Have you ever looked at your mortgage statement and saw the "Number of payments 360" and "Payoff Date: 2044." If you want that payoff date to be sooner here are some refinance options to consider.
Refinance Into a 15-Year or 20-Year Loan
A 15-year loan isn't double the payment of a 30-year loan and a 20-year loan is not two-thirds of a 30-year loan. While it is true you'll pay more, it doesn't calculate out that way for monthly payments, so it will not be double.
Refinance into a 30-Year with a Lower Interest Rate
If you can't afford the higher monthly payments on a 15- or 20-year fixed, then refinancing into a 30-year fixed loan at a lower rate is a strong second choice. Here's why. With a new lower interest rate and lower monthly payment, you can continue to make the same monthly payment you were previously making at the higher rate. The "extra" money you are paying will be applied as an extra principal payment to the loan. This effectively accelerates your payoff date.
A mortgage advisor will review your situation and provide some monthly payment savings solutions.
Our most popular loan options for paying off your mortgage faster