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  • FIRST POST
    • Kittenkirst
    • By Kittenkirst 5th Feb 16, 10:35 AM
    • 1,639Posts
    • 8,556Thanks
    Kittenkirst
    Getting a mortgage and then becoming mortgage-free!
    • #1
    • 5th Feb 16, 10:35 AM
    Getting a mortgage and then becoming mortgage-free! 5th Feb 16 at 10:35 AM
    Hi all!
    So from my title you may have guessed I don't yet have a mortgage, however I am hoping that will all change within the next few weeks.
    I will then start on overpaying the mortgage and really penny pinching to try and reduce it down as much as possible!

    I'm hoping this is alright to start my diary in here? :-)

    The story so far, my lovely girlfriend and I have been discussing getting a place together for some time. We started looking at houses (al very small and far from her parents- which is a no-no, we want to be close to them to visit regularly). Last weekend we went to see a new build development and fell in love with a house- less than 2 miles from her parents, perfect size for the two of us and within our budget (from getting mortgage in principle information and confirming monthly payments were well within our budgets).

    Sooooo we took her parents round for their seal of approval, spoke with an agent we know through the family about pertinent questions to ask, did lots of number crunching and then placed a reservation.....

    ....so we've now got paperwork from solicitors re the conveyancing etc and paperwork from the mortgage advisors to sort out this weekend.
    We have re-jogged our budget to ensure we had the deposit in savings by end of Feb (we thought we'd have a few months before we found anywhere) so are ready to almost hand over £18500 :O

    I have agreed to move into her parents house and pay rent in mid March to prevent paying rent, bills and food (will save an extra £500 a month) so we should be in a good position for when the house is ready September/October time!

    Does anyone have any hints or tips so far?

    Our brokers/solicitors are ones recommended by family who've used them and really recommend them and we've sense checked the rates the solicitors charge to ensure its competitive.
    2017 MFW #20 - OP £2348.20/ £2150 106%. New target £2500 93.9%
    Last 3 months- Oct: £179.60 Nov: £160.33 Dec: £52.33

    Emergency fund £4K/ £6k
    Mortgage Oct '16 £170.995 LTV 90% end: Nov 2041
    2016 OPs £255.50/£150
Page 1
    • Kittenkirst
    • By Kittenkirst 5th Feb 16, 10:49 AM
    • 1,639 Posts
    • 8,556 Thanks
    Kittenkirst
    • #2
    • 5th Feb 16, 10:49 AM
    • #2
    • 5th Feb 16, 10:49 AM
    Oooh prob an important point to note is that I haven't done an SOA as the situation will change twice in the next 8 months or so.

    I do however have a fancy-pants s/sheet with all accounts, details of lump sum payments (car insurance etc) for both of us and potential for savings and paying off credit cards etc.

    If you'd like to see a SOA or think it may help please do tell me (it's hard to know sometimes what the best approach is )

    :-)
    2017 MFW #20 - OP £2348.20/ £2150 106%. New target £2500 93.9%
    Last 3 months- Oct: £179.60 Nov: £160.33 Dec: £52.33

    Emergency fund £4K/ £6k
    Mortgage Oct '16 £170.995 LTV 90% end: Nov 2041
    2016 OPs £255.50/£150
    • SueP19
    • By SueP19 5th Feb 16, 11:37 AM
    • 1,703 Posts
    • 14,484 Thanks
    SueP19
    • #3
    • 5th Feb 16, 11:37 AM
    • #3
    • 5th Feb 16, 11:37 AM
    Welcome to the best board...................an SOA is a constantly evolving thing, so do one and put it up, then when the time comes adjust it, again and again

    Good luck x
    Mort Oct 15 £70,353 £66,422 MF Dec 31 Jun 31(191 176 mnths)
    EF 2016 £700/£1,000 Debt May 09 £30,217Oct 17 £14,093[/B]
    • TwentySomethingGirl
    • By TwentySomethingGirl 5th Feb 16, 11:58 AM
    • 170 Posts
    • 377 Thanks
    TwentySomethingGirl
    • #4
    • 5th Feb 16, 11:58 AM
    • #4
    • 5th Feb 16, 11:58 AM
    Hi and good luck


    We bought a new build and it was quite nice reserving in May, but not completing til December. Gave us a few extra months to save up before we started paying the mortgage, because we found it sooner than we thought we would too. I'd say save as hard as you can while you can, so you have a buffer for anything unexpected when you move in and any extra furniture/other housey things you may need to buy.


