Sheri  Smith

Sheri Smith

Sales Representative

iPro Realty Ltd., Brokerage

Mobile:
519-938-0004
Office:
519-940-0004
Email Me

Pay Down Your Mortgage #3

#3. Put extra money towards your mortgage payments. Lets say you get an income tax refund, bonus at work, x-mas or birthday money. Instead of using the money to purchase something, if you don't have any other debts to pay off, put the money on your mortgage. You won't feel the impact on your budge because the money was un-expected. If you make an RRSP contribution every year, try increasing your contribution and when you get your tax refund, put the extra towards your mortgage. 

Here's an example on how "paying down your mortgage" can help you.  A one-time payment of $5,000 on a $250,000 mortgage at 3.75 per cent over 30 years will decrease your mortgage amortization by over 12 months. Whoot, Whoot, that's one year of savings.

 

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