The do's and don'ts when paying off your mortgage loan

The Do's and Don'ts When Paying off your Mortgage Loan

Introduction

It is every homeowner’s dream to make their final mortgage payment. A lot of homeowners have questions related to paying off their mortgage faster.

We'll help you understand some of the do’s and don’ts when paying off your mortgage loan.

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List of Do's to Pay off Your Mortgage Faster

1. Check the Terms and Conditions of the Mortgage Company ● Make sure you check the terms and conditions of your mortgage before signing the loan agreement. ● It’s important to check the terms and conditions to see if there are any hidden costs associated or if there is a prepayment penalty.

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List of Do's to Pay off Your Mortgage Faster (contd.)

2. Research Mortgage Refinance Options ● Refinancing your loan can help you pay off your mortgage loan faster. ● Most people look for refinance options for a shorter term, to save money, or to pay off their loan more quickly. ● Be certain that you’re ready to apply for refinancing and then approach the best mortgage lender in MA whom you think can offer a comparatively lower interest rate.

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List of Do's to Pay off Your Mortgage Faster (contd.)

3. Reserve Additional Funds to Put Towards the Principal � It's a good practice to keep aside some additional money with every monthly payment you make. This will ensure that your extra cash won’t be spent on other things.

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List of Do's to Pay off Your Mortgage Faster (contd.)

4. Taxes and Insurance ● Be sure to understand that handling the payments for real estate taxes and insurance are your personal responsibility. ● Mortgage lenders in MA collect the required fees to cover these expenses and they are included in your total monthly mortgage payment. ● If you’re unsure, you should contact your mortgage lender to be sure that the bills are included in your total mortgage payment.

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List of Don'ts When Paying off Your Mortgage 1. Paying More Than You Can Afford ● It’s common for homeowners to want to pay off their mortgage balance to save on interest. However, you need to make sure that the mortgage payment is manageable for you. ● Your decision to pay off your mortgage should not affect your household budget.

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List of Don'ts When Paying off Your Mortgage(contd.)

2. Looking at the Flipside â—? Paying off your loan to cut down on interest is one side of it. You may invest the funds somewhere else which can give you higher returns than using your cash to pay down your mortgage. â—? Never make a decision of this nature without consulting your financial advisor. Explore the other options to maximize your savings.

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Following these simple do’s and don’ts will help you make a wise decision if you want to pay off your mortgage faster. Are you looking for mortgage companies in Massachusetts to refinance your loan? Drew Mortgage Associates, Inc. can help! Drew Mortgage Associates, Inc. is a Boston mortgage lender that can help refinance your mortgage for a lower rate. Call Drew Mortgage Associates, Inc. today!

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DREW MORTGAGE BRANCH OFFICES: Drew Mortgage Associates 196 Boston Turnpike Road Shrewsbury, MA 01545 Phone: 508-753-1656 Website: https://www.drewmortgage.com/

Peabody Mortgage Lenders 1 Mt Pleasant Drive Peabody, MA 01960 Phone: (978) 750-1080

Boston Mortgage Lenders 232 Commercial St Boston, MA 02109 Phone: (617) 523-3060

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