Extra payments on a $350,000 mortgage at 6.5%
Amortization computed month by month.
$62,627
saved by paying $100 extra a month on a $350,000 30-year mortgage at 6.5% (base payment $2,212)
Savings by extra payment
| Extra | Paid off in | Interest saved | Time saved |
|---|---|---|---|
| +$50/mo | 28 yr 1 mo | $34,081 | 1 yr 11 mo |
| +$100/mo | 26 yr 6 mo | $62,627 | 3 yr 6 mo |
| +$200/mo | 23 yr 10 mo | $108,097 | 6 yr 2 mo |
| +$300/mo | 21 yr 9 mo | $142,994 | 8 yr 3 mo |
| +$500/mo | 18 yr 7 mo | $193,603 | 11 yr 5 mo |
| +$1,000/mo | 13 yr 10 mo | $265,954 | 16 yr 2 mo |
Principal and interest only; baseline interest $446,406. Confirm your lender applies extra payments to principal.
FAQ
How much does $100 extra a month save on a $350,000 mortgage at 6.5%?
About $62,627 in interest, and the loan is paid off in 26 yr 6 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.