Part 6/8:

Adjusting the duration of your mortgage can significantly influence your monthly financial commitments. Extending the tenure can lower monthly payments, easing immediate cash flow pressures. For example, extending a loan up to age 75—an option increasingly available—can defer payments and provide relief, though it results in paying interest longer.

Conversely, shortening the loan tenure—say, by eight years—can increase monthly payments but substantially reduce total interest paid over the life of the loan. As demonstrated with a $500,000 loan:

• Shortening the term by 8 years increases monthly payments by about $500 but can save approximately $90,000 in interest over the remaining period.