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  • FIRST POST
    • A Frayed Knot
    • By A Frayed Knot 8th Jun 15, 11:34 PM
    • 2,088Posts
    • 9,466Thanks
    A Frayed Knot
    Was Mortgage Free until 52!!!
    • #1
    • 8th Jun 15, 11:34 PM
    Was Mortgage Free until 52!!! 8th Jun 15 at 11:34 PM
    I was a lurker, but inspired by this thread to start my own diary and although my figures are positively small fry to some - its still my mortgage.

    A bit about me, took the plunge and bought a house age 50 plus by myself, everyone asked "Are you mad?" But thought - I can do this.

    Bought at auction, so got a bit of a bargain (the only way I could afford a mortgage) and had what I would call (in my terms) a nice deposit. Took out an 80% mortgage, and lenders would only give me an 18 year term, 2 years fixed at 4.5%, so in my eyes I have already knocked 7 years off my mortgage - how's that for positive thinking?

    I'm now 3 years down the line and have already made the classic mistake, did not renew my fixed term after the 2 years (and still haven't) as it reverted to 3.99% which was lower than I was paying and on making my first large overpayment, they reduced my monthly payments Little did I know what I know now. So its time to get my mortgage in order.

    I have about a years mortgage savings - and about 3 years mortgage payments out on loan at the moment.

    I pay a minimal 45.00 into an isa every month, but was thinking of adding this to my monthly mortgage payments when I remortgage thus reducing the years even further. What do you think?

    I work full time and overtime is available for the moment although I never accept, as I go in early and stay late - could class that as overtime,

    As you can tell, I'm a bit obsessed with overpayments, but well - you can see my point - at my age, want to be "mortgage free" asap.

    My Motivation Madness;
    I have a simple method to keep me motivated, only thing is to explain I make it sound complicated and only works if you have a sub account as well, but you could adjust to suit yourself.
    • "Always have 0.00 at the end of your mortgage"
    • This way the least/most you will pay is 9p or 9.99
    • On flush days you could go for 00.00 at the end or even 000.00
    I know, I know, I need to get out more Good Luck whatever you decide.
    Last edited by A Frayed Knot; 20-02-2017 at 12:01 PM.
Page 1
    • bexster1975
    • By bexster1975 9th Jun 15, 9:11 AM
    • 988 Posts
    • 4,720 Thanks
    bexster1975
    • #2
    • 9th Jun 15, 9:11 AM
    • #2
    • 9th Jun 15, 9:11 AM
    Hello AFK

    I'm not sure I can " help" as such. I'm very impressed with the positive mental attitude! Agree that 68 is too late to finish a mortgage ideally.

    I'm not sure whether you have remortgaged or not. 3.99 is not the cheapest you will get by some distance. I moved from my SVR of 3.99 to a 2.29% fixed for two years last autumn. It wasn't the cheapest but as I stayed with my lender there was no product fee and I hope to clear the balance when the fixed ends ( as aim to be mortgage neutral before 2016 starts!). Could you try your current lender for a remortgage? My interest nearly halved as I switched. In terms of bank/BS reducing monthly payment can't you just keep paying the same? Main advantage of SVR is you can overpay as much as you want as far as I know. Do you have a timescale? Or an amount you would like to overpay/put into savings ready to overpay each month?

    Loads of people here will happily assist. If you want to look at reducing outgoings might I suggest a visit to Old Style boards.
    Otherwise keep posting, loads of people will encourage you and some have inspirational threads, which as a lurker I'm sure you have read many!

    Bexster
    Last edited by bexster1975; 09-06-2015 at 9:21 AM.
    • A Frayed Knot
    • By A Frayed Knot 9th Jun 15, 6:49 PM
    • 2,088 Posts
    • 9,466 Thanks
    A Frayed Knot
    • #3
    • 9th Jun 15, 6:49 PM
    • #3
    • 9th Jun 15, 6:49 PM
    Thanks Bex

    Positive mental attitude - well, I get there in the end. I'm really a ditherer (no, really) but once I decide that's it.

    Current lender can do 1.99% fixed 2 years no fee, as my overpayments have taken me below 60% LTV.

    Time scale - was thinking on 5 years but maybe a bit too ambitous. If I remortgage and reduce to 9 years this time round.

    Dither.


    Was wondering where I could find Tilly's tidies as has been mentioned?

    Anyway, had my first "all right" day at work today since we moved to new premises, has been hectic to say the least, come home mentally exhausted.

    And this is the second day in a row we have had good weather - summers here at last, and with that comes a chore of duties to do in the house and garden.

