"Rent money is dead money"

Dithering_Dad

Numenor wrote: »

Excellent job, sir. Wish I could make such a dent in my outstanding capital, but my £200 a month overpayment will have to suffice for now.

Keep at it, every £1 overpaid makes a huge difference over the term of a mortgage. If you look at one of the debt snowball or amortization calculators you'll be amazed at the savings in interest payments you make over a standard 25 year mortgage term by making even modest overpayments.

Pobby

Glad to hear that DD. Sounds like you are well on top of the situation. However I wonder how many people are you know. How many have made real efforts to do something about a failing endowment for example.

I was talking to a relative, 10 years younger than me so still with a fair bit of working life left. From what I gather they have been enjoying a six figure annual income yet they havn`t made a massive effort to cover the short fall, have mewed, I think, £30k before they were aware of the short fall and also have a car loan. Problem for them is they had the chance to get sorted but those old hdi plasmas and 3 holidays abroad each year kind of got in the way.

Sadly that chance will not come around for a long while yet as most of the income came from the building industry in which they have a business.

setmefree2

Pobby wrote: »

Glad to hear that DD. Sounds like you are well on top of the situation. However I wonder how many people are you know. .

More people than you think, probably.

http://news.bbc.co.uk/1/hi/business/7802819.stm

Home loan repayments 'a priority'



"households put £5.7bn of equity back into homes in the third quarter. This came after they put £2bn back into their homes in the second three months of the year as property prices started to fall sharply.....

The latest data shows that people are concentrating on repaying their mortgage, rather than adding to their debts....

The latest statistic shows this trend has continued as it is the biggest injection of equity since the figures were first compiled in 1970.

Dithering_Dad

setmefree2 wrote: »

More people than you think, probably.

http://news.bbc.co.uk/1/hi/business/7802819.stm

Home loan repayments 'a priority'



"households put £5.7bn of equity back into homes in the third quarter. This came after they put £2bn back into their homes in the second three months of the year as property prices started to fall sharply.....

The latest data shows that people are concentrating on repaying their mortgage, rather than adding to their debts....

The latest statistic shows this trend has continued as it is the biggest injection of equity since the figures were first compiled in 1970.

Lots of us in the MFW board too, especially on the "Mortgage Free in Three" thread, where we have paid off over £2M worth of mortgage debt since April 2007. I

setmefree2

Dithering_Dad wrote: »

Lots of us in the MFW board too, especially on the "Mortgage Free in Three" thread, where we have paid off over £2M worth of mortgage debt since April 2007. I

And the 2008 challenge thread also, where they have paid off just under half a million! So that's £2.5 million not bad...;)

http://forums.moneysavingexpert.com/showthread.html?t=435291&page=196

http://forums.moneysavingexpert.com/showthread.html?t=1393221

chucky

it's good to hear guys well done!!
it just shows that it's not doom and gloom for everyone out there.
congratulations

mbga9pgf

chucky wrote: »

it's good to hear guys well done!!
it just shows that it's not doom and gloom for everyone out there.
congratulations

IT is for retailers that would otherwise have 2.5 mill in their tills instead at the moment! :eek:

curlyboy

its like putting money in the bin renting waste

Dithering_Dad

mbga9pgf wrote: »

IT is for retailers that would otherwise have 2.5 mill in their tills instead at the moment! :eek:

I can't speak for the other MFW (Mortgage Free Wannabe) people, but for myself, if I hadn't put the £43.5k that I have paid onto my mortgage since April 2007, I would have invested/saved it in a different way.

I certainly wouldn't have wasted it on consumer items. My aim has been to work extremely hard over a 3 to 5 year period and to salt as much as this money away as I can. This is a short-term sacrifice that I am hopeful will give me long-term financial security.

As I said, I don't want to speak for the other MFWers but I can say that I have read many of their posts and know that while we are all working towards different financial goals, none of us have the goal of being a spendthrift.

doire_2

Sally_Gee wrote: »

That is all.

You sound like a right !!!!!!.

I rent in a new development. Im saving to get married so whats the point in me buying a house right now when they will continue to come down in price?

In my case getting a mortgage now and seeing the house prices drop a lot more would be a waste of money.