Looking to pay off your mortgage faster? Prepayment privileges will help you do so in the cheapest way possible! ⬇️
A prepayment privilege is the amount of money you can put towards your closed mortgage on top of your regular payments, without having to pay a prepayment penalty.
Your prepayment privileges allow you to:
1. Increase your regular monthly payments by a certain percentage.
2. Make a lump sum payment towards your total mortgage amount by a certain percentage (typically once a year).
•Prepayment privileges vary from lender to lender and can be found in your mortgage commitment.
•If your lender allows prepayment privileges, it’ll typically be 15/15% or 20/20%, meaning you can increase your monthly payments by 15% and/or deposit 15% towards your total mortgage amount (typically annually).
Want to learn more about a mortgage with prepayment options? Let’s connect today!✨
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