Better Than a Biweekly Mortgage Payment?
Most people who are looking for a way to pay their mortgage off quickly are familiar with biweekly mortgage payment programs. While this is definitely a way to speed up the paying of your mortgage, it has its limitations. For typical 30 year mortgage, biweekly payments will at the most chop 8 to 10 years off of the term. This is accomplished simply by paying half of the monthly payment amount every two weeks resulting in an extra month's payment once a year which is used purely against the principal.
Paying down the principal is the key to cutting years off your mortgage, but there is a much more effective way to pay down the principal without having to increase your income or make any changes in your current mortgage. It's called mortgage cycling, and it uses the system as it is set up to turn things to your advantage. Let me explain...
Way, Way Better than a Biweekly Mortgage Payment
Did you know that with a conventional 30 year mortgage, after 15 years you will still owe 90% of the principal? Sounds like a great deal if you're a bank. As a matter of fact, this system of paying so much interest as a percentage of the payment on the front end was set up during the Great Depression by the government as an incentive for the banks to finance mortgages, as the banks were very reluctant to lend. This worked in getting the banks to start lending, but it created a horrible monster for us homeowners that exists to this day.
Fortunately for us, mortgage cycling really does work -- you really can pay off your mortgage in 5 to 10 years. This system is completely ethical and legal, and is working for many homeowners who have taken a little time to learn it and use it. Find out more at www.pay-off-your-mortgage.com.
Educate Yourself & Make the System Work in Your Favor
A little knowledge goes a long way, if you choose to use it to your advantage. This system was put in place to benefit the banks. There is nothing natural about making payments in the beginning of a loan that are 90% interest and 10% principal. This is an artificial system that works heavily against your owning your home free and clear. With a little knowledge you can turn the tables and own your home in as little as five years without having to increase your income or live on rice and beans. Biweekly mortgage payment programs help, but mortgage cycling makes a massive difference.
New Featured Lenses
by pay_off_mortgage
pay_off_mortgage
Hello world. This is my bio. I can edit it later!
- 0 featured lenses
- Winner of 2 trophies!
- Top lens »
Feeling creative?
Create a Lens!
