Repay the Loan Faster and Save

Written by Posted On Friday, 26 March 2021 01:19

Do you want to learn how fast you can pay off your mortgage with extra payments? Use an authentic mortgage calculator with extra payments to make a foolproof plan to pay the debts as fast as possible. You can use this additional payment calculator to know the exact amount of loan/payment for different occurrences. With the help of the results, make payments monthly and then examine your principal balances using payment, a total of all payments, and total interest paid.

What Is A Mortgage Calculator With Extra Payments?

It is an online calculator that allows you to enter your mortgage details and the initial cash flow with extra monthly payments that overlap with your monthly payments. Even though it is a simple, standard mortgage calculator, you can even use it to know how much money you can save by making regular payments.
Since an average home loan can cost you between 25-30 years, it is a very long time to be giving regular repayments and its added interest. A mortgage calculator is a reliable option that significantly helps reduce the overall span of a mortgage and its incurred extra fees. All you have to do is add some relevant information and let the calculator do the work by showing you how much you can potentially save on mortgages.

How Does A Mortgage Calculator With Extra Payments Work?

This calculator is very easy to use. It asks you to type in some genuine and important data to perform its number-crux. You will be asked to denote the principal amount to be taken out on your home loan. Then, you have to incur the annual interest rate, the additional repayment amount to be made every month, the month of extra payment launch, and any cash flow payment that is to be made at a particular point during the span of the loan.
Though the interest rate is fixed at 4.5 percent annually, it can change as per circumstances, including the loan term and the frequency of repayments. Know that the interest rate remains unaltered under all situations.

The Calculator

    • Basic data

      Home Value

      Mortgage Amount

      Interest rate

      Amortization Period

      Mortgage start date



    • Accounting method





    • Taxes insurance PMI and HOA

      Property Taxes (yearly)

      Insurance (yearly)

      PMI (yearly)

      HOA (yearly)



    • Extra payments


      One-time yearly

      For each payment

How to Use a Mortgage Calculator with Extra Payments?

To fill out the calculator boxes accurately, refer to your recent monthly statement. In the loan term option, enter the number of years for which the home is funded. In the mortgage amount, fill out the loan amount from the closing disclosure document. In the interest rate box, enter the interest percentage, and in additional monthly loan payment, write how much do you still owe using a recent monthly statement.

Uses of Mortgage Calculator with Extra Payments


Pay Off The Mortgage Early And Conveniently

Most of them have extra payment functionality. You can use the feature to find out how much you can reduce the loan term and save some extra bucks on the interest rate by paying more towards your loan's principal amount every month, every year, or every week.

Know The Mortgage Payment More Comprehensively

Your mortgage payment is basically your principal and interest amount in the mortgage calculator with extra payments. When you give out extra on your principal money, you decrease the amount of the loan and save more money on the interest rate. Know that you might have to pay for extra costs within your monthly payments, including property taxes, homeowner’s insurance, and private mortgage insurance, etc.

Speed Up The Mortgage Plan

With the help of this calculator, you can get creative and find even better ways to make prompt additional payments on your mortgage loan. Combining extra payments on your mortgage principal balance will allow you to pay off the debt two times faster while saving hundreds and thousands of dollars at once. You can even use the free budgeting tool to know how extra payments fit well in your budget.

Can a Mortgage Calculator with Extra Payments Help Cut Loan Term in Half

Yes. Using a mortgage calculator with extra payments can help you cut down the loan term in half. However, it mainly depends upon how much you can contribute to extra payments and how regularly you can make the payments.

How Far Will It Go?

Some examples
Mortgage Amount Interest rate Amortization period/Months Monthly annuity Extra payment/Monthly Reduced repayment/Months Saved interest/entire period
$200,000 3.375% 360 $884.19 $200 99 $35,920.16
$250,000 3.375% 360 $1,105.24 $250 99 $44,901.46
$300,000 3.375% 360 $1,326.29 $300 99 $53,882.64
$200,000 3.375% 300 $988.00 $200 71 $25,016.66
$250,000 3.375% 300 $1,235.00 $250 71 $31,269.68
$300,000 3.375% 300 $1,481.83 $300 71 $37,522.68
$200,000 3.375% 240 $1,147.00 $200 47 $16,043.01
$250,000 3.375% 240 $1,435.00 $250 47 $20,054.47
$300,000 3.375% 240 $1,721.00 $300 47 $24,066.07

A single extra payment can help you go a long, long way. No matter how small it is, it can work effectively to reduce your loan term and the total amount of interest to be paid. But, the bigger the payment, the more money you will save on your home loan.
The comparison and results given out by the mortgage calculator with extra payments can be used as a reference guide. These calculations depend mainly on the information and statistics provided by the user, along with the preset assumptions. Results are based on fixed interest rates where the calculator does not influence the inconstant interest-rate mortgages.
It should also be taken into consideration that the calculator results do not show the future financial situation of a buyer or work as a determiner of any sort. Independently sourced formal assessment is advised to be done with a professional mortgage broker.

Alternatives To Pay Off Mortgage Early

You have to make extra payments to pay off your mortgage early and fast. However, there are other ways to achieve the desired results. You can:
Add more money to the monthly installments (as discussed above).
Divide monthly principal payment by 12, add it to each monthly payment and make 13 payments instead of 12.
Credit 1/12 of the principal monthly payment into your savings account every month and then use it to give out the 13th payment.
Pay half the amount two times a month by making 26 half-payments, i.e., 13 full payments a year.
Refinance to a short term with a low-interest rate. Here, the monthly payments will be high, and you will be paying closing costs, but the overall interest rate will be significantly lower.


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Jožef Jošt

I'm retired. I earned my retirement as a programmer for banking software. I work for the soul now.

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