    Good luck with your mortgage neutral for 2016.
    Last edited by A Frayed Knot; 09-06-2015 at 6:53 PM.
    • Radish72
    • By Radish72 9th Jun 15, 6:52 PM
    • 1,863 Posts
    • 11,628 Thanks
    Radish72
    • #4
    • 9th Jun 15, 6:52 PM
    • #4
    • 9th Jun 15, 6:52 PM
    Tilly Tidies (TT's) are were you round down any bank account of odd money

    Some people do pennies, or round down to the nearest £5 or even nearest £10
    Mortgage Aug12 £165K, May17 £47800
    OP's in 2017 £3000 ish
    ISA challenge start 2017 £3000/£500 (16%)
    • bexster1975
    • By bexster1975 9th Jun 15, 9:05 PM
    • 988 Posts
    • 4,720 Thanks
    bexster1975
    • #5
    • 9th Jun 15, 9:05 PM
    • #5
    • 9th Jun 15, 9:05 PM
    Hello! 1.99% sounds good. You don't need to reduce the term if you don't want to - I never have! I can only repay 10% a year whilst on fixed, but I just save the rest ( hence mortgage neutral - not free). I also have different plans for new year so don't want to pay off mortgage even if I could without early repayment charges.

    Don't give yourself a hard time for being a dither - it's harder when you make the decisions on your own - no one else to blame!!

    Bexster
    • A Frayed Knot
    • By A Frayed Knot 9th Jun 15, 9:51 PM
    • 2,088 Posts
    • 9,466 Thanks
    A Frayed Knot
    • #6
    • 9th Jun 15, 9:51 PM
    • #6
    • 9th Jun 15, 9:51 PM
    Hi, again Almost sure I will go for this 1.99% deal before the end of the month. Psychologically I really need to reduce the term, sounds strange but the term reduction will give me such a boost, I will only be able to pay 10% over each year as well, as an option,

    Mortgage neutral - what's this - not heard this term before ?


    Thought the more I pay now the more I save overall.


    Had a nice relaxing night tonight with my feet up, but ready for an early night, due to expecting another hectic day
    at work tomorrow.
    • juststuff123
    • By juststuff123 10th Jun 15, 10:48 AM
    • 193 Posts
    • 537 Thanks
    juststuff123
    • #7
    • 10th Jun 15, 10:48 AM
    • #7
    • 10th Jun 15, 10:48 AM
    Mortgage Neutral = To have enough money in savings etc to cover the balance of your mortgage. It's a helpful way to look at things if you want a bit more flexibility.

    Good Luck!
    NEW GOAL – Mortgage Balance £0k & £40k Savings by Feb 2019
    MORTGAGE: – £35015 / £0
    SAVINGS: – £45363 / £40000
    CREDIT CARD: – £722 / £0

    COMPLETE - MFW & DFW - Goal - Debt Neutral – COMPLETE
    • apple muncher
    • By apple muncher 10th Jun 15, 12:04 PM
    • 6,151 Posts
    • 44,787 Thanks
    apple muncher
    • #8
    • 10th Jun 15, 12:04 PM
    • #8
    • 10th Jun 15, 12:04 PM
    Tilly Tidies originate from the lovely Tilly herself - why not check out her diary as she aimed for (and will achieve) MF in 6 years with over £300k owed (I think). She's an inspiration!
    NST SS #10; NSD 6; Ex 6; craft 150; remove 510
    2017 MFW#63 Pay off: £2239/£4050; 2
    017 sell 110

    Mortgage £24,831 (01/14: £78,201; 01/15: £59,629; 01/16: 39,915; 01/17: 27,295) MFWDate Dec 2018
    • bexster1975
    • By bexster1975 10th Jun 15, 5:40 PM
    • 988 Posts
    • 4,720 Thanks
    bexster1975
    • #9
    • 10th Jun 15, 5:40 PM
    • #9
    • 10th Jun 15, 5:40 PM
    Wot juststuff said. I'm planning on starting my own business ( properly!) next year and so quitting my job. Hence not paying off the mortgage straight away. If it doesn't take off very quickly I can do my current job on a ad hoc basis really easily. ( yes, yes, another teacher!!)

    Need some savings to do this properly, and will pay ERC if I pay off before next July anyway so....

    Bexster
    • A Frayed Knot
    • By A Frayed Knot 10th Jun 15, 10:13 PM
    • 2,088 Posts
    • 9,466 Thanks
    A Frayed Knot
    Well today went as expected - only worse - just had my dinner 3 1/2 hours late. This time they can either pay me or give me time.
    Juststuff - thanks for the explanation. Would need to think that through but don't think thats for me as even if I was neutral and had a mortgage - I would still feel in debt - just the way I am.

    apple muncher - thanks will look for Tillys diary and

    bexster - wow, your own business. We have even more in common - I had my own business at what I thought was a young age(23), only difference is I would not leave my job to start up, so when I was made redundant, got a lump sum, thought this is my chance, so went for it.

