Clever But Simple Ways to Get Your Santa Cruz Home Mortgage Paid Faster

Posted by Lauren Spencer on Wednesday, June 12th, 2013 at 1:01am.

Paying off the mortgage on your Santa Cruz Home faster means that you will not only have the satisfaction of owning your own home sooner, you will also have the benefit of paying much less in interest over the years. The faster you pay off your mortgage, the more money you can save, so here are some tips to accelerate your payment.

Pay Bi-Weekly

Did you know that if you take your monthly mortgage payment and divide it into two bi-weekly payments; you will end up making a full extra month of payments every year? You won’t notice the difference, but over the years this will end up saving you thousands in interest.

Put Any Windfall Toward the Mortgage

Was your tax rebate larger than you expected? Have you received an inheritance from your great aunt Thelma? Have you won a cash prize in a contest? Put any unexpected chunks of cash straight toward your mortgage instead of spending them. This won’t affect your budget at all, because you were never expecting or counting on that money in the first place.

Make a Lump Sum Payment

Most mortgage lenders allow you to make a large extra mortgage payment every year. This can be applied directly to the principal and is a fantastic way to chip away at your mortgage. Take advantage of this whenever you can, even if you can only pay a relatively small amount. Every little bit adds up.

However, keep in mind your particular situation. Spending every last penny paying off your mortgage as quickly as possible might not be the best option for you if you have no emergency fund savings or if you have a credit card languishing with high interest debt. It is important to deal with these more pressing financial issues before attempting to save money on your mortgage.

For more advice on buying a Santa Cruz Home, feel free to contact me at 831.662.6522 or email me at

For additional real estate information, please visit my home page at

Unexpected chunks of cash
emergency fund
bi-weekly payments

About Lauren Spencer

Award-Winning Santa Cruz REALTOR®

Lauren Spencer is your local real estate expert, specializing in Santa Cruz real estate and surrounding communities—this is where she lives, works, and plays too. Let her know your questions about the community and county and she'll be happy to fill you in on all you want to know! Lauren Spencer has consistently been voted best local REALTOR in Santa Cruz and is always happy to offer her advice and expertise. Call her at: 800.226.4717.

Join Lauren On Social Media

Leave a Comment