How to pay off your mortgage faster
The fastest lever most homeowners control is extra principal. Every dollar you pay above your required payment goes straight to the loan balance, which shrinks the interest charged next month, and every month after. Because mortgage interest compounds on the remaining balance, small, consistent extra payments early in the loan have an outsized effect, often cutting years off the term.
Extra principal payment calculator, how it works
This tool first computes your standard fully-amortizing payment from your balance, rate, and remaining term. It then runs two schedules side by side: the baseline (standard payment only) and the accelerated (standard payment plus your extra amount). The difference in total interest and in the number of months to reach a zero balance is your savings.
Biweekly mortgage payoff
A popular trick is paying half your monthly payment every two weeks. Because there are 52 weeks, you make 26 half-payments, the equivalent of 13 monthly payments a year instead of 12. That one extra payment annually behaves just like the extra-principal amount in this calculator: enter roughly one-twelfth of your monthly payment as the extra to approximate a biweekly plan.
Mortgage payoff vs. invest
Paying off the mortgage early is a guaranteed return equal to your interest rate. Investing the same money might earn more over the long run, but with risk and no guarantee. A reasonable rule of thumb: if your mortgage rate is higher than the after-tax return you confidently expect from investing, extra payments win; if it's much lower, investing usually does. Many people split the difference and do both.
Is it worth paying off a mortgage early?
It depends on your rate, your other debts, and your goals. Paying early saves guaranteed interest and brings peace of mind, but it also ties up cash you can't easily get back and may mean missing employer 401(k) matches or paying down higher-interest debt first. Keep an emergency fund, capture any retirement match, clear high-interest debt, then consider extra mortgage principal. This calculator gives an estimate; it doesn't account for taxes, PMI removal, or refinancing.