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    • hildosaver
    • By hildosaver 13th Apr 16, 11:01 AM
    • 250Posts
    • 412Thanks
    hildosaver
    A 10 year plan?
    • #1
    • 13th Apr 16, 11:01 AM
    A 10 year plan? 13th Apr 16 at 11:01 AM
    Hi all,

    I have decided to start up a new thread to reflect my own journey to mortgage and financial freedom. I did have another thread which I didn't really get around to updating very much and I thought it best to start afresh.

    A bit of background - I'm turning the big 40 this year () and I guess it has certainly focused my mind a lot on the next 10 years and what I would like to achieve by the time I am 50.

    I'm married to my DW and just over 2 years ago we moved into to what I hope will be our forever home. Mortgage is 126k and home is valued at 220k, so far so good. Before we met and were married both myself and DW owned our own homes, both of which we both still have - mine was in negative equity for a while but through overpaying we are now able to say we do have equity in my old house which is rented out. DW's old house is currently empty but we are hoping to let this out in the next month or two (still a little bit of electrical work needs done). We also have another rental house which is currently on a buy-to-let mortgage which we bought when DW received an inheritance. I'll try and make it all a bit clearer below:

    Main Home - Mortgage £126,000 - Value £220,000 - (mortgage is £579 p/m), overpaying £100 per month and on 2 year fixed deal (I think its around 2.34%).

    My old Home - Mortgage £90900(ish) - Value £115-120,000 -(mortgage is £525 p/m roughly) rented for £500 p/m, overpaying £500 per month and on SVR (4.45%) though hoping to remortgage as buy-to-let later this year (permission to let currently)

    DW's old Home - Mortgage £55,000 - Value £70,000 - currently empty, no overpayments and on interest only at a low rate. (mortgage is around £100 p/m)

    Inheritance money property - Mortgage £36,000 - Value £60,000 - rented at £400 p/m, interest only at a low rate (mortgage around £96 p/m) - no overpayments at present.

    All in all we have mortgages of the value of almost £310,000 which is quite scary.

    My plan since I learnt about the benefits of overpaying has been to focus on my old home which was stuck in negative equity (my plan was to sell this house) and over the past few years we have managed to bring the mortgage down from around £120,000 to now close to £90,000 in less than 4 years which I am really pleased with. I'm going to continue overpaying this at £500 p/m till I get it down to around £88,000 which should enable me to finally remortgage this to a buy-to-let (currently have permission to let) and to reduce the term by a few years. I estimate I should be able to reduce the mortgage payments by around £100 p/m by doing this.

    So then I am unsure what the next stop should be. By the end of this year we will finally have remortgaged both our own home (already done) and that troublesome old house of mine (which by then might actually break even). I've decided that by continuing to overpay we could keep all these houses long-term instead of selling one or two of them off which was my original plan before I got addicted to overpaying!

    We are hoping to start a family this year (have a referral to fertility clinic next month as we have been having no luck) so obviously if we are fortunate enough for that to occur then plans may have to change however I want us to be in the best possible position we can be and also I hope to make it possible that DW could work part-time and for us to still be able to pay bills and live.

    With that in mind do you think I should continue to focus on our main home and my old house as they have the biggest mortgages or should I change my focus onto the interest only houses once I remortgage my old home to hopefully break even re: rent and mortgage payments? What I'm considering is to overpay both interest only mortgages down for one year (next year) then look to remortgage them as repayment mortgages. Then I will no longer have to worry about having to find a large amount of cash in 15/20 years to pay them off.

    We also save a little (though not as much as we should) I have an ISA which I put £50 into every month (currently around £3000 in it) so another option is to reduce the overpayments from next year and start saving more.

    Any advice would be great!!

    Mortgage balance September 2012: £121,086 (First ever OP)
    Mortgage balance June 2017: £82,338
Page 2
    • hildosaver
    • By hildosaver 3rd Oct 16, 12:47 PM
    • 250 Posts
    • 412 Thanks
    hildosaver
    Thanks for your message - we appear to be in a similar situation.


    I am fortunate enough to have a decent savings pot due to an inheritence in the past year I now have almost £15,000 in an ISA and am adding £200 per month as often as I am able to.


    We are at the 'waiting for appointment with Consultant' phase of the infertility clinic and hopefully will meet them in the next month. Not sure of the timeframe after that - myself and my DW have discussed this and if the waiting list is a year or more then we will go private.


