Nelson BC real estate blog by Robert Goertz of Valhalla Path Realty. Keeping you up to date with the Nelson and West Kootenay real estate markets.
Thursday, August 5, 2010
Homeowners who break a closed mortgage before maturity will often make a pre-payment before the mortgage is discharged. The idea is to reduce the mortgage balance and thereby pay less of a pre-payment penalty. It’s a great idea if you have the funds to do it. Remember, however, that lenders have different policies on how close to the payout date you can make a pre-payment.