By replacing your loan with one that has a shorter amortization term (i.e. switching from a 30-year loan to a 15-year loan), you can pay off your mortgage more quickly. This would allow you to pay off the loan earlier and reduce your total costs, but increase your monthly payments.
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Another option
What many people forget is that they could achieve the same effect with a 30 year loan by increasing the payments they make every month by a small amount.

This pays off the loan more quickly but doesn't incur the expense of refinancing, and doesn't lock you into the higher monthly payments.

What would happen if you lost your job? With a 15-year mortgage you would have no flexibility. If you had voluntarily increased your payments on your 30-year loan, you could drop back to the minimum payments anytime you want.

You do need to be careful of not paying so much extra each month that you would incur a prepayment penalty, if your loan has one.



1 . Reduce Interest Costs.

2 . Reduce Monthly Payments.

3 . Reduce Your Risk.

4 . Payoff Your Mortgage Faster.

5 . Use Your Home's Equity to Borrow More.


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Heartland Mortgage Corp
1-866-207-5195