Prepay now to get mortgage-free sooner.
For most of us, a mortgage is by far the biggest debt we’ll ever take on. The excitement of home ownership often gives way to the realization that mortgage payments will last for two or more decades. What’s more, a fair portion of these payments go toward interest costs.
What people may not realize is just how big a dent they can put in their mortgage by making prepayments. Having extra payments or larger payments early on can add up to significant interest savings over the life of the mortgage.