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If you make one extra payment a year on a mortgage, you'll take a 30-year mortgage and you'll pay it off. Depends
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on the rate. >> One of the things couples get wrong is waiting too long to pay off the
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mortgage. What do you mean by that? Should I pay off my mortgage or should I go invest in the stock market?
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>> What's the rate on your mortgage? That's the first question. Then you'd say,
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"Well, David, I got a mortgage 5 years ago and it's 2 and a half%." And I'd
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say, "Okay, well that's a really low rate, Stephen. You know what? You can
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put the money in a money market account right now and make more than that. So maybe you don't need to rush to pay it
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off as fast as possible. But if you've got a mortgage that's six or seven or
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eight%. It's a no-brainer. If you make one extra payment a year on a mortgage,
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you'll take a 30-year mortgage and you'll pay it off, depends on the rate,
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five, six, seven years sooner. It's actually really simple. Here's ways to
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do it today. You don't even need calculator. You just run the question. You put in your mortgage. You tell
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Gemini, here's the size of my mortgage. Here's my mortgage payment. If I make an
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extra payment a year, how many how many years faster will I pay it off and how much will I save? And you'll see the
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number. When people see the number in black and white, they go, I've got to do
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that. Now, here's the key. Make that payment automatic. The easiest way you make your payment
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automatic is either make one extra payment at the end of the year or take your mortgage payment and increase it by
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10%. So if your mortgage payment is $1,000, make an $1,100 a month mortgage payment and tell the bank you want to
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add that to the principal. When people do that, they need to make sure though that money is actually paying down the
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principal. And another way to do that is a bi-weekly mortgage payment plan where
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you take your mortgage, you split in half, you pay half every two weeks.