Home Mortgage Tips Archives - Page 101 of 229

Did You Know? How Accelerating Your Mortgage Payments Can Help Your Credit Score The tough part might be over after your mortgage has been approved, but it’s still important to keep on top of your monthly payments and maintain a good credit score for your financial future. If you’re currently wondering how increasing your mortgage payments can help your credit outlook, here are some things to consider.

Change Your Payment Schedule

Most people opt for a monthly mortgage payment, which can certainly stretch the budget but is still something that can be maintained consistently. However, what many homeowners don’t realize is that more consistent payments, like a bi-weekly or even weekly payment, can actually pay down the principal that is owed on your home. While this may seem like enough of a benefit on its own, this will also lower the interest you pay on your investment and will mean financial freedom much more quickly!

Make A Lump Sum Payment

Whether you’ve come into an inheritance or received a bonus at work, making a lump sum payment on your mortgage can be a great way of minimizing your interest and improving your overall credit. There are often limitations on the amount of money you can put down, but by adding an additional payment to the amount still owing on your mortgage, you might be surprised by the money savings and the boost to your financial profile.

Limit Your Amortization Period

25 years may be the standard amortization period for a mortgage, but longer is not necessarily better when it comes to your biggest investment. While you won’t want to push yourself too much if your monthly mortgage payment is already high, if you have the financial wherewithal to make a higher payment, it may be worth it for owning your home a little sooner. A shorter amortization period may seem like it will significantly bump your monthly mortgage, but by re-tooling your budget you can get the benefit to your credit score without sacrificing your monthly expenditures.

For many people, it is a month-to-month challenge to stick to their budget and make the monthly mortgage payment, but there are benefits to putting down more than expected. Whether you come into a lump sum amount or want to pay on a bi-weekly basis, extra payments can help to improve your credit and make your investment yours much sooner. If you’re currently in the market for a home, contact your trusted mortgage professionals for more information.

Saving for a Mortgage Down Payment? 4 Tips That Will Help You Get There Faster For most people, the idea of saving more money each month is enough of a burden without having to think about investing in a home. A down payment, however, will require a lot more saving know-how and a lot more in liquid assets in order to be able to buy. If you’re trying to find ways to save a bit more each month, here are some sure-fire tips for raising the extra funds.

Re-consider Your Commute

Outside of rent, there are few things that will cost as much money as owning your own vehicle, so instead of holding on to yours, you may want to consider putting it up for sale. While a vehicle costs a lot in gas, there are also costs for maintenance, insurance and parking that quickly add up. By foregoing this expense, you can easily save significantly!

Stick To Your Budget

It might sound like a silly tip, but actually sticking to your budget can make a big difference in how much you’ll save. While most people have a few rules to live by, writing down every receipt and monitoring the things you overspend on can make a marked impact on your surplus when all’s said and done.

Cut Down On Coffee & Lunch

With the hustle of everyday life, many people run out for coffee or lunch every day and forget that these costs add up over time. Instead of spending $5 or $10 here and there, take your coffee to go and make your lunches at the start of each week. It may not seem like much, but this can easily add up to hundreds in just a short time.

Change Your Phone Plan

Many people think that all of the conveniences that come along with a smart phone are a necessity, but data can come at a high price and it may not be worth paying. Instead of eating a high monthly phone bill, talk to your provider about what deals they can offer you and what you can cut back on. It may seem small at first, but it will add up to a lot by the year’s end.

It can seem insurmountable to try and save up enough for a down payment, but the little things that you spend on each day can easily add up. If you’re currently on the market for a home and are considering your saving options, contact your trusted mortgage professionals for more information.

Recent Articles