The Mortgage Free in Three - Take 2 challenge (MFiT-T2)

canne_2 · 20 June 2009 at 4:18AM

Hi I'd love to join too, if that's possible. My mortgage is in Australian dollars.

In December, I project the mortgage will be $105 000. I'd like to get it down to $20 000 by December 2012...

Cheers

canne

surrobeth · 20 June 2009 at 10:07AM

May I join please?

I estimate our mortgage to be around £46,000 in December this year and aim to reduce it by £30,000 to £16,000 in three years.

We have a mortgage and an advance (from moving a few years ago) from Nationwide. We are overpaying both a bit in order to keep both of them as they each have an overpayment limit of £500 a month while on the fixed rate - if we focussed on clearing one fully then if we went for another fixed we'd only be allowed to overpay 1 x £500 rather than 2x £500.

financialbliss · 20 June 2009 at 10:35AM

surrobeth wrote: »

May I join please?

We have a mortgage and an advance (from moving a few years ago) from Nationwide. We are overpaying both a bit in order to keep both of them as they each have an overpayment limit of £500 a month while on the fixed rate - if we focussed on clearing one fully then if we went for another fixed we'd only be allowed to overpay 1 x £500 rather than 2x £500.

Hi surrobeth,

Sure you can join. With Nationwide, their maximum overpayment is £500 on fixed rate products as you have discovered. However, if you re-negotiate your term to be shorter, this will up your monthly payment, plus you can still overpay £500 on top of that.

I should be paying around £427 a month to the mortgage, but I've shortened the term 3 times, thus upping the payments to £543 (original payment amount), then ~ £600 a month, and now £898.03 a month. I can still overpay up to £500 a month.

canne / surrobeth - I'll allocate numbers to you both and PM you back.

Financial Bliss.

gingernutbizkit · 20 June 2009 at 5:18PM

financialbliss wrote: »

Hi surrobeth,

Sure you can join. With Nationwide, their maximum overpayment is £500 on fixed rate products as you have discovered. However, if you re-negotiate your term to be shorter, this will up your monthly payment, plus you can still overpay £500 on top of that.

I should be paying around £427 a month to the mortgage, but I've shortened the term 3 times, thus upping the payments to £543 (original payment amount), then ~ £600 a month, and now £898.03 a month. I can still overpay up to £500 a month.

Financial Bliss.

What a great idea. I'm with nationwide too but sadly I'm currently on a interest only deal so shortening my term doesn't make any difference to me. Might look at this when I change mortgage early next year.
Ging x

debtfreewannab · 21 June 2009 at 10:26AM

hi i would love to join as after i have paid my other debt i want to attack my mortgage from all sides. i hope to start over paying by march next year but will try to start now on 12/12/09. i am already ahead of schedule on my existing debt:D so december is not entirely impossible. and i think if i become a member here i will become more determined to achieve my goals.

thanks paul

debtfreewannab · 21 June 2009 at 10:32AM

ooops :rolleyes: i forgot my mortgage details atm i owe 98000 but by december 2010 it will be aprox. 96000. i am hoping to reduce my mortgage considerably in the 3 years hopefully to take 15k off it excluding my monthly payments.
so hopefully my mortgage at the end of the 3 years will be aprox 69000.

financialbliss · 21 June 2009 at 11:12PM

I've just uploaded what will eventually be the challenge chart no. 1 with the latest updates and new starters.

Two points of interest here.

1) We've had a new questee 'canne', who as far as I know, if the first non-uk entrant to this challenge, from New South Wales Australia. A big welcome to canne.

2) We're just off the 4 million pounds mark, but we're collectively pledging to reduce our mortgages by over 2 million pounds. Well done everyone.

Financial Bliss / Maz123.

samnorris2 · 21 June 2009 at 11:56PM

Hi MFiT-T2 team,
Well done to all who have jumped on the mortgage free bus. I've done some more number crunching and am going to have to adjust my target. I hadn't accounted for the reduction in monthly payments as I over pay. Ultimately this reduces what I'm paying off and as the mortgage overpayments are caped at £500 then it means i'm not able to get as close to £50k.
Financial Bliss - Can you reset my 12/12/12 target to £60k. It's still a stretch but more realistic.

Sam

samnorris2 · 22 June 2009 at 12:24AM

financialbliss wrote: »

Hi surrobeth,

Sure you can join. With Nationwide, their maximum overpayment is £500 on fixed rate products as you have discovered. However, if you re-negotiate your term to be shorter, this will up your monthly payment, plus you can still overpay £500 on top of that.

I should be paying around £427 a month to the mortgage, but I've shortened the term 3 times, thus upping the payments to £543 (original payment amount), then ~ £600 a month, and now £898.03 a month. I can still overpay up to £500 a month.

canne / surrobeth - I'll allocate numbers to you both and PM you back.

Financial Bliss.

So do Nationwide typically let you negotiate a shorter term during the initial rate period or do you have to reduce it once that ends. I started at 25 years 4 years ago and am reducing it to 15 now in the next couple of months when I remortgage. Just wondering if you can reduce again during the term???

Double_Trouble · 22 June 2009 at 11:07AM

samnorris2 wrote: »

So do Nationwide typically let you negotiate a shorter term during the initial rate period or do you have to reduce it once that ends. I started at 25 years 4 years ago and am reducing it to 15 now in the next couple of months when I remortgage. Just wondering if you can reduce again during the term???

You can ask them to reduce the term at any time

DT

The Mortgage Free in Three - Take 2 challenge (MFiT-T2)

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