Making small principal payments significantly reduces paid interest, nevermind large.
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13igTyme@piefed.social 4 weeks agoMaking large principle payments significantly reduces the paid interest.
deranger@sh.itjust.works 4 weeks ago
jj4211@lemmy.world 4 weeks ago
I will say that at least right now in my area, renting is actually a bit lower than the expected mortgage payment for comparable housing. However, that advantage would shift after 2-3 years as rent goes up but the mortgage would have stayed the same.
oyo@lemmy.zip 4 weeks ago
Having an interest rate significantly lower than high yield saving account returns significantly reduces my interest in making any extra payments.
jj4211@lemmy.world 4 weeks ago
Congratulations, though a lot of folks are certainly not in that boat.
meco03211@lemmy.world 4 weeks ago
And the principle and interest can’t change (unless you did something like an ARM). Escrow and insurance might go up, but that won’t remotely pace inflation.