Has anyone paid off their mortgage?

[Changiis07]

If so what hacks or tips did you use? How long did it take...

[MTC29]

I've paid off two mortgages (I own two homes) in approx. 23 years. Making one extra payment per year (or adding the equivalent amount of cash (1/12 of a full payment) each month shortens a 30-year mortgage by around five years. Additional payments, which should be clearly identified as being paid to the principle (otherwise the money might be deducted from next month's payment) can further shorten the length of your mortgage.

Owning your home (or homes) outright gives you a feeling of security that is unmatched- it is YOUR home, and not the lender's.

[Changiis07]

Wow 2 homes that's amazing!! Happy you were able to achieve that. I will def be looking into sending more so that I can get rid of it. Thankfully my payment is only 685 but sending more will be smarter

[MTC29]

Not having a mortgage meant that I could accept an early retirement offer. It wasn't planned that way, but the stars aligned, and I retired.

[Changiis07]

God is good! How awesome. I would love to retire already

[maximumpower]

Paid off two.
One took 12 years, the other 7.
Get a good job. Find the best place (location/price/area/neighborhood) that's in your price range.
Make the largest monthly contribution to the principal that you can afford w/o going into debt or starving.
Make it a habit to live simply and thriftily and have a list of priority items. Shop for them at second-hand stores and yard sales, drive used cars.
Its easier than you may think.
Seek out Dave Ramsey for more info.

[Changiis07]

Yes I watch his videos but it feels a bit overwhelming at the moment. You're right though I could be sending way more right now

[maximumpower]

If you can afford to do it, then do it.
Make sure you have emergency fund stashed away first, tho.
Also - make sure the financial institution puts your payment toward the PRINCIPAL. Some conveniently forget to do that.

[jennifer_bloom]

Our house was paid off within 5-10 years but around 60% of the money for paying it off came by selling the property we owned before moving in, we currently have investment properties that are not fully paid off because your taxes are higher when you don’t have active debts so we are delaying paying it off to lower property taxes.

[KatherineJ]

We just bought our new home two years ago, so not even close.

[Drumlin2001]

I've only just got a new mortgage, 29 years. But I plan on making overpayments, ideally want to pay it in 20 years. Even a small overpayment can knock off time and save a lot in interest

[Changiis07]

That's what I'm thinking I need to do send and extra $100 a month they say it helps a ton

[Drumlin2001]

Here in UK the interest rate is going up, I'm OK for next 5 years as have fixed the rate but need to pay off extra before I remortgage in 2027. Unfortunately OH wants to spend on remodelling. Will see how much more I can pay off, probably no more than £200 a month after settling other debts

[Drumlin2001]

But every little helps

[Changiis07]

Yeah I agree every little helps. I also would love to remodel and get new flooring instead of carpet but I also just want to send more

[Drumlin2001]

Whilst it's good to be financially prudent, you also have to enjoy living there. Treat yourself a little but then focus on being thrifty and paying it down

[Avicenna]

It really depends on what interest rate it carries- if it's high, make extra payments over time.

[Avicenna]

If the interest rate is low, you can usually make a higher return with other investments that would also help you diversify your assets.

[Avicenna]

And even if the interest rate is high, you're probably going to re-finance at some point anyway.

[Changiis07]

Interest rate is low but I should be making extra payments and working more

[Avicenna]

If the interest rate is low, you should diversify. I'd look at dollar-cost averaging into dividend-paying stocks, which might pay higher dividends than the interest rate on your mortgage (the return on paying extra on your mortgage is whatever the interest rate is on it).

Now, if you have any debt that has a higher interest rate than your mortgage, e. g., credit card, car, or student loan debt- pay that higher-interest debt off first, especially credit card debt, because the return is higher.

[Changiis07]

My mortgage is my only debt. I paid off my car and I don't like using credit cards

[Avicenna]

Then you should follow my advice about investing in stocks or ETFs. You should also look at precious metals as well.

[Changiis07]

I started buying stocks here at work but not precious metals yet. That would be something to look up

[Avicenna]

You can also do precious metals via a ETF or other vehuiles.

[Anonymous]

I did a long time ago. I worked about a five year stretch with a lot of overtime back over ten years ago, and then paid off the mortgage.

[Changiis07]

That's awesome!!! I rarely take overtime but it's needed if I want to pay mine off

[exitseven]

I paid off my home mortgage about five years ago. Towards the end I was making double payments on the principal and when it was down to about 5K I just wrote a check and paid it off. A year ago I paid off my vacation home I basically did the same thing it is great being debt free.

[Adam1978]

Not yet but soon. It's just consistant high payments. My economy will be vastly different in about two year when I am predicted to be dept free.

[chocomilk99]

Just wanna say hii cuz. Ur dm is locked for some reason

[EmmaMary]

We still have ten years to go.

[In_Trance]

How long is your mortgage?