    TSG
    Mortgage £126746 DEC14 £122423.53 DEC15 £115041.70 DEC16 Remortgaged Sep17 to pay off HtB loan £150000
    MFW2017 #85 £2633.7/£2500 12K IN 17 #85 £5500/£12000
    MFW2016 £3614.63/£2500
    MFW2015 £811.60/£1200
    • Kittenkirst
    • By Kittenkirst 5th Feb 16, 12:59 PM
    • 1,639 Posts
    • 8,556 Thanks
    Kittenkirst
    • #5
    • 5th Feb 16, 12:59 PM
    • #5
    • 5th Feb 16, 12:59 PM
    Thanks SueP19 & Twentysomethinggirl I'll sort out an SOA over the weekend and pop it up!

    I set up a help to buy ISA but unfortninately we need the deposit cash earlier so nipping to town tonight to close it and pay into my standard savings account. I've also found an old online saver for £5.50 that I need to close so taking that paperwork in today too! Only a fiver but it all helps ��
    2017 MFW #20 - OP £2348.20/ £2150 106%. New target £2500 93.9%
    Last 3 months- Oct: £179.60 Nov: £160.33 Dec: £52.33

    Emergency fund £4K/ £6k
    Mortgage Oct '16 £170.995 LTV 90% end: Nov 2041
    2016 OPs £255.50/£150
    • Kittenkirst
    • By Kittenkirst 6th Feb 16, 8:24 AM
    • 1,639 Posts
    • 8,556 Thanks
    Kittenkirst
    • #6
    • 6th Feb 16, 8:24 AM
    • #6
    • 6th Feb 16, 8:24 AM
    Morning!
    Yesterday was a busy day, called the mortgage broker and had a chat. As the house won't be ready until Sept/oct there's not really much point getting mortgage offers as they are valid only for 6 months.
    He's calling the sales manager Monday to check this in which case we may have slightly longer to get the deposit- we'll still work on the original time frames though so it's sorted.

    That's more a mental stress thing as in our budgets it's not gong to change but knowing the deadline is longer in reality will prevent me getting too worked up about it (I hope!)

    Went to the bank and closed my help to buy ISA so my standard savings account is looking healthy! Also closed that small savings account with Santander so that's in the savings pot now too!

    Today I'm going to be packing at my old flat, then calling Tesco to close that old credit card down.

    I will also call first utility as based on recent readings I think they owe me a rather chunky amount (over £100) so either want a refund or for the DD to cease this month and next month (move out officially on 17th March!)

    When these are done I will do the SOA maker with current outgoing a, I can then update it once moved with new totals :-)

    Oh and we be had solicitors letter outlining all the conveyancing fees etc HOW MUCH!
    After the initial falling off chair moment, I checked the budget and we'd budgeted for this too so not really an issue.

    Tomorrow my 6 items on EB*y will end- 3 have met their minimums (hurrah!) so they'll be packaged after that. I've got two more items to post tomorrow and hoping to have a little more once I've done some packing today 💜
    2017 MFW #20 - OP £2348.20/ £2150 106%. New target £2500 93.9%
    Last 3 months- Oct: £179.60 Nov: £160.33 Dec: £52.33

    Emergency fund £4K/ £6k
    Mortgage Oct '16 £170.995 LTV 90% end: Nov 2041
    2016 OPs £255.50/£150
    • jodles16
    • By jodles16 7th Feb 16, 9:18 AM
    • 1,315 Posts
    • 3,962 Thanks
    jodles16
    • #7
    • 7th Feb 16, 9:18 AM
    • #7
    • 7th Feb 16, 9:18 AM
    Hey Kittenkirst! Welcome to the board, this is the perfect place to begin your MFW journey! I still cant believe how much all the bits around buying cost, even though budgeted I still found it painful passing over the hard saved money! Will keep bobbing in and seeing how your doing!

