There are all sorts of benefits to getting rid of mortgage debt for good. Paying back your mortgage faster can help you and your finances and how to go about it. When you’re a homeowner, getting in the clear with debt can take decades. With some lenders prepared to offer you a home loan for a 30-year term, you’ll be paying off more in interest than the amount you originally borrowed, if you stick to minimum repayments for the full three decades.

While breathing a sigh of relief may be enough reward to make mortgage freedom a goal worth pursuing, it can bring other benefits too. No longer having those mortgage payments in your budget can free up funds to start investing, that creates the potential for a passive income in the future, which allows for interesting lifestyle planning opportunities. It also helps with the retirement planning piece. With no debts to service, you can get more specific and clearer around what your financial future after leaving work will look like and when it can start.

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SOURCE: moneyandlife.com.au