5 Years in and I’ve Already Saved Time and Money off My Mortgage

The Purchase

Unfortunately, I was a little off in the optimal timing for purchasing a home in the Portland area. By the time I had saved enough of a down payment to begin looking, the market had flipped from a high inventory of lower-priced homes with few buyers to a low inventory of rapidly increasingly higher-priced homes with many buyers.

Still Ahead of Schedule

When you calculate the payoff schedule for my mortgage parameters with an amortization schedule calculator, at 60 months in the balance should be roughly $202,602. My 60-month balance is actually at $191,820.01. I’m roughly $10,782 ahead on my mortgage payoff.


Going back to the amortization schedule, if I had been paying my mortgage according to schedule (without extra payments), I would have paid roughly $42,767.05 in interest. What I’ve actually paid is $33,531.84 in interest. I’ve saved $9,235.21 in interest so far!

Headed Toward an Early Payoff

Lucky for me, making extra principle payments hasn’t just allowed me to save on interest, it’s also allowing me to cut significant time off my mortgage. It’s the gift that keeps on giving! But, let’s see if the time savings have snowballed as dramatically as the interest has.

How Did I Do It?

The short answer is extra principle only payments, but I’ll break it down a little further so you can see that early mortgage payoff doesn’t have to break the bank. Luckily, my method for making extra payments has not required me to take anything away from my monthly budget.

What Does the Future Hold?

My plan is to continue to put at least $200 extra toward the principle every month. I’ve paid off my truck and am investing in several accounts along with making these extra principle payments. I don’t want to go all in for one or the other (investing or paying off my mortgage), but rather like to work on both at the same time.

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