Lifestyle Communities is on YouTube too.

Lifestyle Communities, one of Central Ohio's top builders, has it's own YouTube Channel just like me. To watch, go to www.YouTube.com/LifestyleCommunities.

And to watch my YouTube Channel, go to www.YouTube.com/HamiltonHomes

(video above posted by YouTube user LifestyleCommunities)

Dan Hamilton
Keller Williams Greater Columbus Realty
www.HamiltonHomesGroup.com

Paying Off Your Mortgage Faster

There is a good article on Inman News today, posted by Robert J. Bruss. His article is about bi-monthly mortgage payments versus the good ol' fashioned once-a-month payments. I'll copy and paste it here:

DEAR BOB: I have frequently heard if your mortgage calls for monthly payments, you can make a significant interest savings if you pay twice monthly. For example, my mortgage payment is due on the first day of each month. I would like to pay half of my monthly payment 15 days before the due date and the remainder on the due date. But my lender says the only way I can do this is through a third-party company, which will then charge me a sign-up fee of several hundred dollars plus a monthly fee. If I just pay the lender twice a month doesn't the lender have to accept my payments and credit my account when received and then calculate the interest based on my payments? --Arthur L.

DEAR ARTHUR: No. You've been hanging around with the wrong crowd. When you obtained your home loan, you agreed to pay monthly payments due on the first day of each month with a grace period of a few days. The lender does not have to accept any payments less than the full amount due each month.

The plan you describe is called a biweekly mortgage. A few lenders offer these mortgages, but they have not proven to be popular.

There are some third-party companies that, for a hefty fee, will deduct from your checking or savings account half of your regular principal and interest payment on the first day of each month and the other half on the 15th day of each month.

The result is the equivalent of making 13 monthly mortgage payments every 12 months, thus shortening your mortgage's life by about seven years and saving substantial interest.

However, you can do this yourself at no extra cost. Just divide your monthly mortgage principal and interest payment by 12 and add that amount to each regular mortgage payment.

For example, if your principal and interest payment is $1,200, dividing by 12 results in $100. By adding $100 extra principal payment each month (which the lender must accept), you accomplish the same interest savings as a biweekly mortgage.


Dan Hamilton
Keller Williams Greater Columbus Realty
(614) 944-5936
dchamilton@kw.com
www.HamiltonHomesGroup.com

Did You Know? Buyers Don't Pay To Use A Realtor

Watch Video #1: Buyers Don't Pay a Realtor. It's FREE!


Watch Video #2: What's Next Then?

Dan Hamilton
Keller Williams Greater Columbus Realty
(614) 944-5936
dchamilton@kw.com
www.HamiltonHomesGroup.com