Quote:
Originally Posted by underscore
A mortgage is a long-term investment though, the rates may be low now but if they go up later you've got a higher rate on a larger loan amount. I don't have the time to try to build a calculator in Excel to play around with how differing rates over time and extra payments affect the total paid over the lifetime of the mortgage but from my understanding the earlier you can pay extra the less you end up spending overall, even if the rate is low now.
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Yes the earlier you pre pay the more it goes towards your principal. What I'm getting at is at these levels of interest rates, the opportunity cost to take your money to invest in something else is a lot more favourable.