To infinity and being mortgage free!!

elwistua

Hi all,

I too have been looking at these forums for sometime and getting into a position where apart from the mortgage we are debt free, now is the time to set about paying this off.

We moved a couple of years ago and have been putting in a new kitchen, bathroom, garden, flooring, boiler, etc so all the big jobs are done (thankfully).

We are coming off of a fixed rate mortgage at the end of December (remaining term 23 years at that point) and we are in the process of re-mortgaging on a 5 year fix at 5.64% over 15 years. Once we have built up the savings for a couple of years we are aiming to overpay to bring the term down a bit more. Once this new 5 year fix has expired we will both be earning a bit more in the way of salaries and so will hopefully reduce the term again! Either way we will have shaved 8 years off the mortgage and be mortgage free by my mid forties. :eek: However we would like to be mortgage free in 10 years which I think is achievable without too many sacrifices.

Well good luck too all the MFW's, take me to your leader :money: .

StuartGMC

Welcome
Another new Member, which is great to see!

Hope to learn of your progress against some interim goals, but do enjoy life along the way too. Good luck

frazzmunch

Hi elwistua and welcome aboard!!! :wave: well done on getting all your big jobs out of the way:j ...i have been living in my house for 9 years and still haven't managed to acheive much!!!:o

You will probably find that you become obsessed with paying off your mortgage early once you start....happens to us all, but it is good fun and you will find that everyone on here is really supportive and will help keep you motivated when you are feeling a bit stressed!!:D

Good luck with your journey....i'll keep popping in to see how you are doing!

setmefree2

Welcome & Good Luck:T:T:T

Jonbvn

Given the outlook for interest rates, I would question the wisdom of opting for another fixed rate mortgage.

elwistua

I have given quite a bit of thought to the ups and downs of the interest rate and there are pro's and con's plus there seems an unwillingness from the banks to drop the rates as some have put rates up already in anticipation of a rate cut this week. I also like the surety that the payments won't go up and if the pound does go down in value (a la the 80's with 15%+ rates) and the devaulation of the £ I won't have to concern myself with ever increasing mortgage payments.

Just to show how sad (and exciting) it is getting I have been on the One account web site and took part in the mortgage shrinker, after my 5 year fix has expired, move that and some savings (from the 5 year period) and offset it and we are down to.......... 3 years and 5 months, from 10 years!!!!

Wooohooo, mortgage free in my early forties, just in time for the mid life crisis, V8 sports car, etc, etc, etc. Just fingers crossed for the intervening 8 years and 5 months!!

elwistua

elwistua wrote: »

I also like the surety that the payments won't go up and if the pound does go down in value (a la the 80's with 15%+ rates) and the devaulation of the £ I won't have to concern myself with ever increasing mortgage payments.

Oh, does Mr George Osbourne look on this forum too, sounds like he is having the same concerns about the £ too?! Mr Brown you have been warned!

elwistua

Just a bit of an update, we are 6 months in to the MF plan and the things are going ok. With the ups and downs of the economy we are quite fortuante to both be working. We are planning to make some lump sum over payments every year as we want to ensure we are overpaying what we can afford. Given these overpayments and then at the end of our fixed rate offsetting the re-mortgage we hope to be MF in Dec 2018, :beer:. So fingers crossed and good luck to all and hopefully things (generally) get back to an even keel soon.

Jonbvn

Jonbvn wrote: »

Given the outlook for interest rates, I would question the wisdom of opting for another fixed rate mortgage.

My post from November makes me look prescient!;)

Peelerfart

OK I admit it I had too look up "prescient" ,and yes Jonbvn it does doesn't it .

Well done Elwistua, if I wasn't on such a good tracker I would have gone down the fixed rate offset route too.

elwistua

elwistua wrote: »

Just a bit of an update, we are 6 months in to the MF plan and the things are going ok. With the ups and downs of the economy we are quite fortuante to both be working. We are planning to make some lump sum over payments every year as we want to ensure we are overpaying what we can afford. Given these overpayments and then at the end of our fixed rate offsetting the re-mortgage we hope to be MF in Dec 2018, :beer:.

We have had a bit of a heart to heart recently regarding the whole mortgage free thing and while we are both fully on board with the process the path mightchange slightly in that we would look up building up some cash over the next few years and then pay a fair chunk of this into an offset. We don't have kids and so the view is that we both want to live and have the freedom to do what we want to, within reason when we want. We felt the annual OP could impinge on this. Also as we don't have kids and don't plan on them we don't have anyone to leave anything to and so may enjoy it as there are loads of MF's in cermetaries and cermatoriums but want to enjoy life within reason before I join them.