How to succeed with money in divorce — paying off your home mortgage in ½ the time

I don’t know about you, but I’m not a fan of paying my mortgage.

Don’t get me wrong, I like my home; I just don’t like paying for it. Well, I’m fine with paying the principal, but not the interest, really.

Unfortunately, if you have a conventional thirty-year loan, a full half of the price you pay for your house is interest. That’s right, you pay just as much in interest as you do in principal. So, a $250,000 home actually costs $500,000 or more by they time you pay it off.

Thankfully, there is a way to pay off your mortgage in approximately ½ the time. And the best part is it doesn’t cost extra money and it’s simple.

Here’s what you do: pay your monthly mortgage payment, then pay next month’s principal payment early.

For example, if your mortgage is $1500 per month, the principal may account for $400 of that payment (the rest is interest, taxes, mortgage insurance, etc.). If this is the case, you would pay $1500 for the monthly payment, then pay $400 for next month’s mortgage.

All you’re doing is paying next month’s principal a few weeks early.

The beauty of this system is the $400 is paid interest free. And, again, you’re not paying more money; you’re just paying part of your mortgage early.

Analyses demonstrate that this method cuts approximately fifteen years off a conventional thirty-year mortgage.

So, if you’re like me and you want to save money and not pay monstrous interest payments on your home, paying next month’s mortgage a few weeks early is a pretty enticing option.

P.S.: Another way you could got about paying off a home in fifteen years is to refinance your current loan to a fifteen-year loan. Interest rates on these loans are lower than on a conventional thirty-year loan, although standard monthly payments are (obviously) a bit higher.

P.P.S.: Hat tip to Tony Robbins and his book Money: Mastering the Game, pages 253-255, for this tip.

P.P.P.S: For more tips on how to succeed with money in divorce, click here, and here.

Protect Your Money And Your Family

We remove fear associated with divorce, protect your money & maximize time with your kids!

We're here to help. Let's determine your best options.

Call Us 24//7 at 801-685-9999 to Speak with a Live Representative

Utah Divorce FAQs
Top 100 Divorce Blog
What Clients Are Saying…
BrownLaw icon
Excellent
Brown Family Law
4.8
Based on 929 reviews
Anne and Josh are Fantastic!!
I couldn’t have done it without Nathaniel Garrabrandt and the Brown Family Law truly the best experience and people to work with thank you!!
Brown Family Law is likely the most outstanding Family Law office in Utah. They care deeply about each client, responds quickly to every client question and concerns. If anyone is in a situation of divorce and/or child custody, I highly recommend this office to assist you with your rights. They stand firmly behind their clients.
Response from the owner:Thank you, Craig.
I can’t say enough good things about Clay Randle and Katrina Redd. They were both incredibly professional, responsive, and knowledgeable throughout my case. Their experience and advice were invaluable, and I truly appreciated their support every step of the way.
Daniel was patient, efficient, professional, and kind. Brown Family Law was easy to work with and very competent. Highly recommend.
Muchas gracias, professionales. Me ayudaron con mi caso, gracias.
Leilani Whitmer was my attorney for mediation day at the provo 4th district court on May 9th and absolutely knocked it out of the park. She made the process so smooth and easy I'd recommend her for any family law issue you could possibly fathom.
Clay Randle is absolutely amazing, well educated, knowledgeable lawyer. He’s approached, always makes sure you’re on the top of the situation and very helpful. I’ve had a pleasure working with him and I recommend him as your top notch attorney.
Brown Family Law has been wonderful to work with! Extremely knowledgeable and professional. Clay went the extra effort in everything he did for us. Couldn’t be more pleased!! I highly recommend their services.
Marco is beyond insightful!
yH5BAEAAAAALAAAAAABAAEAAAIBRAA7

Categories