New Real Estate Rookie
I'm Martin,
My mother owns a property somewhere in East San Jose. We've own high mortgage for over 800,000 and we are financial tightness due to we have to cover other expenses that are outside which we have to be careful. My mother learns that paying off the principal is one solution but we still having to pay the interest since we got the house 3 years ago and we only discovered this now. Is there any other way or if I have to look for strategic solution to put a 3rd income while I'm working full time w-2 to at least help her pay off the house?
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@Martin Penn Paying more towards the principal won't help monthly payments though the loan will end earlier. Refinancing the note and paying a "large" amount to the principal at the same time would potentially reduce the monthly payment. The interest rate of the new loan compared to the existing loan will likely have the biggest effect. Of course this is generically speaking not knowing all of your exact details.