How to Pay Off Your Mortgage Faster (Without Breaking the Bank)

Owning your home outright is one of the most freeing financial goals out there — but it doesn’t have to take 25 or 30 years. With a few smart strategies, you can cut years off your mortgage and save tens of thousands in interest.

Here’s how to do it.

1. Use Prepayment Privileges Wisely

Most mortgages in Canada let you:

• Increase your regular payments (often by up to 15–20% per year)

• Make lump-sum payments (up to 15–20% of the original balance each year)

Even small increases matter. For example, bumping a $2,000 payment to $2,200 per month could save you over $40,000 in interest and knock 3–4 years off your amortization, depending on your rate.

Pro tip: Schedule lump-sum payments right after bonus season or tax refunds — it’s painless and powerful.

2. Switch to Accelerated Payments

If you’re paying monthly, switch to accelerated biweekly. You’ll make 26 half-payments a year (the equivalent of one extra full payment annually). It’s a simple change that can shorten your mortgage by up to four years without any major lifestyle shift.

3. Restructure for Efficiency

If your current mortgage is high-rate or high-payment, refinancing can be a smart move — especially if you use it strategically:

• Combine high-interest debts (like credit cards or car loans) into a lower-rate mortgage

• Extend the amortization slightly to reduce payments and free up cash flow

• Then, redirect that extra cash toward lump-sum mortgage payments

The key is to reduce your total interest, not just your mortgage interest.

4. Stay Flexible, Not Frantic

Paying off your home faster should never come at the cost of your financial security. Keep an emergency fund, contribute to RRSPs or TFSAs, and make sure you can handle life’s surprises — from furnace repairs to university tuition.

🏠 Final Thoughts

Paying off your mortgage faster isn’t about sacrifice — it’s about strategy. Small, consistent actions have a compounding effect over time.

If you’d like a personalized plan on how to use your mortgage more efficiently — whether that means paying it off sooner or restructuring for better cash flow — our team at LaframboiseMortgage.ca can help you design a smart, stress-free plan.

Ready to build your payoff strategy?👉 Book a mortgage strategy session today here