Extra payments on a $200,000 mortgage at 6.5%
Amortization computed month by month.
$55,946
saved by paying $100 extra a month on a $200,000 30-year mortgage at 6.5% (base payment $1,264)
Savings by extra payment
| Extra | Paid off in | Interest saved | Time saved |
|---|---|---|---|
| +$50/mo | 26 yr 10 mo | $31,959 | 3 yr 2 mo |
| +$100/mo | 24 yr 5 mo | $55,946 | 5 yr 7 mo |
| +$200/mo | 20 yr 10 mo | $90,077 | 9 yr 2 mo |
| +$300/mo | 18 yr 3 mo | $113,532 | 11 yr 9 mo |
| +$500/mo | 14 yr 9 mo | $144,148 | 15 yr 3 mo |
| +$1,000/mo | 10 yr 1 mo | $182,237 | 19 yr 11 mo |
Principal and interest only; baseline interest $255,089. Confirm your lender applies extra payments to principal.
FAQ
How much does $100 extra a month save on a $200,000 mortgage at 6.5%?
About $55,946 in interest, and the loan is paid off in 24 yr 5 mo instead of 30 years.
Is it better to invest instead?
Prepaying earns a guaranteed 6.5% return. Investing may earn more over long periods but with risk; many people first capture any 401(k) match and build an emergency fund.