If you are smart enough to organize your mortgage payment through strategies, you are able to save hundreds of dollars on your morgages. The best option for paying a mortgage is a bi-weekly plan which would be convenient for you and the prospective receiver. This will also helps the home owner in reducing the amount of loan balance and proportionally the interest given on the amount is automatically reduced. A biweekly mortgage is understood as the schedule in which is the borrower is paying, half the monthly payment every two weeks. The payment amount on a biweekly is thus the same as that on a monthly or bi monthly period. There are 26 biweekly periods in a year while bimonthly periods are 24 the biweekly payment generates the opportunity of one extra monthly payment in a year.
This results in a convenience of shortening of payment terms. For instance a 30-year loan converted to a biweekly could be paying off in 25 years, 10 months. This reduction in period is due to the extra payment that is possible via biweekly payment every year. A good thing is that Payments are accredited monthly. Benefits of any extra payment program are also useful to comply with the interest rates.
Here is preview of a Free Printable Biweekly Mortgage Sheet Template created using Bluelayouts.org,
Here is download link for this Biweekly Mortgage Sheet Template,
The bimonthly mortgage sheet can save facilitation in calculating the interest and mortgages .It has two sections, the first section comprises of the standard fixed rate mortgage with interest percentage and the payment term is drafted in months .the total loan amount is also stated. This sheet automatically generates the grand total of monthly payment with the total interest over the mortgage. The second section exhibits the extra payment option .you just calculate the half of each monthly payment .This will automatically gives you one additional payment every year, the other figures are stated the same as of the standard monthly value. The interest rate, monthly and biweekly terms loan amount with monthly and biweekly payments and the total interest are perfectly tabled in the bimonthly mortgage sheet columns, which would be a useful feature for both the borrower and the lender.
For an idea to have a bimonthly mortgage sheet developed at your personal computer, you just have added one-twelfth in the cell of your monthly sheet. This will give you the thirteenth payment. The yearly percentage rate is divided with 26 to get exact interest rate for the bimonthly payment period Before preparing a bimonthly plan take care that some lenders agree to prepare the biweekly payment schedule however the others offer this service themselves and provide you a pre-formatted payment agenda but you are always recommended to calculate the figure it personally to avoid any future conflict. In general, it is it is better to pre-pay a mortgage if you have a heavy interest rate.