The amount your home loan debt is reduced by early payments can vary depending on several factors, including the amount of your early payment, the interest rate on your home loan, and the remaining term of your loan.
Typically, when you make a prepayment on your mortgage, it is applied directly to the principal reduction on the debt, which means that the amount of interest paid in the future will decrease. This can result in significant savings in interest payments and therefore in the total cost of the mortgage loan.
To estimate how much your mortgage debt will be reduced if you make early payments, you can use an online mortgage calculator. These tools allow you to enter the amount of the prepayment and the remaining term of your mortgage loan to calculate the amount of interest you will save over time.
It's important to note that some lenders may charge a prepayment penalty, especially if you're paying a large amount of money at one time. Before making an advance payment on your mortgage, it is advisable to review the terms and conditions of your loan agreement to verify if a penalty will be applied.