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  • FIRST POST
    • Mfw2016
    • By Mfw2016 25th Sep 16, 12:47 AM
    • 22Posts
    • 23Thanks
    Mfw2016
    MF before I'm 57!
    • #1
    • 25th Sep 16, 12:47 AM
    MF before I'm 57! 25th Sep 16 at 12:47 AM
    Hi all.

    Today I signed up for a mortgage!! If all goes to plan, I will soon be the proud owner of my dream home and a 26 year mortgage!

    I currently can't sleep and I'm not sure why... Is it because of what I did today, or someother reason? Who knows! I will however make the most of not being able to sleep and I'll put a plan in to place to pay this mortgage off as fast as possible.

    I went in to the meeting, being told that the bank was willing to lend me the £80K possible over 33 years and walked out having it reduced to a term of 26 years, so in one day I've already reduced the term down by 7 years!!!

    However, 26 years still means that I will be 57 when its all paid off

    I made sure that the mortgage that I went for was one where I can make overpayments, and it was agreed that I can pay £7k per year extra without incurring any costs.

    A little bit about me. I am 31, female and buying on my own. I work in accounts earning £20k pa and unless anything changes soon, I don't see myself having children in the future. I don't have the patience nor the inclination. I am a career girl and I am exhausted running around after my baby niece for the afternoon!

    I can comfortably pay my mortgage and the property should cost me in bills, the same I have been used to paying when I was renting. This means that providing everything works out as I have estimated, I should have approximately £600 per month to put aside for an emergency fund, treat myself to a holiday (been 7 years since my last one ) and overpay my mortgage!

    I do not want to be still paying for a mortgage when I'm 50 let alone 57, so this diary will be my log of how I will work to budget, create an emergency fund and reduce the term on this massive loan I have essentially taken out!!!

    Please wish me luck! I think I'm going to need it!! Xx
Page 2
    • Mfw2016
    • By Mfw2016 5th Oct 16, 2:51 PM
    • 22 Posts
    • 23 Thanks
    Mfw2016
    Remember your payment term only increases if you keep the minimum payment. If you increase your payment back by £12, the term will drop back to 26 years
    Originally posted by NorthernMonkey1
    Thats a good way to look at it!
    I was going to make overpayments anyway once it finally starts so ill just increase it by the £12 as well
    • ScotinLondon
    • By ScotinLondon 5th Oct 16, 9:02 PM
    • 268 Posts
    • 3,019 Thanks
    ScotinLondon
    Just found your diary.. will subscribe.
    Good luck with everything...

    I started ACCA three years ago and now am on the professional papers, hard but worth it and in some cases, enjoyable too.

    Keep plugging away with all the pots, things do have a habit of coming together.

    SIL
    NSD J16 23/31; F16 19/29; M16 24/31; A16 24/30; M16 19/31; J16 20/30; J16 20/31; A16 25/31; S16 23/30; O16 24/31; N16 16/30
    GC Mar-Sept £868.45/£1,040; Sept/Oct £129.36/£140; Oct/Nov £99.52/£150.00
    CCC 2016 £40.43/£400
    • Mfw2016
    • By Mfw2016 11th Oct 16, 2:14 PM
    • 22 Posts
    • 23 Thanks
    Mfw2016
    Another £100 went in the savings pot this weekend. I sold my chest freezer for £50 as there is no room for it in the new house so that went across. I also moved a spare £20 I had laying around and £30 which I would have paid on my TV subscription which I cancelled when I moved back to my mums.

    I had the valuation on the house approved on Friday and my mortgage application was approved yesterday so all things are looking up and going ahead.

    The flat (where my deposit is) is almost ready for completion so all is looking favorable and happy.

    Xx
    • Dolly Rocker
    • By Dolly Rocker 11th Oct 16, 2:51 PM
    • 2,646 Posts
    • 7,044 Thanks
    Dolly Rocker
    Excellent! Love it when you get a wee bit extra into the savings pots.

    I can't wait till January so that I can start buidling up my savings again.

    Eeeeeek so exciting.

    Dxxx
    Debt Free by Xmas 2017 6,186.67/14,523.76
    Saving for Xmas 2017 0/365
    Goal Weight by August 2017 27lbs/84lbs
    Mortgage Savings 2020 0/25,000
    • Mfw2016
    • By Mfw2016 23rd Nov 16, 9:21 AM
    • 22 Posts
    • 23 Thanks
    Mfw2016
    Not been on for a while. Felt like nothing was going to happen for a long time as I had to wait for confirmation from the local council that I was eligible to buy the property - its a discounted "affordable" house.

    I went around and around again for weeks trying to find out who to speak to then, low and behold it was done and dusted in a 5 minute phone call and I had the paper in my hands 30 minutes later. That was on the 15/11. One week later I was asked if we can complete next Tuesday - 29th!

    We are all on track and i'm going in to sign tomorrow.

    All I have done since is work on my studying and on one of the weekends, I went to the old flat, opened most boxes and de-cluttered. I sent loads to the charity shop and loads to the tip but there are still over 20 boxes! I barely touched the kitchen stuff because everything was wrapped up nicely. I may just take each item out of the box, check what it is, see if I want it and if not, move it straight into another box to go back to the charity shop.

    Maybe next time i'm on here I will be saying its all done! Fingers crossed (and toes)

    x
    • Mfw2016
    • By Mfw2016 27th Nov 16, 7:27 PM
    • 22 Posts
    • 23 Thanks
    Mfw2016
    Well the mortgage will be sent to the solicitors and providing nothing disastrous has happened over the weekend, we will be exchanging tomorrow and completing on Tuesday!

    Exciting times ahead but scary! I'm nervous but can't wait to move in.

    If all goes to plan, on Tuesday I will get the keys, go down and see if anything needs doing. The rest of the week will be studying and cleaning up and then next weekend, we get the hire vehicle and we move my things in. I also have to find some time to pack the bits I have at Mums house!

    Ooh an exciting busy week ahead for me!!
    Xx
    • Maximum Saving
    • By Maximum Saving 27th Nov 16, 7:41 PM
    • 151 Posts
    • 254 Thanks
    Maximum Saving
    Hi there. It is great that you have worked out how old you will be when your mortgage is paid off. I am pleased that you have looked into how much you can pay in overpayments. In my experience overpayments can reduce a mortgage term.

    I began my 25 year mortgage in 2010. My first deal lasted for two years and close to the end of it I went to see a mortgage advisor. I had hardly paid off much in those two years. So I asked her how much per month my direct debit would be if I changed the term to 10 years. I began a five year fixed mortgage deal in 2012. Therefore it ends in 2017. Due to my overpayments I will be able to pay it off in 2017.

    I am allowed to pay up to £500 a month more that my direct debit amount. If I wish to pay more there would be a 5% fee. I am using Regular Saving Accounts and overpayments to help pay off my mortgage. I will be 44 years old when my mortgage is paid off.
    • Kittenkirst
    • By Kittenkirst 27th Nov 16, 7:44 PM
    • 830 Posts
    • 3,727 Thanks
    Kittenkirst
    Remember you can use sites like freecycke & gumtree to donate bulkier goods which can save having to carry too much to the charity shop

    Good luck for Tuesday!
    Emergency savings- £701.54 /£1000
    Mortgage Oct '16- £170.995 LTV- 90%
    2016 OP target- £14.58/ £150 -
    Mortgage end date- Nov '41

    NST: 42
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