In an effort to help my clients gain wealth through investing in real estate, I’m recommending checking out these options of making additional principal payments in advance.  Whether it's your own home or an investment vehicle for retirement, you want to be smart about managing your finances 

This can shorten the length of your mortgage term and allow you to build equity faster. Your additional principal payment comes directly off the rear end of the loan and your balance is paid down faster.  You'll have fewer total payments to make, in-turn leading to more savings.

This can be a dramatic improvement to financial targets, retirement plans, college fund acceleration, by shortening the life time of the mortgage and use of the future funds to save and spend on other important plans.

In the below example, an additional payment of 200 dollars to the principal on monthly basis, can shorten the life span of a 30 years mortgage by over 8 years, not to mention the savings in interest paid to the loan.

Mortgage Payoff Summary
Original term	30 Years
Remaining	30 Years
Annual interest rate	3%
Additional principal payment	$200 per month
Normal payment (PI)	$843
Accelerated payment (PI)	$1,043
Total scheduled payments	$303,555
Total accelerated payments	$272,644
Savings	$30,910
Mortgage shortened by	8 years, 2 months