subject: Real Estate Tip - How Can You Save Thousands Of Dollars Per Year [print this page] Real Estate Tip - How Can You Save Thousands Of Dollars Per Year
If you have decided on what property you are going to buy and have already paid the down payment so that you can move in, the problem now lies on paying your house monthly and how this can affect your mortgage payments in totality.
This is something that nobody would surely have told you about when it comes to paying your mortgage.
Braise yourself and get ready for this. What if I tell you that you can add up a total of 1 month's worth of mortgage payment just doing this tip without adding any money at all?
Let's say your monthly payment is $1,000 for your house and your yearly payment for the mortgage will be $12,000 ($1,000 x 12 months).
With this small effort on your part you will be adding $1,000 to your mortgage payment every single year with simply doing this.
If you notice there are 12 months in 1 year and if you count it up there are 52 weeks in 1 year. This simple thing that you must do is simply divide your monthly payment in two. Therefore, instead of paying $1,000 in 1 month, you will pay $500 twice in a month. That is an extra $1,000 into your payment. If you are going to calculate you are still paying $12,000 in total for 1 month but in reality you are paying a total of $13,000 for your mortgage. 52 weeks divided by 2 weeks is 26 weeks. So, in a year you are going to pay $500 for 26 times which is equivalent to $13,000. It's not bad right? See? That is how simple it is and easy to do.
However, the question here whether you are going to keep it up. You must discipline yourself and remember to pay your monthly mortgage twice a month and do it generously. Do not even attempt to default in payment. This will ruin the whole idea since you will be given penalty for that and another money you lose out in the open, just because you are not disciplined enough and mindful to pay your obligation on time.
Remember, in order to fully enjoy, 1 month's worth of mortgage all paid up by paying your mortgage twice a month, you must not incur any default payments even once for 1 whole year. What's a little sacrifice, if it means lowering down your mortgage every single year without having pay penalty due to being late which the money could have been used to pay for other bills or debts that you do have?
All it takes is discipline to pay your monthly mortgage twice a month and never be late in paying it.