    Jodles
    MFW2017 #29 1200.24/4524
    MFiT #66
    Overall aim 10,124.20/21,743 (£156,000)
    2016- Jan-£177,472, Apr-£173,195.04, July- £171,417.47 Oct- 169,366
    2017- Jan- 167,347.80 Apr- July- Oct-

    • BookWorm
    • By BookWorm 7th Feb 16, 9:26 AM
    • 2,288 Posts
    • 13,929 Thanks
    BookWorm
    • #8
    • 7th Feb 16, 9:26 AM
    • #8
    • 7th Feb 16, 9:26 AM
    Welcome to the board

    You sound very organised and I hope all goes smoothly for you with the purchase. I don't have any tips for you I'm afraid as don't know about new builds but look forward to following your journey

    BW x
    Last edited by BookWorm; 07-02-2016 at 1:48 PM.
    • Kittenkirst
    • By Kittenkirst 7th Feb 16, 11:49 AM
    • 1,639 Posts
    • 8,556 Thanks
    Kittenkirst
    • #9
    • 7th Feb 16, 11:49 AM
    • #9
    • 7th Feb 16, 11:49 AM
    Welcome both Bookworm & Jodles :-) nice for you to pop in!

    Today has no movement on mortgage/deposit situation however a chicken is happily roasting away in the oven (found lurking in my freezer!) and I made sugar cookies last night from a mix also hanging around my flat!
    eB*y goodies are up to £19 on three of the items and my gf and I have spent the morning doing some decluttering for her and photo'g more stuff to go on tonight.

    My payday is the 15th and I'm dangerously close to the Odraft limit already so I'm wishing the days away until payday, at least it's sunny outside and as part of my decluttering/moving I've found so much food for lunches this week- pasta with pesto/Sauce, couscous etc so will prep out food for the week including dinners for college and dance class nights.

    Bit worried about the mortgage guy so will be anxiously awaiting his call tomorrow re whether we need all the paperwork and do the process now or wait another month or so- we've paid £500 reservation fee on the house and I'm so excited already.

    So excited that i may walk over to the show home for a mooch and idea gathering re decor- I can then work out how to do it the cheapest for when the time comes :-D

    I'm then going to do the SOA maker tonight too and post it on here for any pointers!

    Hope you're all enjoying your Sunday's!
    Last edited by Kittenkirst; 07-02-2016 at 2:04 PM.
    2017 MFW #20 - OP £2348.20/ £2150 106%. New target £2500 93.9%
    Last 3 months- Oct: £179.60 Nov: £160.33 Dec: £52.33

    Emergency fund £4K/ £6k
    Mortgage Oct '16 £170.995 LTV 90% end: Nov 2041
    2016 OPs £255.50/£150
    • Kittenkirst
    • By Kittenkirst 7th Feb 16, 2:24 PM
    • 1,639 Posts
    • 8,556 Thanks
    Kittenkirst
    My SOA (fingers crossed it worked on my iPhone!)
    Statement of Affairs and Personal Balance Sheet[/b]

    Household Information

    Number of adults in household........... 1
    Number of children in household......... 0
    Number of cars owned.................... 1

    Monthly Income Details

    Monthly income after tax................ 1498
    Partners monthly income after tax....... 0
    Benefits................................ 0
    Other income............................ 0
    Total monthly income.................... 1498


