Re: Mortgage prepayment question

Mike wrote:
> Am I reading this right, that I can knock six months off my mortgage
> right now for $624?
> 
> Thanks for any help,
> Mike

Yes. You are correct as long as you specify the extra money goes to 
principal. If paying the mortgage early is your goal, this is a great 
way to view it. But at you get further down the road, that extra $600 
may only pull you ahead three months, then just 2, etc., as your 
principal ****tion is larger. You discovered one pretty painless way to 
prepay, just pay the next principal ****tion. This cuts the mortgage in 
half and payments only rise slowly over the years.
Joe

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