Home Loans
QWhat Is The Benefit Of A "bi-weekly" Mortgage?
AThere is really no secret to the widely touted "bi-weekly mortgage." As the name implies, the borrower pays half the monthly mortgage payment every two weeks (bi-weekly). At the end of the year, the borrower has made 26 half payments, or 13 full payments, or one more payment than required. One extra payment per year made in this manner can reduce a 30-year loan term by eight years.