    Monthly Expense Details

    Mortgage................................ 0
    Secured/HP loan repayments.............. 0
    Rent.................................... 360
    Management charge (leasehold property).. 0
    Council tax............................. 85
    Electricity............................. 16
    Gas..................................... 16
    Oil..................................... 0
    Water rates............................. 16
    Telephone (land line)................... 25.7
    Mobile phone............................ 35
    TV Licence.............................. 1
    Satellite/Cable TV...................... 0
    Internet Services....................... 0
    Groceries etc. ......................... 20
    Clothing................................ 30
    Petrol/diesel........................... 90
    Road tax................................ 11
    Car Insurance........................... 42
    Car maintenance (including MOT)......... 20
    Car parking............................. 0
    Other travel............................ 0
    Childcare/nursery....................... 0
    Other child related expenses............ 0
    Medical (prescriptions, dentist etc).... 23.5
    Pet insurance/vet bills................. 0
    Buildings insurance..................... 0
    Contents insurance...................... 14
    Life assurance ......................... 0
    Other insurance......................... 0
    Presents (birthday, christmas etc)...... 50
    Haircuts................................ 5
    Entertainment........................... 40
    Holiday................................. 50
    Emergency fund.......................... 0
    Total monthly expenses.................. 950.2



    Assets

    Cash.................................... 6700
    House value (Gross)..................... 0
    Shares and bonds........................ 0
    Car(s).................................. 2000
    Other assets............................ 0
    Total Assets............................ 8700


    No Secured nor Hire Purchase Debts


    Unsecured Debts
    Description....................Debt......Monthly.. .APR
    Barclays.......................1460......45....... .0
    Total unsecured debts..........1460......45........-



    Monthly Budget Summary

    Total monthly income.................... 1,498
    Expenses (including HP & secured debts). 950.2
    Available for debt repayments........... 547.8
    Monthly UNsecured debt repayments....... 45
    Amount left after debt repayments....... 502.8


    Personal Balance Sheet Summary
    Total assets (things you own)........... 8,700
    Total HP & Secured debt................. -0
    Total Unsecured debt.................... -1,460
    Net Assets.............................. 7,240


    Created using the SOA calculator at www.stoozing.com.
    Reproduced on Moneysavingexpert with permission, using other browser.
    [/font]
    2017 MFW #20 - OP £2348.20/ £2150 106%. New target £2500 93.9%
    Last 3 months- Oct: £179.60 Nov: £160.33 Dec: £52.33

    Emergency fund £4K/ £6k
    Mortgage Oct '16 £170.995 LTV 90% end: Nov 2041
    2016 OPs £255.50/£150
    • Kittenkirst
    • By Kittenkirst 7th Feb 16, 2:29 PM
    • 1,639 Posts
    • 8,556 Thanks
    Kittenkirst
    A few points re my SOA:
    • I don't have a tv licence as I watch programmes via my pc in my flat- this is only catch up or Netflix so have completed the self disclaimer.
    • phone contract ends at end of April so am changing to sim only from then
    •previously I paid into a share save through work (£200 a month) but have cancelled that and put funds into my main saving account.
    •groceries are covered currently by vouchers from work for sainsburys and wait rose which are deducted from salary already.

    ��
    2017 MFW #20 - OP £2348.20/ £2150 106%. New target £2500 93.9%
    Last 3 months- Oct: £179.60 Nov: £160.33 Dec: £52.33

    Emergency fund £4K/ £6k
    Mortgage Oct '16 £170.995 LTV 90% end: Nov 2041
    2016 OPs £255.50/£150
    • mortgage_girl
    • By mortgage_girl 7th Feb 16, 5:16 PM
    • 840 Posts
    • 3,850 Thanks
    mortgage_girl
    Good luck with house purchase kittenkirst. You seem very organised. I'll be following your journey with interest.

    MGx
    2017: £6398.46 / £11,000
    2016: 4557.98 / £11,000 2015: £10,230.37 / £11,000
    2014 =£6703.26 / £11,000 2013 = £4288.51 / £8000 2012 = £1600/£5000 2011 = £2579/£3000
    MF date was Nov 2041 - now April 2022

    • Kittenkirst
    • By Kittenkirst 8th Feb 16, 5:44 PM
    • 1,639 Posts
    • 8,556 Thanks
    Kittenkirst
    Hi all!
    So I emailed the mortgage advisor today who has spoken to the sales team: they advised to apply for the mortgage now and if we have any repeated fees due to late house build they will cover them!
    So this means getting our skates on, however the gf's letter arrived saying we have the 'consent to let' on her old flat- so won't effect out mortgage decisions! She has to confirm to pay the fee and they wil send the letter so that's a task for tomorrow!

