When it comes to buying a house, paying installments, and finances, it is always a big and difficult matter. Some people don’t dare to decide to buy a house. Maybe because of concerns about being in debt with the bank in the long term for ten years. together with the current financial situation of the economy which is difficult.

It is not very conducive to buying your dream home. But there are still good options that will make everyone’s home payments easier. and shorten the period of repayment. Let’s get to know 6 ways to make your house pay off quickly within 10 years that anyone can do from this article!

Method 1: Place a down payment of 10% of the house price.

Important things to know before deciding to buy a house You must prepare for a flexible financial situation and should accumulate a lump sum of 10% of the house price to put as a down payment. which this amount You will be able to reduce the principal and interest. It also eliminates the need to borrow the full amount and the house payments pay off faster too.

Method 2: Pay installments on time every installment.

in installments You should pay installments according to the payment schedule every time. Because the most important thing to be careful about when paying for a home is to avoid defaulting on the loan. Many people do not know that if they default on their debt, There will be a telephone call to collect the debt. which costs money to track every time There is also “Delinquent interest” that causes us to pay more in installments is the reason the house is slowly paid off.

Method 3: Pay more than the installment payment.

Important things for paying off a home loan with the bank You must know and understand first that The monthly installment is the principal plus interest. This causes the amount we pay in installments to often get caught up in interest.

The bank will calculate it according to the interest rate and inform you of the monthly installment amount from the beginning when making the home loan contract. Therefore, if we pay more than the installment payment, The bank sets a starting price of 1,000 – 5,000. This amount will be deducted from the original principal. With this principle, the dream of house will become our home more quickly.

Method 4: Accumulate a lump sum of money to cover the house.

Did you know that when applying for a home loan from a bank for a home purchase loan? Most of the time, they tend to get low interest rates. And it remains constant for about 3 years. If you can’t pay more than the installment every month, you should have money saved up to cover the house every year.

The goal is to accumulate a lump sum of money to cover the house in the amount of 10,000 – 50,000 per year. This amount will help reduce the principal and interest. For this reason, during the first 3 years of paying off the house. Therefore, it is the most suitable time to decorate the house.

Method 5: Refinance or Retention for a reduced interest rate.

As said When applying for a home loan from the bank for a home loan Most of the time, they tend to get low interest rates. and remains constant for approximately 3 years, after which it will be adjusted to MRR or floating interest according to the interest rate during that period, resulting in a higher interest rate. Make the amount of installments from which it will be taken to deduct the principal Instead, a large amount of interest was deducted.

2 ways to request a reduction in interest rate

1) Refinance:

Refinancing, that is, moving old debt to a new bank. to request a lower or lower interest rate on your home loan This method will help reduce the burden of paying off the house and be able to pay off the house more quickly.

2) ) Retention:

Retention Retention is a method of restructuring the debt with the original bank. In order to reduce interest rates After the fixed interest rate contract has expired If you have always had a good history of paying off your home payments. You will have a greater chance that the bank will approve your interest rate reduction request.

Method 6: Stop creating more debt.

This is the most important method and it can start with you. If you can do this. The goal of paying off your home loan quickly will definitely be achieved more quickly. Because if you are in debt in many ways Whether it’s a credit card, a car, or other credit-based debt, it’s certainly difficult to achieve the goals you set. So, stop creating more debt. Therefore it is the best way.

You should also create additional income generating channels. Or accumulating savings to cover the house using the above methods. Just like this, you will be able to pay off the entire house. and also has a good financial history In the future, whether you go to make transactions or apply for various loans with the bank, it will be more convenient to check and approve more easily.

How are you with these 6 ways to pay off your house within 10 years? Even though the matters of buying a house, paying installments, and finances may seem like big and difficult matters. But if you have goals, determination and consistent discipline. Your dream home will definitely become your home to be proud of. And for anyone who is looking for a large detached house in Modern-Nordic style.