--- title: Avoiding the 30 year mortgage term description: Is all the time and effort you put into your job only going to lead to a bigger house and nicer car yet keep you stuck with having a mortgage until you are retired? image: https://blog.nzhl.co.nz/hubfs/jail-resized.jpg --- [0800 030 646](tel:0800030646) - Search - [Contact Us](https://nzhl.co.nz/contact-us/) - [Find Us](https://nzhl.co.nz/find-us/) - [Client Login](https://nzhl.co.nz/login/) [![NZHL](https://blog.nzhl.co.nz/hubfs/Nzhl_January2019%20Theme/Images/logo-footer-nzhl.png)](https://nzhl.co.nz/) - [Home Loans](https://nzhl.co.nz/home-loans) - - [Change to NZHL](https://nzhl.co.nz/home-loans/switch-to-nzhl/) - [Buying your first home](https://nzhl.co.nz/home-loans/first-home/) - [Buying your next home](https://nzhl.co.nz/home-loans/next-home/) - [Interest rates](https://nzhl.co.nz/home-loans/interest-rates/) - [Home Loan calculators](https://nzhl.co.nz/home-loans/tools-calculators/) - [FAQ](https://nzhl.co.nz/about-nzhl/faq/) - - [How much could I borrow?](https://nzhl.co.nz/home-loans/tools-calculators/) - [Where's my nearest office?](https://nzhl.co.nz/find-us/) - [How much deposit do I need?](https://nzhl.co.nz/home-loans/first-home/getting-a-deposit/) - [Insurance](https://nzhl.co.nz/insurance) - - [Your Life](https://nzhl.co.nz/insurance/your-life/) - [Your Health](https://nzhl.co.nz/insurance/your-health/) - [Your Home and Car](https://nzhl.co.nz/insurance/your-home/) - [Your Income](https://nzhl.co.nz/insurance/your-income/) - [Request a quote](https://nzhl.co.nz/insurance/request-a-quote/) - [FAQ](https://nzhl.co.nz/about-nzhl/faq/) - - [NEW! 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It is an easy trap to fall into, if you are 40 and have recently purchased a new home you likely have a 25 or 30 year mortgage term attached to your house. Unless something changes that is a mortgage until retirement! If this starts sounding like this could be you, you are definitely not the exception to the rule but one of the majority. People slip into this trap as many work their budget or finances on a month to month basis and infrequently, if ever, look at the long term picture. If you did look at the big picture you would see only minor changes need to be made to reduce your long term by 10 years. That is reducing a 30 year loan to 20 years or a 25 year loan to 15 years. This can be achieved by merely having the correct loan structure and making extra repayments of only $50 a week. Anyway you look at it, being out of debt for an extra 10 years should be a huge priory. So before you buy the new car or upgrade to the nicer home spend a little bit of time on your finances and see if you can get the goods AND improve your financial position. *The information contained in this article is of a general nature and should not be taken as advice. It reflects the opinions of the writer only and does not necessarily reflect the opinions of New Zealand Home Loans.* - NZHL *Author* **Share this article** - LinkedIn - Facebook - Twitter - Google - Reddit - Tumblr ##### Related Articles [![Either earn more or have a savings plan](https://blog.nzhl.co.nz/hs-fs/hubfs/wealthmanagement-656x350.jpg?width=300&name=wealthmanagement-656x350.jpg)](https://blog.nzhl.co.nz/articles/either-earn-more-or-have-a-savings-plan) [**Either earn more or have a savings plan**](https://blog.nzhl.co.nz/articles/either-earn-more-or-have-a-savings-plan) 8 November 2016 Around 7 years ago I was in a conversation with a colleague around what income you would... 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