If you start to pay more or less toward your mortgage each month than the original payment amount, you can save or add a number of years to the length of your mortgage. Even the difference of just $40 can save you a couple of years or add a couple years to the length of your payment.
If you took out a mortgage loan for $250,000 with a five percent interest rate, for example, you could expect to pay $1,304.12; however, you will have to pay on your mortgage for 32 year(s) and two month(s) instead of 30 years.
DISCLAIMER: There is NO WARRANTY, expressed or implied, for the accuracy of this information or it’s applicability to your financial situation. Please consult your own financial advisor.