UK Landlord Forum / Life

Which do you think is the better option?

Many people are saying that now debt is getting cheap, with the reduction in interest rates, it makes sense benefit from lower monthly repayments. So, why not put this extra cash to work by overpaying your mortgage and accelerating its demise? By shortening the life of your loan, you could save yourself a small fortune in interest.

Other people are saying it's better to save

What do you think?

I personally think that in these times, it's better to clear debt, while it's cheap. Build equity, and build it quickly.

Its a hard one this as i would like to buy a new car

What car?

The new Nissan GT son, its like the one ive got but bigger yum yum

The greatest impact of prepaying a mortgage loan held in the early years. This is because mortgage payments are mostly made up of interest in the early years. The sooner you can pay the balance, the sooner the gap of interest / principal begins to work in your favor. By making early payments on the loan term will be reduced.