This week, we’re diving into four valuable strategies on how to pay your home loan off faster.
With a little effort and savvy financial planning, you can significantly reduce the term of your mortgage and achieve financial freedom sooner than you think. Let’s get started!
Tip 1: Pay Weekly, Not Monthly
If you’re currently making monthly mortgage payments, consider switching to weekly payments. Why? Well, there are 52 weeks in a year, and by making weekly payments, you’ll end up making four extra mortgage payments annually. This simple change can significantly shorten the overall duration of your loan.
Tip 2: Invest in Positively Geared Properties
Exploring investment properties that generate positive cash flow can be a game-changer.
Use the surplus income from these investments to make additional payments towards your current mortgage.
It’s like having your investments work double-time to pay off your debt faster.
Tip 3: Negotiate a Pay Raise
In today’s competitive job market, don’t shy away from negotiating a pay raise with your employer.
Even a modest increase in income can make a big difference when applied directly to your mortgage. Consider using an offset loan to maximize the benefit of these extra funds.
Tip 4: Secure a Better Interest Rate
Take advantage of the competitive lending landscape by revisiting your mortgage provider and negotiating for a better interest rate.
Research and gather information on comparable rates to strengthen your position.
Once you’ve secured a better rate, maintain your payments at their current level to funnel more money into paying off your loan faster.
These four tips may seem small, but their impact on your 25 or 30 year mortgage can be substantial.
By implementing these strategies, you can take control of your financial future and achieve your goal of becoming mortgage-free sooner.
Ready to discuss your unique financial situation and explore personalized strategies?
I invite you to book a strategy call with me by clicking here. Together, we can create a roadmap tailored to your needs, helping you achieve your homeownership and financial goals faster.
I hope you find these tips helpful on your journey to financial freedom. Remember, every small step brings you closer to your dreams. Best of luck, and I look forward to sharing more valuable insights with you next Tuesday.
Regards,
Geoff Tomkins
Buyers Advocate
PH: 0404 852 781
