To pay off your mortgage 5 years faster in Canada
To pay off your mortgage 5 years faster in Canada, consider these strategies:
Increase Your Monthly Payments: Making extra payments, even small ones, can significantly reduce the loan term. Opt for weekly or biweekly payments to make more payments each year.
Make Lump-Sum Payments: Many mortgages allow you to make lump-sum payments (e.g., from a tax refund or bonus) to reduce the principal, which can shorten the loan term.
Refinance for a Shorter Term: If you can afford higher monthly payments, refinancing to a 15-year term instead of a 25 or 30-year term will pay off your mortgage faster.
Round Up Payments: Round your monthly payments up to the nearest hundred or even a bit more. This can shave years off the mortgage without a major financial strain.
Make Extra Payments on Interest-Only Periods: If your mortgage has an interest-only period, making principal payments during that time can help reduce the loan balance faster.
These actions will reduce the amount of interest you pay and shorten the length of time it takes to pay off your mortgage.
