Will Getting a Side Hustle Help Pay My Mortgage Faster?
Are you considering a side hustle? The thought that you still have a mortgage payment to make can be debilitating. Moreso, when it doesn’t seem you are making such a huge headway in paying up faster. For some people, it can be draining and can lead to financial depression.
It doesn’t matter if you have a job that is secured; if there is no significant increase in your salary over the years, you are stuck on paying for your mortgage for a long time. Even though some mortgage plans look tantalizing, don’t be carried away; the interest rates can be cumbersome.
It is why having an extra source of income may be the solution to paying off your mortgage faster.
Why Do You Need to Pay Off Mortgage Faster?
There is a level of commitment required to pay off the mortgage. Remember, the more you skip a payment on the agreed period, the more interest keeps getting a pump.
Take, for instance; you borrowed for a $200,000 home with a 20-year term mortgage at 5% interest. By the end of 20 years, you would have paid $200,000 in INTEREST alone! A mere look at this should send chills down your spines.
This is why you must find a way to pay off your mortgage before the period elapses. One good way to do this is by getting your side hustle on. So many people have done this and can testify to its efficiency. Again, in a situation where the economy is on a rollercoaster, jobs aren’t that secure anymore, and that side hustle might just be a springboard to getting back on your feet.
Get a Side Hustle!
There never has, and there will never be anything wrong with getting a side hustle. The beauty of side hustle is that it doesn’t have to coincide with your normal job. You could work during office hours from Monday to Friday and then focus on your side hustle during the weekend.
Another alternative is, if you have a flexible job, you can focus on your side hustle on days you are off from your normal job. This way, you get money on both ends.
Some Side Hustles You Can Hop on
There are some side hustles you don’t particularly need any skill for. Can you drive? If yes, there is a side hustle for that. How about when you go on vacation, you can rent out your apartment. There is also a channel for doing that, and you get to be paid.
Let’s look at some side hustles you can do with little or no stress.
● Uber/Lyft/Bolt Services: These are platforms that allow you to drive your car for money. Of course, you need to have passengers for you to be paid. They take little or no stress to get verified. As long as you have your license and are willing to abide by their terms, voilà. Making a few hundred bucks every week is going to have a say in your mortgage payment.
● Airbnb: You can rent your apartment out for money. With this platform, you get to earn money while you are away on vacation or perhaps visiting your parents in the countryside. Your input is to ensure that your apartment is in proper shape, clean, running water, and everything that makes a home buzz.
● Tutoring: You have a passion for tutoring or teaching; you can turn it into a side hustle. If it is something you are passionate about, you won’t feel stressed at all. Imagine the bliss of making money while doing what you love. Money earned here can be used for your mortgage payment.
● Making Use of Your Skills: Skills like photography, art, writing can make money for you. You can always write for organizations, freelance, and earn your money. If you love taking pictures, you can be hired to be the official photographer of a wedding or an event during the weekends.
The beautiful thing about a side hustle is, there is no pressure on you to deliver. It is all down to your prerogative. You decide when and how you want to go about it. Nobody is ordering you around. You also decide if you want to be intense about it for a while or if you just want to be chilled. Either way, you earn money, and you can use it to offset the bills.
So, let’s assume you make an extra $100 every week from your side hustle, and you can add about $300 to your mortgage payments every month apart from the normal payment you make from your day job.
The difference is clear. It means you are going to reach your loan’s maturity earlier. Plus, it also means you don’t have to pay interest that would accrue throughout the loan. It is a win-win for you.
This means your mortgage payment is faster, and you accelerate your purchase of a house before you know it.
Having a side hustle helps to pay your mortgage faster; there is no doubt about it. However, it is also important to note that you shouldn’t allow your side hustle to clash with your day job; else, you stand the risk of losing that job, and the reason for getting a side hustle becomes futile.