How Extra Payments Crush Mortgage Interest
In the early years of a mortgage, the vast majority of every payment goes to interest. Extra principal payments attack the loan balance directly, which compounds the savings — every dollar you pay early is a dollar that no longer accrues interest for decades.
The Coffee Money Strategy
Adding just $100–$200 per month is enough to take 4–7 years off most 30-year mortgages. That is the cost of a daily coffee or one streaming bundle. The lifetime savings are usually $40,000–$100,000 depending on rate and balance.
One Extra Payment Per Year
Making 13 monthly payments instead of 12 — by adding one extra payment around tax-refund season — can shorten a 30-year loan by roughly 4 years. It feels painless because the extra payment is annual, not monthly.
Biweekly Payments
Switching to biweekly payments (half your monthly payment every two weeks) results in 26 half-payments per year, which equals 13 full payments. Confirm with your servicer that the extra goes to principal and that no fee is charged.