    Had 4 out of 5 things on eBay go yesterday so after all fee's made £18, and then something I posted yesterday with a buy it now also sold so extra £13.50. Not bad for old stuff just hanging around

    No spend day for me again today and hoping for the same again tomorrow! Every extra penny in the deposit account matters before the end of next week!

    Time to make dinner, hope you're all having something tasty!
    2017 MFW #20 - OP £2348.20/ £2150 106%. New target £2500 93.9%
    Last 3 months- Oct: £179.60 Nov: £160.33 Dec: £52.33

    Emergency fund £4K/ £6k
    Mortgage Oct '16 £170.995 LTV 90% end: Nov 2041
    2016 OPs £255.50/£150
    • bexster1975
    • By bexster1975 8th Feb 16, 6:41 PM
    • 1,065 Posts
    • 4,897 Thanks
    bexster1975
    Hello and welcome

    That's a very lean SOA if I may say so.

    I would look at car insurance and contents insurance when due. Cashback websites are your friends here. I bet you can reduce both if you have a hunt. I pay £50 a year on contents insurance ( not including the cashback I got).

    In terms of decor have a look at what you might like to do now. If you have somewhere to store stuff until you move then charity shops and car boot sales are a great way to get stuff. Have just recently got two rolls of laura Ashley wallpaper from a charity shop for £1.95 each. Will do a new feature wall in the lounge. Originally the paper is £40 a roll but still about £25 a roll in the sale.

    Best of luck to you both

    Bexster
    • Kittenkirst
    • By Kittenkirst 8th Feb 16, 6:58 PM
    • 1,639 Posts
    • 8,556 Thanks
    Kittenkirst
    Ooooooh that sounds like a good bargain Bexster!
    We didn't end up getting to mooch yesterday as the gf was very tired after a long week of work travel, so we got a little more sorting done!

    :-)

    Tonight using up the leftover chicken and some old coconut cream and noodles from my place, lots of frozen veg and some spices= Thai green curry yum! Dinner is my favorite meal so this pleases me!
    2017 MFW #20 - OP £2348.20/ £2150 106%. New target £2500 93.9%
    Last 3 months- Oct: £179.60 Nov: £160.33 Dec: £52.33

    Emergency fund £4K/ £6k
    Mortgage Oct '16 £170.995 LTV 90% end: Nov 2041
    2016 OPs £255.50/£150
    • Kittenkirst
    • By Kittenkirst 9th Feb 16, 11:14 PM
    • 1,639 Posts
    • 8,556 Thanks
    Kittenkirst
    Evening all!
    Late post today as got in late after silversmith class :-)

    Had a bonus on eBay as a dvd listed on Sunday but also with a buy it now went yesterday so will print the label & post out tomorrow!

    Class went well today and I took a can of pop with me and a bottle of squash to avoid the temptation of the coop!
    All food was from stores today and more money was moved from PayPal into the deposit account. I even made breakfast pancakes for my girlfriends parents who had never had them before. They both loved them which made me happy :-)

    In the office tomorrow, so pasta already made today and all fruit prepped to take in- I must stay away from the work canteen and the siren call of their Costa counter!

    More sorting tomorrow and packing after work- I'm going to tackle my wardrobe with a pile to pack, eBay pile, car boot pile and charity pile :-)
    Dependent on what time I finish I may draft up the eBay listings so I can just post them on Sunday evening...will see!

