Extra payments on a $150,000 mortgage at 7%
Amortization computed month by month.
$58,320
saved by paying $100 extra a month on a $150,000 30-year mortgage at 7% (base payment $998)
Savings by extra payment
| Extra | Paid off in | Interest saved | Time saved |
|---|---|---|---|
| +$50/mo | 25 yr 10 mo | $34,669 | 4 yr 2 mo |
| +$100/mo | 22 yr 11 mo | $58,320 | 7 yr 1 mo |
| +$200/mo | 18 yr 10 mo | $89,275 | 11 yr 2 mo |
| +$300/mo | 16 yr 1 mo | $109,043 | 13 yr 11 mo |
| +$500/mo | 12 yr 7 mo | $133,301 | 17 yr 5 mo |
| +$1,000/mo | 8 yr 4 mo | $161,349 | 21 yr 8 mo |
Principal and interest only; baseline interest $209,263. Confirm your lender applies extra payments to principal.
FAQ
How much does $100 extra a month save on a $150,000 mortgage at 7%?
About $58,320 in interest, and the loan is paid off in 22 yr 11 mo instead of 30 years.
Is it better to invest instead?
Prepaying earns a guaranteed 7% return. Investing may earn more over long periods but with risk; many people first capture any 401(k) match and build an emergency fund.