5. CAN
I DO THE SAME THING MYSELF WITHOUT YOUR
SERVICES?
Almost. You can pay off your
mortgage early and save money by increasing your
monthly payment and making additional principle
payments, but human nature is against us.
Statistics show 97% of people who try to do this
fail to do it consistently and never save any
substantial money - those aren’t good odds to
gamble with on what will most likely be the
biggest investment of your life. Plus, when you
start making these increased monthly payments,
that’s where a lot of the mistakes indicated by
the F.D.I.C. occur. The 3% of America who have
the discipline, and resources, to make increased
monthly payments have a 50/50 chance of losing a
lot of their savings due to errors in loan
amortization, interest compounding, index and
margin calculations, etc.
Our free
service includes AUDITING your mortgage to track
your savings and catch possible lender mistakes.
To have an outside company audit your mortgage
can cost $100 to $150 per year and is critical
since the F.D.I.C. estimates errors occur nearly
every other mortgage with average mistake
costing the homeowner over $1,500.00.
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6.
I CONTACTED MY MORTGAGE LENDER AND THEY SAID
THEY WOULD NOT ACCEPT ELECTRONIC BIWEEKLY
PAYMENTS, SO HOW CAN YOU DO IT?
Your
mortgage doesn’t actually change to a biweekly
mortgage because that would require refinancing
(which involves new appraisals, surveys,
inspections, title verifications, financial
statements, etc.) and a cost of several thousand
dollars. Rather than the homeowner budgeting a
full payment once per month, they’ll budget a
half payment every two weeks. We restructure
your mortgage onto a biweekly “schedule” through
electronic transfers to give you the same
savings and benefits of paying your mortgage
biweekly without the cost of refinancing or
changing your existing mortgage agreement with
your lender. This reduces your loan amount much
quicker than a “monthly schedule” and builds
your home equity 300% faster. Funds are
forwarded in the form of a check which is
verified each month. This creates no problems
with your lender and also provides a paper trail
which can be used in case of a lender
miscalculation.
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7.
I AM ON A TIGHT BUDGET, ALWAYS PAYING MY BILLS AT
THE LAST POSSIBLE MINUTE, CAN I STILL ENJOY
THESE SAVINGS?
Absolutely. In fact,
you’ll find “biweekly” payments much easier to
budget than “monthly” payments. It might take a
little getting used to at first, but the
benefits and savings you’ll enjoy make it well
worth it. The National Council of Savings
Institution says “biweekly payments are
pro-consumer because they equal the paycheck
flow. Since biweekly payments correspond to
America’s paydays, it makes mortgage payments
much easier for homeowners who are on a tight
budget or have a difficult time saving money.”
If your budget is so tight that you commonly
mail checks before you have available funds in
your account, knowing the check will not be
presented for a few days, you can still take
advantage of the biweekly mortgage savings.
Asking your bank for “overdraft protection” will
allow your biweekly electronic transfer to occur
even if you deposit the funds a few days later.
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8. WHAT
EFFECT WILL YOUR SERVICE HAVE ON MY ABILITY TO
DEDUCT INTEREST PAYMENTS ON MY TAXES
?
Many people are led to believe it’s bad
to pay off their home early because they will
lose the tax write-off. This couldn’t be further
from the truth. In reality, it gives you added
income. For example, if you’re In a 25% tax
bracket and you write off $10,000.00 in home
interest payments, you save $2,500 off your
taxes. That’s a $10,000.00 expenditure to save
$2,500. On the other hand, if you owned your
home and didn’t pay $10,000.000 in interest
payments, you would have to pay $2,500.00 in
taxes on this money, but you end up with $7,500
in spendable income.
It’s a fact that
most Americans sell their home after 7 years.
It’s also a fact that you can make monthly
mortgage payments for 7 years and still not have
enough equity on your home to pay a realtor to
sell it.
By tripling the accumulation of
home equity, you’ll have additional money at
your disposal to pay for education, vacations, a
new car or boat, retirement, etc. You’ll be able
to deduct these interest payments where you
normally wouldn’t be able to if you took out a
separate loan for such items.
You also
have the ability to dramatically upgrade the
quality of the home you live in by building
equity 300% faster and transferring this extra
equity into a more expensive home if you
desire.
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Desk
