Money Bytes: Mortgages and Property Tax Tips
By Dana Prince on Sep 15, 2008 in Money Bytes, Mortgages, save money
This is the start of a new series on this blog called Money Bytes where I’ll share tidbits that are food for thought about saving money.
Today’s money byte is regarding your mortgage.
Are you paying for your property taxes as part of your mortgage payment? If so, you could be spending way too much money on interest. By lumping your property tax with your mortgage, you’re paying interest. If you pay your taxes directly, you’re going to save a lot of money.
Granted, it’s easier to add to your mortgage so you can forget about it but this will result in your losing hard earned money that could be spent elsewhere to either improve your standard of living OR help you pay off your debt sooner.
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Nice site. There?s some good information on here. I?ll be checking back regularly.
Mike Harmon | Sep 15, 2008 | Reply
what if you are making payments toward your future property taxes based on an expected amount. you wouldn’t be paying interest then, right?
brenden | Sep 30, 2008 | Reply
Brenden,
I think it’d depend on what your bank’s policies were. It’s very important to ask and compare the cost of convenience. It might be nil or minimal but it could also be quite hefty.
dprince | Oct 1, 2008 | Reply