San Joaquin Homes Community Blog

·      Homeowners not wanting to refinance into a new 30-year loan, because they plan to pay off the house in full, should consider making biweekly payments rather than monthly mortgage payments.  Sending in half the monthly payment every two weeks instead of once a month will cancel out years of mortgage payments later on because it speeds up paying off the principal.  A homeowner who makes biweekly payments on a $500,000, 30-year, fixed-rate loan with a 6.5 percent interest rate would shorten the loan by five years and pay $150,000 less in interest over the life of the loan.