What happens if I pay an extra $100 a month on my mortgage?

A quick, practical answer for homeowners considering small extra principal payments.

What happens if I pay an extra $100 a month on my mortgage? This question often comes up when homeowners want to see whether a small monthly increase can meaningfully reduce interest and shorten payoff time.

Answer

Paying an extra $100 each month toward principal can shorten your loan term and significantly cut total interest, especially early in a 30 year mortgage. Use an “extra payment” calculator to compare your current amortization schedule with one that adds $100 to every payment. You will see the payoff date move closer and the interest line shrink. Over decades, even modest extra payments may save many thousands of dollars. Always direct the extra amount specifically to principal on your statement or online portal so it is not treated as early payment of future interest. Ensure you keep an emergency fund so extra payments do not leave you cash poor.

Try your numbers

Plug your loan details into our mortgage payment estimator to see how extra principal changes the totals.