Do you own a Jersey Shore home? Are you having trouble keeping up with your monthly payment? Learn how to lower your mortgage payment here.Do you own a Jersey Shore home?  When you purchased it, what was your main concern?  How much the total price was or how much the monthly mortgage payment would be?  For many Jersey Shore Buyers, it is the latter.  That’s how you get locked into a 30 year adjustable mortgage.  It sounds awesome at first because your payment is lower.  But then, over time, that monthly payment begins to creep up.  Then you will be wondering how to lower your mortgage payment.  I’ve got a few ideas you may want to ponder.

Lowering or Eliminating Your PMI

How much money did you put down on your Jersey Shore home?  If it was less than 20% of the purchase price then you, my friend, are paying extra for PMI (Private Mortgage Insurance).  This is a fee that every Buyer pays in addition to their loan payments, taxes and interest each month when they are unable to come up with at least 20% of the purchase price at the time they sign their loan.  This is a mandatory insurance that covers the loan company in case you default on your loan.

Search homes for sale at the Jersey ShoreHow long have you lived in your home?  Has it been at least two years?  Have property values gone up since you moved in?  Once your balance on your loan is less than 80% of your home’s value and your payments are up to date, you may be able to drop your PMI altogether.  This can save you almost $1200 per year for every $100,000 of your loan.  Talk to your mortgage company to see if you qualify.

If you haven’t lived in it that long or you are unsure of your home’s value, you still might be able to reduce your PMI.  That is because the government announced earlier this year that PMI rates were being lowered for anyone taking out an FHA loan.  This will only help if you are a new home buyer.  Again, speak with your mortgage company to see if you qualify for a lower rate.


Mortgage rates are at historic lows.  According to, the current rate for a 30 year fixed rate mortgage is 3.93% as of the writing of this post.  A 15 year fixed rate mortgage is at 3.16%.  If you purchased your Jersey Shore home at a higher rate, you may want to consider refinancing.  You may also want to consider converting your 15 year loan into a 30 year loan to help reduce your monthly payment.  Of course, this means that the length of your loan will be much longer and you will end up paying much more in interest during the life of the loan.  But, if you need an immediate relief on your monthly payments, making this switch in terms could be the way to go.

Become a Landlord

Do you have a spare bedroom that isn’t in use right now?  Consider renting it out to someone.  This is a quick way to get some extra cash flowing into your household.  Be careful, though.  Pay the money to do a background check before you let a stranger into your home.  It will be worth it.

As you can see, you have several options on how to lower your mortgage payment.  Be smart.  Talk to your lender if you plan on eliminating or reducing your PMI or if you think that refinancing is your best option.  Background and credit checks are smart tools to utilize when you consider renting out part of your home, especially when it is someone you don’t know.


211 N Kenyon Ave, Margate, NJ - Click here to find out more about this beautiful Margate home for sale

For more information on this and other homes for sale, please visit my Jersey Shore real estate website.

Sherri Lilienfeld, Helping You Live Your Jersey Shore Dream