    A Teacher, eh bex? hope its not a maths teacher.

    52 (age when I got mortgage) + 18 year term = 70
    your quote -Agree that 68 is too late to finish a mortgage ideally.



    But thanks for thinking I was younger than I am.
    • bexster1975
    • By bexster1975 11th Jun 15, 7:14 AM
    • 988 Posts
    • 4,720 Thanks
    bexster1975
    Ha ha ha! Sorry, I read in your OP you were 50 plus and didn't want to assume! Hence 68! Totally missed the 52 in thread title.

    Not a maths teacher, but a scientist turned science teacher.

    Do you still run your own business now? I have actually run my business part time for a number of years now, would just like to make it full time. Being mortgage free/neutral, and the journey, means my essential earnings are very small, so less bravery needed
    Also, depending on how attached you are to your current situation dictates how brave a step away from it really is

    Bexster
    • Tilly MFW in 6 YRS
    • By Tilly MFW in 6 YRS 11th Jun 15, 9:38 AM
    • 7,728 Posts
    • 86,258 Thanks
    Tilly MFW in 6 YRS
    Morning, did someone mention my name?

    Firstly starting a diary is great - it's made a massive difference to our focus and apart from a few months this year, due to dodgy health, I've posted daily. It really has been this constant reminder that's kept us so diligent.

    We've done a variety of things to help the journey. Taken in lodgers, surveys, TCB/£co, Eb@y, car boot sales etc. BT line rental paid annually, not monthly. I'm mentioning these as it has been a hard journey. Every spare penny (hence Tilly Tidies) has gone towards the mortgage. Mr T was also made redundant and it took 6 months to find a me role - harsh.

    I would have been 67 if we had let the mortgage run its natural course - I'll be almost 52 when we clear it now.

    Whilst I completely appreciate we have been fortunate to have good jobs, we were extremely stupid in the past and we have had to learn big lessons.

    Easy savings were found by meal planning and using our food stocks wisely, plus growing as much fruit and veg as possible.

    I truly don't mean to be preaching, I just know how it feels to be having a mortgage until we are approaching late 60s and anything you can do, to reduce this calls for a

    Good luck on your journey.

    Best wishes Tilly x x
    2004 £387k 29 years - MF March 2033
    2011 £309k 10 years - MF March 2021.
    Achieved Goal: 28/08/15
    • Radish72
    • By Radish72 11th Jun 15, 12:05 PM
    • 1,863 Posts
    • 11,628 Thanks
    Radish72
    Another possible tip from me


    If you pay your council tax over 10 months, in months 11 and 12 send the council tax money to your mortgage instead
    Mortgage Aug12 £165K, May17 £47800
    OP's in 2017 £3000 ish
    ISA challenge start 2017 £3000/£500 (16%)
    • A Frayed Knot
    • By A Frayed Knot 11th Jun 15, 11:55 PM
    • 2,088 Posts
    • 9,466 Thanks
    A Frayed Knot
    Hey Bex, no worries, sometimes maths is a science to me. No longer have my own business, but still like to dabble, was really a hobby turned business, but when hours overtook reward, was time to call it a day. Hence me working full time now.

    Hi Tilly - thanks for popping in. Look forward to reading your diary/hints and tips, can't wait even though I am small fry compared. Look after the pennies and the pounds look after themselves, as they say.


    Hi also to Radish - great tip, I do pay ove 10 months, but pay extra each month so I can have a free month around Christmas - which remiinds me = have to contact the authorities and claim my discount.

    Had another great day at work, late again, and seems it was a scorcher today, not that I would know - missed it but looking forward to the weekend as have a lot to catch up on.
    Last edited by A Frayed Knot; 16-07-2016 at 10:29 AM.
    • A Frayed Knot
    • By A Frayed Knot 14th Jun 15, 3:43 PM
    • 2,088 Posts
    • 9,466 Thanks
    A Frayed Knot
    Well yesterday was a bit of a spend day, as now summers here I found myself rummaging the wardrobe only to find I needed a few new things.
    So new bag and a couple of pairs of trousers were bought. Couldn't find a pair of sandals I liked or a nice light jacket. I also needed to replace the chain on my hanging baskets and found the whole thing - basket and chain all for £ each - out the £ shop, of course!! Then treated myself to a packet of T Toffee out of there as well. Yumm.

