While many home loan repayment calculators assume you’ll be making monthly home loan repayments by default, you may have the option to make repayments fortnightly or even weekly. A different repayment frequency may better suit some home buyers, as you can more closely sync the repayments with your pay cycle from work, but you could also potentially save some money on your mortgage.
Because of the different number of days in each calendar month, 12-month year includes 26 fortnights, or 52 weeks. Depending on how your lender calculates mortgage interest, fortnightly or weekly repayments can allow you to effectively make one extra monthly repayment per year. Over a decades-long loan term, these extra repayments can add up, shrinking your mortgage principal so you can pay off your property faster and pay less in interest.
