Which is better, Monthly or Bi-Weekly payments?


A biweekly mortgage allows you to make a mortgage payment every 2 weeks resulting in 26 payments per year versus 12 monthly payments per year, or the equivalent of 13 monthly payments. The result is a considerable reduction in the term of the mortgage, as well as savings in total interest paid. 

 What is the purchase price of the home you are interested in?
What is the interest rate of the new home loan?
 
  Monthly    Biweekly   

  

       This is the term of the mortgage. 
      This is what your payment would be.
      This is the total amount you will pay per year.
      This is the total amount you will pay over the life of the loan.
      This is the total interest you will pay on the loan.
      This is the amount of interest you will save making biweekly payments.