Grateful to be mortgage free after so many years on Maui!
Yes, it really can happen - that mortgage can be paid off and you can own your home completely. While it seems like 30 years, or even 15 years is such a long time, sooner or later the time passes. If you've behaved, and not pulled all the equity out of your home, there will be a light at the end of the tunnel.
We probably all start out with a 30 year mortgage since it's the most affordable option when starting out on the home ownership track. Those 30 years stretch out into the future forever, but that's the price to pay for having your own roof over your head, and the security of being your own landlord and never getting an eviction notice. With time, and some home improvements, things start to look better. Interest rates fluctuate and sometimes it just makes sense to visit with a mortgage broker again to see if the monthly payments can be minimized.
So along comes a refinance or two, and hopefully with a downsizing into a 15 year plan to pay off that debt. Always avoid the temptation to use your home as a piggy bank - don't opt for increasing your mortgage amount, even if they promise lower monthly payments!
Keep your eyes on the prize at the end of the long road, and follow these simple tips to reach your goal:
- never borrow more than you can afford to pay back
- don't pull out extra equity unless you have a bullet proof plan to pay it back promptly
- never miss a payment!
- pay an extra payment whenever you can, it will benefit you hugely in the long run
- when refinancing, always opt for the shorter pay back term
It's been a year since we made our last mortgage payment on our Maui home, and I can tell you it's a wonderful feeling of FREEDOM. Each month we can now put those thousands of dollars to much better use... such as fixing up the property! We are so grateful that we always paid on time, with some extra payments along the way.
Don't give up on your dream of owning your own home - it will be worth it in the end!
Thanks for reading my Maui blog...
Buying or selling real estate on Maui? That's what I do. Let me help YOU.
Georgie Hunter R(S) e-Pro, Hawai'i Life Real Estate Brokers
26 Baldwin Ave, Paia HI 96779
E-mail or call/text: 808 283-0635