Many of us dream of retiring debt free with a nest egg large enough to sustain us in retirement. Often, this dream involves paying off a home mortgage.
Find out how much interest you can save by paying an additional amount with your mortgage payment. The additional amount will reduce the principal on your mortgage. It will also reduce the total amount of interest that you will pay over the life of the loan. And last, but not least, even small amounts contributed regularly can substantially reduce the "life of the loan" (number of payments you will need to make).
Be sure to look at the payment schedule...
You'll need to check the "Show payment schedule" box and hit "Calculate" to see it. The payment schedule breaks your payment into principle and interest amounts. The number of payments decreases as your addional payment amount increases.
Check out the Results...
The bold answer shows how much earlier you'll pay off that mortgage. It also shows you how much you'll save in interest by paying the mortgage off earlier.
Tips for the astute...
Play with a variety of different numbers. When you apply an additional amount monthly, you may be suprised at how little it takes to make big changes. Not only is the additional amount that you pay important, but also the frequency at which you pay the amount. The magic of compounding makes $100 per month greater than $1200 per year.
Would you like to try this calculator now?
accelerated-mortgage-calculator
Interested in a different financial calculation?
financial calculators
How about licensing this calculator for your website?
online financial calculators
Subscribe to:
Post Comments (Atom)
0 comments:
Post a Comment