Work out mortgage free date instantly with clear inputs, formula shown and shareable results.
Adding a fixed extra amount each month attacks principal directly, and on a long mortgage a modest overpayment typically removes several years. Comparing both schedules shows the interest that overpayment actually saves.
Mortgage payoff
Months = -ln(1 - balance × r / payment)/ln(1+r), computed with and without the extra payment
Figures are estimates for planning only. Prices, returns, inflation and personal circumstances all change. This is not financial or tax advice — speak to a qualified adviser before making decisions.
Compare the mortgage rate with the after-tax return you could earn. Overpaying is a guaranteed return at the loan rate.
Usually only if instructed. Some hold the money against future instalments instead, which removes the benefit.