Pay Off Your Mortgage 2023 | Invest and Save or Pay Off Your Mortgage?
Channel: Financial Madness
Date: 2023-01-01

Pay Off Your Mortgage 2023

Mortgage Rates across the world are on the increase. Looking at the UK, the average mortgage rate has almost doubled in the year 2022, with the average cost of a 2 - 5 year fixed rate deal being around the 5% mark.
As many homeowners face moving off their current fixed rate deals onto what is likely to be a much higher rate mortgage. It begs the question...Should you overpay your mortgage? (Should you pay off your Mortgage Early)

Overpaying our Mortgage (Paying Off Your Mortgage Early) is when you make additional payments, on top of your current mortgage repayment plan. 
The main benefit of overpaying is that any additional money you contribute will be put towards the actual capital in the mortgage agreement, in this case, that would be a property. Compared to the normal repayment plan, the money you pay there is proportionately divided to paying off the capital and also the interest you owe the lender. 

By making these overpayments, the amount of money you owe to your lender will depreciate faster, making sure you own the house faster as well as paying less interest over the course of your mortgage.

Chapter Information (Pay Off Your Mortgage 2023):
0:00 Introduction
0:33 Overpaying Your Mortgage
1:52 What to Consider
4:40 Pros of Overpaying Your Mortgage
7:34 Cons of Overpaying Your Mortgage
8:34 What Should You Do?

🔹 Mortgage Overpayment  Calculator: https://www.moneyexpert.com/news/7-of-homeowners-overpaid-their-mortgage-this-year/

🔹 LTV (Remortgaging Example): https://www.unbiased.co.uk/discover/mortgages-property/ownership-improvements/loan-to-value-ratio-and-your-mortgage

🔹History of Pension Fund Growth: https://moneyfactsgroup.co.uk/media-centre/consumer/pension-funds-and-annuity-income-returns-growth/

DISCLAIMER: Any advice or statements perceived to be advice given in this video and any other videos on my channel are for information purposes only, and does not act as financial advice. 
You are fully responsible for your financial decisions. If you are in need of any Financial Advice, please seek out a professional advisor. If you are unsure of how to do this, please feel free to reach out to me and I am more than happy to guide you.

#mortgage  #investoroverpay #remortgage