    This has been a heavy month as far as birthdays and presents go, so knew I would have no hope of saving anything this month - but it is unusual. A 21st, 50th and 60th all within 15 days and all really close relatives.


    So after the housework today, can't wait to get to my wardrobe and throw a few things out, anybody ever wanted to get rid of all, and start again? Sometimes I'm in hoarder mode, sometimes I'm in clear out everything mode. But so much to do;


    windows need done
    change bed
    clean out wardrobe
    ironinghoovering
    hang curtains in L/R
    Cut hedge and grass
    hang baskets
    paint shed
    hang solar lights

    Oh, hold on, this is meant to be my day off!! I'm away to get a bit of my toffee.
    Last edited by A Frayed Knot; 30-06-2015 at 7:57 PM. Reason: spelling mistook(!)
    • pavlovs_dog
    • By pavlovs_dog 14th Jun 15, 4:10 PM
    • 9,715 Posts
    • 23,097 Thanks
    pavlovs_dog
    Re your decision to go for the 2 year fix.

    That rate is reasonably competitive compared to what is on the market at the mo. We are in the process of remortgaging for the first time, and it is NOT cheap (It will cost in the region of £1.5-£2k between product arrangement fees, legal fees and exit fees. Whilst this is an eyewatering sum, it will save us a lot of money over the life of the mortgage).

    You haven't mentioned how much free money you have to chuck at OPing the mortage. Could you pay more than the 10% OP cap? If you can, and are prepared to make the commitment, it could be worth shortening the term of your mortgage. This means your contractual payments will increase, but a larger percentage of what you pay will go towards reducing the capital. The downside to this is that you are commited to those higher payments. Keeping the term the save means you can elect to OP (or not) depending on your financial circumstances at the time.
    know thyself

    MFW 2017 #22 - £3961.18 /£7,000 (56%)
    MFi3 v4 #29 target £75,000

    Nid wy'n gofyn bywyd moethus...
    • A Frayed Knot
    • By A Frayed Knot 14th Jun 15, 9:42 PM
    • 2,088 Posts
    • 9,466 Thanks
    A Frayed Knot
    Re your decision to go for the 2 year fix.

    That rate is reasonably competitive compared to what is on the market at the mo. We are in the process of remortgaging for the first time, and it is NOT cheap (It will cost in the region of £1.5-£2k between product arrangement fees, legal fees and exit fees. Whilst this is an eyewatering sum, it will save us a lot of money over the life of the mortgage).

    You haven't mentioned how much free money you have to chuck at OPing the mortage. Could you pay more than the 10% OP cap? If you can, and are prepared to make the commitment, it could be worth shortening the term of your mortgage.
    Originally posted by pavlovs_dog

    Hi Pavlovs_dog

    I could chuck another 100.00 a month at it, (I never stretch myself to the point I leave myself short) that way I could still overpay the 10% as and when I find I have extra cash.

    I would definetaly be reducing the term, just dithering to whether it will be 9 or 8 years, from just under 15 yrs, so not such a drastic drop, but managable for me.

    Glad to hear you have worked out your sums and although eyewatering at the moment, in the long run would benefit you no end.
    • A Frayed Knot
    • By A Frayed Knot 15th Jun 15, 8:29 PM
    • 2,088 Posts
    • 9,466 Thanks
    A Frayed Knot
    Better day today, still got home a little later and summer has gone but managed a little spend day,

    Having a look at ebay, have so much I don't want/need anymore, dvds, clothes with tags still on, (you know, the items that say I'll lose some weight so they fit me, and never do). Where do I start?how do I post, royal mail or courier? registered or not? so many ways so many decisions.
    • bexster1975
    • By bexster1975 15th Jun 15, 8:53 PM
    • 988 Posts
    • 4,720 Thanks
    bexster1975
    Hi

    I wouldn't use Royal Mail for postage. A total ripoff. Almost any courier would be cheaper. Could sell bigger things collection only and cash on collection. I wouldn't do registered post unless requested by the buyer, and they can pay the premium for it.

    List something small and have a go. When you feel braver, list some more

    Could also sell on facebook pages in your area. No fees!!

    Bexster
    • A Frayed Knot
    • By A Frayed Knot 16th Jun 15, 6:21 PM
    • 2,088 Posts
    • 9,466 Thanks
    A Frayed Knot
    I take it, bex, that you have listed on ebay before, so will take your good advice and go with a courier then. Thought about registered if an expensive item just incase it got "lost".

    Have got a few larger items, but feel a wee bit "funny" about some stranger coming to my door, will leave these items until I have a "think" about it.


    Well, no time like the present, will list a few items tonight, after I have sorted out the 50th birthday pressie and card for tomorrow, as for once managed to get away early tonight.
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