Don and Lynn just purchased their first home. Don is a small business owner and Lynn stays home with their three small children. This is Don and Lynn’s first home, and with nearly 3500 square feet, 5 bedrooms, 4 baths, this two-story is a heck of a first home! Don and Lynn were able to put good money down and got a screaming interest rate on their home.
Don and Lynn understand the power of compound interest, and especially the power of compound interest working against them for 30 years, and they decide to pay off their mortgage by prepaying $175 extra per month. That comes up to $2,100 per year. That’s a good chunk of change, but when you put those numbers in the prepayment mortgage calculator, you will be amazed at how much Don and Lynn will save when they apply that to their mortgage each and every month.
- Don and Lynn
- $175 extra per month
- Total Savings: $92,366.01
- Years Saved: 5.7 years of mortgage payments saved.
Don and Lynn would save nearly $100,000 for just $175 per month and would pay off their mortgage nearly 6 years early. Don and Lynn save very good money by investing in their home and paying off their mortgage early.
How much would you save?
