Putting money toward principal to reduce payment

We may be receiving some money in the near future from an inheritance. After paying some bills & putting money aside for DD we thought we could put a substantial amount towards the principal on our mortgage.

If we do this will our monthly payments go down or will just pay it off sooner?

Re: Putting money toward principal to reduce payment

i think you would only pay it off sooner. pretty sure you'd need to refinance in order for the monthly payment to change.

Re: Putting money toward principal to reduce payment

i just made a post the other day about paying more...and all it will do is pay it off sooner.

Re: Putting money toward principal to reduce payment

What about refinancing your current mortgage. Maybe change it to a 15 year, instead of a 30. (Assuming you have a 30 year and more than 15 years left on your mortgage) and lowering the payments.

Making a large payment on your current mortgage will just reduce the amount of years left on the loan.

Re: Putting money toward principal to reduce payment

I believe you can have the loan reamortized without refinancing for a fee (like $500?) once over the life of the loan. It depends on the type of loan you have but call you mortgage company and ask about it.

Re: Putting money toward principal to reduce payment

Thanks