biweekly mortgage calculator with extra payment

#BIWEEKLY MORTGAGE CALCULATOR WITH EXTRA PAYMENT HOW TO#
#BIWEEKLY MORTGAGE CALCULATOR WITH EXTRA PAYMENT FULL#

Your average annual savings of $4,366.86 that are gained simply by changing one thing – paying your mortgage bill biweekly – are large enough to be substantial.

Best of all, based on a 10% yield of the money saved during the life of the loan, you will have a whopping $180,073.29 in cash after 30 years under these circumstances. With this extra cash you suddenly have on hand, you may choose to invest differently, such as buying a car, paying off medical bills, or putting funds into your child's college account. Your average monthly savings alone equals out to $363.90.

#BIWEEKLY MORTGAGE CALCULATOR WITH EXTRA PAYMENT FULL#

By paying twice a month instead of once a month, a full 117 payments are completely eliminated. The mortgage under this method will now only take 20.25 years to pay off leading to a $88,428.90 savings in interest alone. However, if you split your monthly bill into two biweekly payments of $457.37, the savings are incredible. This loan would take 30 years to pay off and cost you a bundle of interest over that time period. Take the example of a standard $100,000 mortgage which comes with monthly payments of $914.74 and an annual interest rate of 10.5%. You will end up paying off your mortgage early, which saves you a significant amount of interest, time, and undue financial stress. What you will notice is the giant jump in savings that occurs as a result of this method. However, this slight increase in yearly output will not put a dent in your wallet – in fact, you are likely to not even notice it, as the difference is so slim. If you choose to pay half of your mortgage bill on the 1st of the month and half on the 15th, for example, you will essentially be paying 13 mortgage payments each year instead of 12.

Saving money by paying half your mortgage bill twice a month, instead of your complete mortgage bill once a month, may at first sound like the financial version of an optical illusion to you, but it is tried and true.

#BIWEEKLY MORTGAGE CALCULATOR WITH EXTRA PAYMENT HOW TO#

How to Follow the Biweekly Mortgage Payment Processīiweekly mortgage payments occur twice a month, or once every two weeks. The method of biweekly mortgage payments may not have been offered to your by your lender, fellow borrowers, or financial adviser, but it is a scheme that is so easy to accomplish and saves so much cash that you will never look back. For those who are anticipating the amortization of their mortgage as a day of untold financial freedom, there is good news that may not have ever occurred to you about how to improve your current payment system.

Biweekly mortgage calculator with extra payment