3 Advantages to the Biweekly Advantage Mortgage
Did you know you had options for how long you finance your home? To pay off your home faster, read more about the Biweekly Advantage Mortgage!
Vanderbilt Mortgage and Finance, Inc. currently offers three lengths of time (term amounts) for mortgage loans. The standard mortgage length we initially fit all our customers with is a 25-year mortgage loan. Depending on qualifications, we also offer a 30-year loan and Biweekly Advantage mortgage.
The 25-year and 30-year mortgage loans are paid back through monthly payments while the Biweekly Advantage Loan has payments every two weeks. If you elect the Biweekly Advantage loan, you will be set up on an automatic draft for your payment.
Since the monthly payment would be every two weeks, there are three benefits that happen compared to a monthly mortgage payment.
Pay off your mortgage sooner: Since there are 52 weeks in a year, you will make 26 payments over course of the year. This means every year, you will make one more extra payment than you would with a traditional month-to-month payment schedule. With those extra payments adding up, you could pay off your home loan sooner over time.
Save on interest: You will pay less interest over the life of the loan since you will pay off the loan faster. Because you are paying off your loan in a shorter time frame, the amount of interest has less time to accrue.
Help your budget: Biweekly payments will potentially be easier to budget for as they could be less compared to that same mortgage with monthly payments. Pair those savings with the money you could save by not having a mortgage payment sooner and all the interest you can avoid, and you could have a much freer budget in the long run.
The Biweekly-Advantage Mortgage may not be a good fit for all customers, but for those where it is, the benefits can provide you freedom from a mortgage payment sooner. Ask your Loan Specialist today to see if you are a good candidate and if you qualify.
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