    Have lovely Wednesday's all!
    2017 MFW #20 - OP £2348.20/ £2150 106%. New target £2500 93.9%
    Last 3 months- Oct: £179.60 Nov: £160.33 Dec: £52.33

    Emergency fund £4K/ £6k
    Mortgage Oct '16 £170.995 LTV 90% end: Nov 2041
    2016 OPs £255.50/£150
    • Kittenkirst
    • By Kittenkirst 11th Feb 16, 8:45 PM
    • 1,639 Posts
    • 8,556 Thanks
    Kittenkirst
    Hello!
    Not much to report on the mortgage front for me today, highlights of my day have been my packed lunch and finding 15p in the road! Living on the edge right?!

    I've been getting all the paperwork together for the mortgage discussions and trying to sort everything to send next week after pay day!

    Hope everyone is having a good week, it's almost the weekend wahoo!
    2017 MFW #20 - OP £2348.20/ £2150 106%. New target £2500 93.9%
    Last 3 months- Oct: £179.60 Nov: £160.33 Dec: £52.33

    Emergency fund £4K/ £6k
    Mortgage Oct '16 £170.995 LTV 90% end: Nov 2041
    2016 OPs £255.50/£150
    • Kittenkirst
    • By Kittenkirst 13th Feb 16, 4:07 PM
    • 1,639 Posts
    • 8,556 Thanks
    Kittenkirst
    Afternoon
    Today has consisted of more sorting in the flat- have five more boxes for car booting (roll on the first Sunday in March!) and a small pile for ebaying

    Have swapped my Barclaycard debt (£1400) to Tescos as they have a 0% balance offer so will save £14 a month as interest has just started for Barclays!

    12 months of statements have now arrived for my current account and I've printed off lots of my pay slips & P60 ready for the mortgage application!

    Am really pleased as on checking my finance spreadsheets I haven't spent any money at all for 5 days! Amazing what determination can do- no frothy coffees at work, lunches at work etc :-)

    I am now just chilling watching pretty little liars with a blanket on and the cat snuggled on my lap
    2017 MFW #20 - OP £2348.20/ £2150 106%. New target £2500 93.9%
    Last 3 months- Oct: £179.60 Nov: £160.33 Dec: £52.33

    Emergency fund £4K/ £6k
    Mortgage Oct '16 £170.995 LTV 90% end: Nov 2041
    2016 OPs £255.50/£150
    • Kittenkirst
    • By Kittenkirst 14th Feb 16, 9:01 PM
    • 1,639 Posts
    • 8,556 Thanks
    Kittenkirst
    Evening all!

    Logged onto work laptop sneakily to check pay slip for tomorrow and update banking early! Had an additional £75 in it (due to salary changes and different bonuses being paid- I must have overestimated the tax and student loan deductions!).

    Going to do the money shifting tomorrow into deposit savings account and finalise the paperwork for the mortgage broker :-)

    Listed 9 items on eBay tonight and a dress sold for £10.60 making my eBay earnings around £110 before fees- not bad for in a month!

    Looking back at the week I have not spent any money all week- amazing what a plan can do for you :-)

    The gf has been eBay listing today and had lots of things finishing so it's all going in the deposit/house to be pot! All very exciting!
    2017 MFW #20 - OP £2348.20/ £2150 106%. New target £2500 93.9%
    Last 3 months- Oct: £179.60 Nov: £160.33 Dec: £52.33

    Emergency fund £4K/ £6k
    Mortgage Oct '16 £170.995 LTV 90% end: Nov 2041
    2016 OPs £255.50/£150
    • pathtofreedom
    • By pathtofreedom 15th Feb 16, 1:27 AM
    • 811 Posts
    • 1,084 Thanks
    pathtofreedom
    Fingers crossed for your new place, I'm currently buying somewhere new too so I have all the fun of solicitors and mortgage applications too right now.

    One thing you wrote jumped out at me though. If your gf has a flat already, and is going to be on your new place too, are you aware of the extra stamp duty you're going to have to pay on this new place as she's buying a second property, as that will add a big chunk to your expenses.
    MFW OP's 2017 #101 £829.32/£5000
    MFiT-T4 - #46 £0/£45k to reduce mortgage total
    04/16 Mortgage start £153,892.45
    MFW 2015 #63 £4229.71/£3000 - old Mortgage
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