The author of the book The Millionaire Next Door suggests that if you give up smoking and save the money you have been spending on smoking you can save a very nice amount of cash in your life time. If you invest the money into tobacco stocks you probably will become a millionaire. Now that is what I call a good tip. So I have gone to my tip book to give you some good ideas.
If you have or are considering a $350,000 mortgage, and your choice is a 30 year fixed, I have a better idea for you. If you think you cannot afford a 20 year fixed let me show you how easy it is. Save $85 a weekend out of the normal hundreds of dollars you generally spend and you can afford a 20 year fixed. You will save almost $250,000 in payments you won't have to spend because you will be cutting 10 years off the life of the loan.
Many people have subscribed to the idea that bi-weekly mortgages will save them years of payments when in reality a bi-weekly mortgage simply means 13 payments a year instead of 12. The extra payment is the secret, not the way you make the extra payment. In fact, you will do much better by making 2 payments in the beginning of the year because you are paying down the principal, and each subsequent payment during the year will have a larger principal payment and a smaller interest payment.
These are just a couple of ideas that will save you money. We have many more so call us at Manhattan West 949-5553 or write to me @MortgageMinuteGuy.com. We will help you save money and shorten your amortization. We find these are not mutually exclusive goals. Remember time is money so contact us soon.