If you are one of those fortunate people that are able to pay down a mortgage early, you should check your mortgage documents to make sure you don’t have a prepayment penalty. Few new mortgages have this feature, but some older home loans still require borrowers to pay a fee if they retire their loan before the final payment is due. The DiMora Team are real estate experts in the Novi and Northville neighborhoods and we know if you only pay off $10,000 or $20,000 of the balance with an extra payment you will shave years off the loan and save money on interest. Each time you have an unexpected windfall such as a bonus, a cash gift or a tax refund, you can do the same to accelerate your loan payoff. Check out below for what sold in Island Lake Arbors in May 2015:
26665 Island Lake Drive, Novi: 3 bedrooms, 3.1 bathrooms, 3,154 total sq. feet, 2 car garage, Sold Price: $342,500
Paying off your loan early can free up the money you’ve been spending on your mortgage, but remember that you’ll still need to budget for property taxes and homeowner’s insurance while you own your home. For more information on Island Lake Arbors, or similar Northville or Novi neighborhoods such as Blue Heron Pointe, Edgewater and Country Club Village, contact The DiMora Team today at 248-505-7728 or firstname.lastname@example.org.