Be mortgage-free faster

Reduce your mortgage debt faster with these money-saving strategies:

Shorten your mortgage

Many homeowners aim to pay off their mortgages in 25 to 30 years. Reducing your amortization period by five or more years can make a huge difference in the amount of interest you pay.

Increase your payment frequency

With more frequent and accelerated payments, you may pay a little more each month, but you’ll pay your mortgage down faster, saving you interest costs over the long term.

Horloge_Toit_Pret_Hypothecaire_ISTOCKPHOTO_financeTake advantage of your mortgage prepayment options

Pay down your mortgage faster and save thousands of dollars. Here’s how:

  1. Increase your mortgage payments (principal and interest) by 10% for a low-rate fixed closed mortgage or 20% for any other closed mortgage, once per calendar year without prepayment charges.
  2. Make lump sum payments1 in minimum amounts of $100 each year without prepayment charges, up to 10% for a low-rate fixed closed mortgage or 20% for any other closed mortgage.

 

1 Applicable provided the mortgage is in good standing and provided you have not obtained an official payout statement. Some other conditions apply.

 

Photo: iStockphoto.

Share on FacebookTweet about this on TwitterShare on Google+Pin on PinterestShare on LinkedInEmail this to someone