Hayes Realty Group

John J Hayes Always stay on "PAR" with your real estate needs Serving Sacramento, Folsom, El Dorado Hills, El Dorado County      Friday July 21st, 2017

Contact John 530-306-3316

Folsom-El Dorado Hills, Extra Mortgage Payments Equal Big Pay-Offs

said January 20th, 2012 John Hayes


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You’ve probably heard that making an extra mortgage payment per year is a good thing. But how good? Will it really make a big difference in your financial future?

In most cases, YES! Any extra payments made to your loan will 1) cut the length of the mortgage and 2) cut the amount of interest you pay over the life of the loan. You will build equity faster, which will also make you more appealing to future lenders.

Consider this: for a 30-year loan of $200,000 at 5%, your monthly payment may be approximately $1,074. Making an extra payment per year, you typically could pay off your mortgage 4 years and 9 months ahead of schedule, while saving about $35,000.

To calculate your actual payment information, use our Mortgage Extra Payment Calculator on our website here: www.maecapital.com

Before you decide to make an extra payment, though, consider how else you might use this money. For example, if you have unsecured debt in high-interest credit cards, you may choose to attack that debt first. Also, it may be wise to make sure you are taking advantage of any “matching” benefits that you have with your 401k before you consider extra mortgage payments.
If you have decided that making an extra payment is the way to go, but can’t afford to plop down one whole payment, consider breaking your extra payment into 12 monthly chunks.

You are still getting the benefits of making an extra payment, just in smaller, more manageable bites.

Paying off your mortgage early through one extra payment per year is a smart financial move, but be sure that you’ve paid off your highest interest loans first and fully funded any matching retirement accounts. If you decide to pay monthly, or make one extra large payment per year, be sure to ask your lender how to make extra payments so they will reduce the principal amount on your loan. This extra payment can dramatically reduce your repayment period and save you a lot of money over the life of your loan.

Thanks for reading this, John J Hayes.

John J is a Real Estate Agent at RE/MAX Gold.

Phone: 530-306-3316. [email protected].

“Hard Work and Dedication”

View My homes for sale at www.johnhayesrealestate.com/home-search.

John Hayes specializes in loan modification assistance and short sales in El Dorado Hills California. El Dorado Hills Loan Modification Help, El Dorado Hills Short Sales. El Dorado Hills Short Sale Realtor. Sacramento CA Loan Modification Help, Sacramento CA Short Sales. Sacramento CA Short Sale Realtor. Folsom CA Loan Modification Help, Folsom CA Short Sales. Folsom CA Short Sale Realtor. El Dorado Hills CA Short Sales. El Dorado Hills Realtor.

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Important Notice

John J Hayes, RE/MAX Gold, and the Stop Foreclosure Institute are not affiliated in any way, shape, or form with the government. Our services have not been reviewed or endorse by the government or your lender. Most lenders willingly work with agents on short sales. Why?

Because most short sales are beneficial to a lender. If you accept our offer to help you on a short sale, your lender may not agree to a short sale or to modify your loan. We do offer a loan modification kit.

However, the likelihood of negotiating a modification is like everything else in life. It takes work and persistence to convince your lender to modify your loan. No matter what you or we do, your lender may not approve a loan modification.

We do not recommend that you stop paying your mortgage, because this will cause damage to your credit and could cause you to lose your home. Because we know avoiding foreclosure is so important to any homeowner, we recommend that you speak with the appropriate legal or tax advisor before making any decision.

This is not intended as legal, technical, or tax advice. Please speak with a licensed professional before making any decision. Information is deemed reliable but not guaranteed as of the date of writing.

You have the option to reject a short sale or loan modification from your lender if it does not meet your approval. If you decide not to go thru with the short sale, then you do not have to pay us our fee. We normally make a real estate sales commission for helping you on a short sale.

The views expressed here are John J’s personal views and do not reflect the views of RE/MAX Gold.

This information on El Dorado Hills Short Sale Question: I am current on my mortgage; will my lender consider a Short Sale? is provided as a courtesy to our viewers to help them make informed decisions.

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