How can I pay my home loan off faster?

Making repayments on your home loans can become tiresome after a while, so you might want to think of adopting some strategies to speed up the process.

There are several ways of achieving this – the best idea is to weigh up your options and see which are suited to your personal circumstances.

Pay off your other debts

Once your other debts have been paid off, you should find you have more money to spend elsewhere – such as paying off your home loan.

This includes everything from credit cards to personal loans – you'll be surprised how much of an impact a debt-free lifestyle has on your financial wellbeing.

Use your pay rise wisely

If you're fortunate enough to get a pay rise at work, commit to using some of it to pay off your home loan.

Bear in mind that you've managed without the extra cash before, so putting it to good use will ensure you don't spend it on unnecessary expenses.

Set up more frequent payments

Most people set up monthly mortgage repayments, but have you thought about making them on a fortnightly basis instead?

This might involve some careful financial planning and budgeting on your part, but it'll pay off in the long run.

Don't respond to interest rate falls

If you've got a fixed-rate home loan, it's a good idea to keep your repayments the same even when the official cash rate falls.

You won't notice any difference, except of course when you realise your mortgage balance is being paid off quicker than it was before! 

Choose the right home loan

All of these factors come down to one common theme – selecting the right home loan in the first place.

If you have a mortgage that is suited to your needs then you should find it's not too difficult to pay it off quicker.