Not all lenders in California have early mortgage repayment penalties, but you need to check on that in your mortgage terms. You could be charged a fee if your loan agreement has a prepayment penalty. Some lenders offer loans without prepayment penalties; you should make sure you shop for those loan types if paying the loan off early is one of your goals.

Switching to a bi-weekly payment can speed up your mortgage payoff. When you make a bi-weekly payment, you’re making 26 half-payments per year, totaling 13 monthly payments, an extra payment each year. This technique can knock several years off the life of a 30-year mortgage.

Refinancing into a shorter-term loan (for example, moving from a 30-year to a 15-year term) is a great strategy for quickly paying off the mortgage. While your monthly mortgage payments may rise, shaving years off the loan will save you money in interest over the life of the loan.

Yes, extra money paid toward your principal balance each month can greatly decrease the term of your mortgage. Even small extra payments applied to the principal reduction will lower the total interest you pay, allowing you to finish paying your loan earlier.

Paying a large amount of money as a lump sum can reduce the balance of your mortgage in a short time, reducing the duration of your loan and the total interest paid. This option could be availed if you receive any bonus, inheritance, or any other additional money. However, you should check with your lender about any applicable restrictions or fees.

A mortgage recast is a recalculation of your monthly payments based on a large, lump-sum payment made to the principal. This reduces your monthly payments while retaining the original loan term. Even though it does not directly reduce your term, with the reduced balance, you can apply the savings toward extra principal payments.

The answer, of course, is different for everyone, depending on your financial situation. While paying a mortgage early will save you interest over the long term, paying off high-interest debt or investing in opportunities to earn more than your mortgage interest rate might prove a better option. Consider your goals, other debt, and possible investment opportunities before deciding.

Look at your monthly expenses and see where you can cut back. Apply that money to extra principal payments. Make a specific, long-term budget that calls for biweekly payments or lump sums, but ensure those fit within the big picture of your financial goals.