Biweekly mortgage payments...can you afford not to do them?

[tinapbeana]

Originally Posted by creditcardfree

On topic, I really want to pay off the mortgage early. It is just very hard to get it started. On our last house, my goal was an extra $2400 a year. I just started it last year. I think I sent in two or three lump sums...it did make a difference though.

2400/yr is very realistic, although for me i'd do it $200 extra every month. other wise the money would sit in savings taunting DH "buy something with me, uuuuuuuuuuuuse meeeeeeeeeeeeee"

[creditcardfree]

I think I'll try doing it monthly...maybe mid month for cash flow reasons. I'm blessed with a DH who wants for very little. I don't think my husband knows how to get into our savings account...not that I'm keeping anything from him, either!

[ren]

Originally Posted by creditcardfree

I think I'll try doing it monthly...maybe mid month for cash flow reasons. I'm blessed with a DH who wants for very little. I don't think my husband knows how to get into our savings account...not that I'm keeping anything from him, either!

One nice thing about doing it every month is that it will reduce the principal every month so the interest will be lower and more of the next month's payment will go toward the principal as well. Good plan!

[lynclarke]

Right now our mortgage is 4.7% but the home equity is 8.25%!!! So, for now the extra is going to the home equity (van) to get it paid off faster. lynclarke

[The Budget Man]

Originally Posted by tinapbeana

2400/yr is very realistic, although for me i'd do it $200 extra every month. other wise the money would sit in savings taunting DH "buy something with me, uuuuuuuuuuuuse meeeeeeeeeeeeee"

Regularity is the key to getting rid of a mortgage. When you have even a fairly small amount and pay it off, it makes a difference.

If you save up to make big extra payments then something important always seems to come along and the money is "needed".

Enjoy your Money
The Budget Man

For a budget that works with you www.PersonalityBudgeting.com

[creditcardfree]

Originally Posted by The Budget Man

If you save up to make big extra payments then something important always seems to come along and the money is "needed".

That may be true for some. Not me. I have an emergency fund. If I have a goal it will get reached. Now if I didn't make a plan for paying off the mortgage with an amount yearly or monthly...it just wouldn't happen. I've tried that before.

Goals...if you have them you can reach them. No plan, no results.

[The Budget Man]

Originally Posted by creditcardfree

That may be true for some. Not me. I have an emergency fund. If I have a goal it will get reached. Now if I didn't make a plan for paying off the mortgage with an amount yearly or monthly...it just wouldn't happen. I've tried that before.

Goals...if you have them you can reach them. No plan, no results.

Fantastic! You have a system that works for you. That's what each of us needs to discover.

Enjoy Your Money
The Budget Man

www.PersonalityBudgeting.com
Where you discover the strengths of your financial personality.