Q:

How do you pay off your mortgage faster?

A:

Quick Answer

To pay off your mortgage faster, buy a home you can afford, get a shorter mortgage, set a date to pay off the mortgage and make biweekly payments. Try to reduce your expenses and find ways to increase your earnings.

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Full Answer

  1. Buy a home you can afford

    Evaluate your finances to find out how much you can afford to spend on housing.

  2. Get a shorter mortgage

    Opt for a 15-year mortgage over a 30-year mortgage for example. Shorter mortgages attract lower interest rates.

  3. Set a date to pay off the mortgage

    Set a challenging but realistic target date to pay off the mortgage. Keep track of your progress and stay motivated to attain your goal.

  4. Make automatic biweekly payments

    Contact your loan provider to set automatic biweekly payments. If your loan provider charges a fee for the service, set up your own accelerated mortgage plan for free.

  5. Reduce your expenses

    Review your monthly budget, and come up with innovative ways to cut costs. Consider switching insurance providers or cutting your cable service. Find ways to increase your income, such as by taking extra shifts or working a second job. Divert all your extra or unexpected income including work bonuses and tax refunds to paying off your mortgage.

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