All the best of the season!

All the best of the season to you and your families.  May the coming year bring you much joy and prosperity, and may we always remember to be thankful for the many blessings we have in our lives.

Talk to you in 2012!

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Five Ways to Pay Your Mortgage Off Faster

Looking for tips on paying off your mortgage in the shortest amount of time?  For most of us, paying off our mortgages as quickly as possible is a priority. 

Here are some simple ways to pay down extra principal early on.  This will shorten the life of your mortgage and reduce the amount of interest you'll pay over the years.    

1. Round your payments up – this little extra adds up over time. 

2. Pay a lump sum whenever possible.  Use your tax refund, your annual bonus, or if you're lucky enough to get one, an unexpected cash gift, and put the money against your mortgage.  Most lenders allow you to pay up to 15% - 20% of your mortgage amount each calendar year. 

3. Increase payments when you get a raise.  Most lenders will allow you to increase your payments, and again, you are typically entitled to increase them by 15 - 20% per year.  Take advantage of their flexibility!

4. Make bi-weekly payments – you'll end up paying more toward the principal each year.  If you start doing this from the beginning, you can pay your mortgage off years sooner.  Not only that, but if you are paid bi-weekly, it makes your life simpler too!

5. Keep payments the same when mortgage rates have fallen.  This is applicable both in a variable rate scenario and when your mortgage is up for renewal and the interest rate has dropped.  Keeping your mortgage payments the same as before can save you thousands of dollars in interest. 

For inspiration, check out this article on Moneyville.ca - in which the author describes how he and his wife paid off their mortgage in three years.  Aggressive?  Definitely.  But, it does show that if you're disciplined and motivated, you can pay off your mortgage earlier than you think.

If you would like help with your specific mortgage question, don't hesitate to call or email me!

~ Powered by Mortgage Intelligence

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Home and Mortgage Essentials - December 2011 Issue

Did you know that Canadians are responsible for almost 25% of foreign purchases of U.S. property? It's not the first time I've talked about the fact that more and more of us are taking an interested look at the bargains available in those warm locales to the south. If you're thinking this might be for you, make sure you talk to specialists in cross-border taxation, local real estate experts in the location you're considering, and of course, a mortgage specialist like me if you are looking for advice on financing your purchase. 

The December issue of our monthly newsletter touches on this and more. Click on the image at left to check it out!