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I just bought a new home

I want to pay off my home in 10 years or less my mortgage will be 523.00 how much extra would I have to put towards the principal to make it happen.

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wwjd2007

Asked by wwjd2007 at 10:34 AM on Dec. 25, 2010 in Money & Work

Level 6 (142 Credits)
Answers (9)
  • It depends on your interest rate.... Congratulations by the way and Merry Christmas.
    older

    Answer by older at 10:35 AM on Dec. 25, 2010

  • Thank you so much and merry christmas to you too.
    wwjd2007

    Comment by wwjd2007 (original poster) at 10:44 AM on Dec. 25, 2010

  • Click on the following question and put in the amount of your existing mortgage now.  I hope it helps you. 


     


    How Much Are My Payments?

    musicmom08

    Answer by musicmom08 at 10:49 AM on Dec. 25, 2010

  • thank you
    wwjd2007

    Comment by wwjd2007 (original poster) at 10:56 AM on Dec. 25, 2010

  • I would just pay double, BUT make sure you tell them every month that you want the extra applied fully and directly to your principle.
    Anonymous

    Answer by Anonymous at 10:57 AM on Dec. 25, 2010

  • Congrats! I see someone gave you a link to a calculator but wanted to tell you that bankrate.com has some great ones also that give you a place to put in what you want to pay extra per month, or how many extra payments per year to show exactly what it will take.
    Jessica157

    Answer by Jessica157 at 11:39 AM on Dec. 25, 2010

  • Congratulations! Like Anon said, make sure that every time you make a payment, you specify that any extra goes to principal, and make sure the payments are processed correctly. Many banks apply any extra either to the next payment, or to interest, unless you are very clear that the extra goes to principal.
    JulieJacobKyle

    Answer by JulieJacobKyle at 2:29 PM on Dec. 25, 2010

  • The pp anon is right. Make sure it goes towards principle and not future payments.

    That's so awesome that you have a home! And it's even better that it will be paid off in ten years!

    Congrats!
    Erica_Smerica

    Answer by Erica_Smerica at 9:47 PM on Dec. 26, 2010

  • It'll be determined by the cost of the home. If you would have normally taken out a 30 year mortgage, you'd have to pay approximately 3X your usual mortgage rate to pay it off in 10 years.
    HotMama330

    Answer by HotMama330 at 12:02 PM on Dec. 27, 2010

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