Mortgage Payoff Calculator
Calculate how long it takes to pay off a mortgage with extra monthly or yearly payments.
Tip: Check your contract for early repayment penalties — some Albanian banks apply 1–2% of the remaining amount if you repay early.
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About this digital tool
Paying off a mortgage early can save you thousands of euros in interest. Even a small extra payment each month noticeably reduces the total time and cost of the loan. This calculator shows you exactly how many years and months you cut from the term and how much money you save by making extra payments — monthly, yearly, or a single lump sum. In the Albanian market, where interest rates range between 3–7%, even €50 extra a month can cut 5+ years from your loan.
How to use
- Enter the current remaining mortgage balance
- Enter the annual interest rate
- Enter the remaining term (months or years)
- Add the extra monthly, yearly or lump-sum amount
- See the result: the new term, the interest savings and the payoff date
Frequently asked questions
Is it worth making extra payments on a mortgage?
Yes, almost always. Every extra euro reduces the principal, cutting total interest. The effect is greatest in the early years when interest makes up most of the payment.
How much do I save if I pay €100 extra a month?
It depends on the amount, rate and term. For example, for a €50,000 loan at 5% interest over 20 years, €100 extra/month can save ~€15,000 in interest and shorten the term by ~6 years.
What is an early repayment penalty?
It is a fee the bank applies if you repay the loan before the term. In Albania, the law caps it at a maximum of 1% of the amount repaid if more than 1 year remains, or 0.5% if less than 1 year remains.
Which is better: a monthly or an annual extra payment?
A monthly extra payment is slightly more beneficial because it lowers the principal more often, reducing the next month's interest. However, even a single annual payment (e.g. from a bonus) has a big effect.