Another place that people are losing money that you may not even think about is when it comes to your mortgage. Yes, people, it’s so normal just to get a 30-year mortgage and go about your day and not even think about it. Do you know how much money you’re wasting when it comes to payments and interest, and all of that, versus getting a 15-year? So, what I did is, I went into my Facebook group and I asked some of you questions, and in my YouTube community, because I wanted to test your smarts when it comes to paying your house off early and it was very interesting. So, according to the Census Bureau, the average mortgage payment is $1,030. Now, if you invested that money instead of paying it to the bank, how much could you have in 15 years? Let’s see what you said. Oh, interesting, 34% of you got it right. The correct answer is $475,000. Mm hmm, you heard me right. Almost half a million dollars you if you didn’t have a mortgage payment and you invested that.
Half a million dollars, amazing next question is, if you had a 30-year mortgage but made one extra mortgage payment every three months, how much earlier could you have a paid-for house? Alright, this one was a little bit trickier, but most of you thought the answer was five years, but it’s actually 11 years. , 11 years. That’s the difference of looking like this when you have a paid-for house or looking like this. If paying an extra full mortgage payment doesn’t work in your budget, then just simply switch to paying half of your mortgage bill every two weeks instead of just once a month and you can still pay off your home eight years faster. Isn’t that crazy? Alright, final question is, the average price of a home in America is $268,500. Now, if you got a 15-year instead of a 30-year mortgage at the current interest rate, that’s 4.5%, which of these things could you buy with the money that you would have saved?
A: A designer handbag every six months for 30 years. B: A nice beach vacation for your family for the next 30 years. Or C: A water jet pack. Let’s see, oh, everyone got this one right. The answer is any of these, yes! If you just got a 15-year instead of a 30-year, you would have saved a $120,000, amazing and I actually got a couple of other funny responses when it comes to this. One of you said, “Probably as big as any rental property or a lot of shoes. I’m kidding—kind of.” Someone else said, “An early retirement.” Yep, that’s what I’m talking about. Amazing and you know what? If your mortgage is stressing you out, there is no shame in considering just downgrading or even selling your home. The cash you could make could really set you up for success in the long term and if you use one of our trusted professionals that I recommend, you could get almost $5,000 more at closing than with another agent. So, remember once you own your home, you , you have a paid-for house and it’s now an asset that’s 100% yours. That really contributes to your net worth. You’re no longer paying the bank, you are paying you and your future.