    We probably have enough saved to maybe have 2 goes at it but if that is unsuccessful then I reckon that will be the end of it as we are running out of time and do not have the financial clout available to afford any more than that.
    Mortgage balance September 2012: £121,086 (First ever OP)
    Mortgage balance June 2017: £82,338
    • hildosaver
    • By hildosaver 10th Nov 16, 1:29 PM
    • 250 Posts
    • 412 Thanks
    hildosaver
    Hello again,


    Another OP made this month and that takes us closer to our end-of-year target of £85k - fingers crossed we can hit it next pay check!


    We met with Consultant last week and were told it's a 7 month waiting list for IVF treatment so a bit of thinking to do, we are not getting any younger though there is nothing showing up as to why we couldnt have a child so fingers crossed we get lucky before then.
    Mortgage balance September 2012: £121,086 (First ever OP)
    Mortgage balance June 2017: £82,338
    • hildosaver
    • By hildosaver 3rd Dec 16, 1:05 PM
    • 250 Posts
    • 412 Thanks
    hildosaver
    Just a quick update to say another £500 OP made on my old home and a further £150 on our current home. Getting there, slowly but surely!
    Mortgage balance September 2012: £121,086 (First ever OP)
    Mortgage balance June 2017: £82,338
    • Swash
    • By Swash 3rd Dec 16, 2:21 PM
    • 111 Posts
    • 264 Thanks
    Swash
    Subscribed - I'm hoping to pay off my mortgage ASAP. Good luck.
    "Nothing is permanent in this wicked world, not even our troubles".

    Mortgage 1/3/2017: £112795 Remaining Balance: £109990.00 Overpayments: £1241.22
    • hildosaver
    • By hildosaver 6th Jan 17, 10:54 AM
    • 250 Posts
    • 412 Thanks
    hildosaver
    Christmas was a nice break - back to work again and readjusting.


    Unlikely to be able to make a decent overpayment this month as our toilet decided to fall apart this week and urgent plumber required plus other christmasy expenses needing paying for.


    Still aiming to make at least a £150 overpayment before the end of this month which is better than nothing. I've already made £150 overpayment on our main home as normal so in total that would be £300. Hopefully will be able to get back to normal next month and get my old home overpayment up to £500.


    Target for 2017 is to get my old house's mortgage under 80k and our home's mortgage under 116k.


    Also hoping that 2017 could be the year we finally get some luck with the baby making - we are now on the IVF waiting list as of yesterday (currently 7 months apparently) although hoping it wont be needed.


    Happy new year all!
    Mortgage balance September 2012: £121,086 (First ever OP)
    Mortgage balance June 2017: £82,338
    • hildosaver
    • By hildosaver 14th Feb 17, 3:03 PM
    • 250 Posts
    • 412 Thanks
    hildosaver
    Hello again, quick update - I managed a £150 OP on both my old house and our own home in January and this month I have made a £500 OP on my old house and another £150 on our own home.


    Bit tight since Christmas to say the least but back to making my own lunches again in work is helping a lot. We managed to get away this weekend for a night and it was great.


    We also got ourselves a new wee dog on Friday night, saved from the pound. Lovely little thing and I hope we will enjoy it's company for many years to come.
    Mortgage balance September 2012: £121,086 (First ever OP)
    Mortgage balance June 2017: £82,338
    • KittyMoma
    • By KittyMoma 7th Mar 17, 2:27 PM
    • 37 Posts
    • 60 Thanks
    KittyMoma
    Awww nice you rescued a puppy. I'm sure you will have lots of fun with it
    Starting mortgage - £303,434.49
    Dec16 - £257,319 (OP £27,522.92 in 2016)
    Jan17 - OP £5,000 / Feb17 - OP nil / Mar17 - OP £300 / Apr17 - OP £300 / May17 - OP £300 / Jun17 - OP £7,461.01 / Jul17 - OP £500 / Aug17 - OP £500 / Sep17 - OP £500 / Oct17 - OP £500
    • hildosaver
    • By hildosaver 7th Mar 17, 2:57 PM
    • 250 Posts
    • 412 Thanks
    hildosaver
    Yeah he is great fun though he does have a habit of peeing in the house which is annoying lol hopefully we can sort that out over the coming months though.


    Another £500 OP this month sorted for my old house and another £150 on our home. Looking forward to the better weather so we can get away for nice cheap weekends in our van! I'm sick of the cold and the dark - though it's lovely to see the day's brighten up a bit recently.
    Mortgage balance September 2012: £121,086 (First ever OP)
    Mortgage balance June 2017: £82,338
    • daisy 1571
    • By daisy 1571 11th Oct 17, 12:33 PM
    • 131 Posts
    • 1,634 Thanks
    daisy 1571
    How's the figures and other life events going these days ?

    Daisy
    "Never save something for a special occasion. Every day in your life is a special occasion" Take hold of every moment by anon

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