How Can You Cut 7 1/2 Years Off Your Mortgage?

Toronto Real Estate Podcast

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Today we want to talk to you about mortgages. More specifically, we are going to talk about mortgage payments, and how you can pay more of your mortgage off in less time.
Over the years, we have found that there is a way to pay your mortgage off much sooner, without putting extra financial burdens upon yourself. The way to do this is by making bi-weekly payments. While you are paying your mortgage twice as often, you are paying half as much. If you make these 26 payments a year, you will be making an extra payment without even noticing it, in your head or in your wallet.

If you make biweekly mortgage payments on a 25-year mortgage, you can actually have the sum payed off in 7 1/2 years, without doing much extra work to get there.
This is a great strategy that we encourage our clients to adopt. It makes financial sense, and doesn't put any more of a burden on you. In fact, it takes a lot of the burden off of your plate, about 7 1/2 years to be exact.
If you're waiting for the market to stabilize, you have been waiting too long. We don't know how long interest rates will stay where they are, but we do know they are historically low right now. Locking in a low rate around 4% today will not only give you more purchasing power in the present, but will save you thousands of dollars in interest over the years.
We are always looking to give you a helping hand in the Toronto real estate market. If you have any questions for us at all, don't hesitate to reach out and give us a call. We would be delighted to help.