Ohio Extra Payment Calculator

For a typical $180,000 mortgage (80% of Ohio's $225,000 median home price) at 6.5%, adding $200/month can save you approximately $86,398 in interest and pay off your mortgage 9 years and 10 months early. Your normal total interest would be $229,580, but with extra payments it drops to $143,182. Use the calculator above to see your exact savings.

Both strategies save money, but a lump sum applied early in your loan has the most impact per dollar because it reduces the principal that accrues interest for years. Monthly extra payments offer more consistent savings and are easier to budget for. On a $180,000 Ohio mortgage at 6.5%, a one-time $5,000 payment in year one saves about $10,500 in interest, while $200/month saves $86,398 over the life of the loan. Many Ohio homeowners combine both strategies for maximum benefit.

Ohio law restricts prepayment penalties on certain residential mortgages; most conventional loans originated in the state do not carry prepayment penalty clauses.

This depends on your mortgage interest rate versus expected investment returns. At 6.5%, extra payments offer a guaranteed "return" equal to your interest rate — that's $86,398 in guaranteed savings on a $180,000 Ohio mortgage. Tax consideration: Ohio has no state income tax on the first ~$26,050 of income, with rates up to 3.5% above that; mortgage interest is not directly deductible on the Ohio return, so your tax benefit comes only from the federal deduction. If your rate is below 4%, investing in diversified funds may earn more over time. Consider your risk tolerance, tax situation, and financial goals.