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Today we are here with David Bowen of Wintrust Mortgage, who is here to answer a recent question I got from a client, who asked “How should I aggressively pay off my mortgage?” Dave has the answer, and he’s here today to explain the process you should follow.
Everyone wants to shorten that 30-year mortgage term as soon as possible. To make sure you are financially capable of paying off that mortgage aggressively, you need to ask yourself a few questions. The first one is “Are all my credit cards paid off?” The lower the debt you have, the more you can aggressively pay down that mortgage balance.
One thing you’ll also want to make sure you have before you start paying down that mortgage heavily is some emergency funds. You want at least 6 months of reserves to cover all your household expenses.
One simple way to cut a huge amount of time off your mortgage loan is by making one extra payment a year. If you make thirteen payments a year instead of twelve, you will chop off about 8 years on your mortgage.
As long as you have the things above covered, you should be able to aggressively pay off that mortgage and pay if off as soon as you can.
If you have any questions about your mortgage or how you can pay it down quicker, give David a call at (708) 705-7911. If you have any questions for us, don’t hesitate to give us a call or send us an email. We look forward to hearing from you!
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