Eliminating Mortgage Debt

Tagged again but with an interesting twist!

I have been tagged by Stubsy of Financial Independence to give you 8 Random facts about the subject of my website:
Eliminating Mortgage Debt.

Rules
1. Each player must post these rules first.
2. Each player starts with eight random facts about the subject of their website.
3. People who are tagged write their own blog about their eight things and post these rules.
4. At the end of your blog choose eight people to get tagged and list their names.
5. Don’t forget to leave them a comment telling them they’re tagged, and to read your blog.

Eight Random Facts About Eliminating Mortgage Debt

1.Start making payments as soon as the loan is approved, before the settlement date. If you can make a full payment on or before settlement date this can save thousands of dollars. It reduces the principal amount from the start.

2. Make sure you will not be penalised for paying out the mortgage early. Check the fine print to avoid fines and hidden fees for extra payments.

3. Negotiate the lowest possible interest rate on your mortgage with interest rate calculated daily. Ask lenders if you are eligible for a professional package. The reduced interest rate in these packages can save you thousands of dollars over the life of a loan. Shop around and see where you can get the best deal.

4. Make weekly - fortnightly payments off your mortgage.

5. Do you really need the bells and whistles type mortgage? All those extras cost money and often have extra fees attached. Get a simple mortgage that you can understand. Know EXACTLY how much you are paying in hidden costs.

6.Pay bonus payments, unexpected income, eBay money, winnings and any other irregular income straight off your mortgage. Set up automatic payments into your account.

7. Pay extra off you loan in the first few years. This is when most of the payment is directed to paying interest. Any extra you pay will reduce the principal immediately.

8. Use online calculators to see the impact of making extra payments, increasing payments. Calculate how much your mortgage is REALLY going to cost you in time and money if you only make the minimum payments. Take the time to crunch the numbers each month and hopefully it will shock you into action!

I will have to tag later as I am running out of time. Leave a comment if you would like to claim a tag.

The only other thing I would add to this list is to make a decision to Just Do It! Do whatever you have to do to keep focused and stay on track. For me that is blogging.

Focus! Focus! Focus!

* A quick update on the eBay coin auction : now over $205 and still 24 hours to go!!!