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What are some benefits of making extra mortgage payments?

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Quick Answer

Benefits of making extra mortgage payments include being debt free by a certain point and saving money, according to Bankrate. Paying an extra $100 each month potentially can save more than tens of thousands of dollars in interest.

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Biweekly payments instead of monthly payments are one approach to realize the benefits of early mortgage payoff, says About.com. Biweekly payments allow a consumer to make one extra payment a year without feeling much, if any, financial effect. Another approach is to round up as long as the payment goes toward principal instead of interest — for example, a payment of $1,000 on a monthly bill of $967.88. A third approach is to get a 15-year mortgage instead of a 30-year one.

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