10 years and 2 months from now my husband and I should be mortgage free. We recently refinanced our beach home from a 15 year fixed mortgage at 4.5% to a 10 year fixed at 3.5% (Note: interest rates on second homes are typically higher than on primary residences.) In the next month or so we also hope to refinance our primary home. That mortgage will shrink from a 15 year 4.5% mortgage to a 10 year mortgage at only 3.0%!
My birthday is in August, so if all goes according to plan I will be mortgage free one month after turning 45!
Now I realize that nothing in life is guaranteed, that anything can happen and that we certainly should NOT count our chickens before they hatch, but I can’t help but smile at the thought of being mortgage free in just 10 years.
3 thoughts on “10 Years and Counting Til We’re Mortgage Free”
Have you looked at the amortization schedule to see if you can cut it even shorter by paying an extra principal payment each month? If I pay an extra $55 a month on ours for a year, that will shorten ours by 4 years. I also sock my husbands overtime to it, and so far have shortened ours by 7 years.
Actually we were previously overpaying our mortgage. With the refinance we probably won’t overpay anymore. The rates are so low I think it’s best to try to save and put money elsewhere. At least that’s what I think for now. A few years from now I might very well change my mind. Thanks for the comment, it’s definitely something to keep in mind.
Here is a few tips you may want to take on board Frugal. As your mortgage is reducing make sure you are no OVER INSURED on you mortgage protection policies. This could be viewed as a waste of money. Also don’t over insure your property. A house never burns to the ground. Rebuild costs are not as high as you think.