What is the 2 rule for paying off a mortgage?
A simple way people describe accelerating payoff without complex formulas.
What is the 2 rule for paying off a mortgage? This question often comes up when homeowners look for a quick, memorable shortcut to estimate how extra payments might shorten a loan.
Answer
The “2 rule” for paying off a mortgage is an informal guideline, not a formal lending standard. One common interpretation suggests that if you can reasonably double your monthly principal payment, you may cut your payoff period roughly in half compared with a traditional 30 year schedule. Another variant says to focus extra payments in the first half of the loan, when interest dominates, to maximize savings. Because interest, balance, and term interact in complex ways, a calculator provides more precise results than any rule of thumb. Enter different extra payment amounts to see how quickly you can realistically become debt free.
Use the main mortgage payment tool to test different extra principal amounts and timelines.
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