or other options so search around and you'll find other calculators on line too. We pay an extra $500 per month and for our situation it will cut the remaining 26 years on our mortgage down to about 13 years.

Re: how much xtra do you pay towards your mortgage each month?

If you pay extra does it always go straight to the principal or does that vary by bank?

Re: how much xtra do you pay towards your mortgage each month?

G, call Pete im sure he can figure it out for ya!

Re: how much xtra do you pay towards your mortgage each month?

On our payment coupon you fill in the amount in a specific box indicating you want it to go towards principal. You can also designate Escrow as an option if you need to add to your escrow.

Re: how much xtra do you pay towards your mortgage each month?

we never paid extra

Re: how much xtra do you pay towards your mortgage each month?

I think you have to specify that you want that money to go towards the principal.

Re: how much xtra do you pay towards your mortgage each month?

so far no extra