WATCH THIS ? How To Pay off your Mortgage in less than 5yrs.
Uploader Comments (leoenterprise)
Top Comments
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Don't worry, you aren't missing much. They're just prepaying the mortgage, and hiding it all behind a new LOC that they think is saving them money, but actually serves no useful purpose. As they say, you can't borrow your way out of debt.
It will eventually pay off your mortgage and other debts, but you can do so on your own, faster and cheaper and with less work, with a simple DIY apprach like the "debt snowball" (but order debts by higher interest first).
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Ya this 3500 piece of software is a scam of course but the idea behind it is sound.
I'm only 12 days away from sending off my last mortgage payment. I just threw in whatever I could afford, always paying extra, and I finished my 30 year mortgage in 11 years.
The secret behind it is to live on what you earn and don't go further into debt for cars or credit cards. Pride yourself on being frugal. Debt is just another form of slavery and every bit you pay off makes you that much more free.
Video Responses
All Comments (69)
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Pay off a 6% mortgage with a 12% credit line is stupid. Check my YouTube channel for my Power Debt Plan spreadsheet. You don't have to go deeper into debt to pay off your bad debt. Search YouTube for "money merge killer". Subscribe to my YouTube channel. The only way to pay less interest is to pay more principal; it's not magic just common sense.
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Hello, how this works is by paying your mortgage through the HELOC, in other words you will pay your mortage by pulling money out of the equity of your home. Example: pull out $15,000.00 and pay your $2500.00 mortgage with the $15,000.00. The reason you want to do this is because, when a $15,000.00 dollar payment gets calculated after each payment it affects the amortization table (how interest is calculated over the life of the loan) you will manipulate the interest and save thousands.
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@heightboosting Thank you for your time and sharing that information with me. My loan happens to be a traditional loan, and the interest is calculated monthly. This is still a very creative strategy. It's great to think outside the box.
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@freshnewday Remember the key principle : interest is calculated on the daily balance.Lets say you have a 250,000 mortgage with a 6 % interest and monthly payment is 1,500 dollars. So instead of having to pay the interest of the balance of 250,000 you cancel that interest on the 250,000 balane by inserting your whole paycheck there and pay the interest on your daily balance on the LOC instead which is going to be much less than 250,000 dollars. Interest is calculated on the daily balance !
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Requirement #1: You have to have more money coming in than you have going out. REALLY?
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(continue here) If I tell the you, "here get this $50 dollars" and give me back a $10 and two $20 twenties. Do I have to pay you interest for 30 years just for that? The federal reserve note is a NOTE. And so it the NOTE from your home.
The moment you signed for your home you created the money into existence. That is how valuable your signature is. Everything you sign is a contract too. Think!
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Why should you double pay for your home? Your signature created the thousands of dollars. You created with your signature "cash value" then the banker gave you the cash to pay for the home. All he did was money changed. Why should you pay for 30 for something you paid at the CLOSING. The account was balanced and CLOSE. It was an equal trade. (continue above)
its all bullshit, just like the fake newscast!
pbl1 4 years ago
Please explain i would like to know what you mean by its fake .. i have be on this program and not only saved hundreds and thousands of Dollars in interest but shaved of 22.3 years off my MORTGAGE Payments and that over 260 monthly payments i dont have to pay now .. So please explain what you mean? Thanks
leoenterprise 4 years ago