Do you desire to clear your home loan as quickly as possible? If so, the following are ways to pay off your home loan faster.
- Focus on the owner occupied debt first, ignore investment debt until a later date
- Weekly or fortnightly repayments will pay your loan off faster than monthly repayments
- Having an offset account linked to your home loan and having your salary credited to the offset account will save you thousands
- Have principal and interest repayments on the loan
- Pay over the minimal monthly repayment each month
- If interest rates drop, continue to make the existing, higher payment
- Use your tax refund each year to make a lump sum payment in to the loan
- The quicker you reduce the loan balance, the lower the amount of interest charged and the faster you will start to pay off the principal
- Review your loan regularly to ensure you are on an appropriate loan and are being charged an amount of interest that is not above market rates
