Overpayment calculator - here

Albert2

Hi,

Apologies in advance if covered elsewhere, did try looking but only calculator I could see that I'm looking for does not seem to be available anymore (#2 below).

Basically looking for one which can calculate reduction in term on variable overpayments for a mixed mortgage of re-payment and interest only.

Thanks in advance

david78 wrote: »

I have always used own overpayment calculators in Excel. Here are two of my best ones.

Both can calculate the effects of monthly overpayments in terms of interest and years saved. The first one is for a repayment mortgage. The second one allows for Mortgages that are a mixture of interest-only and repayment.

http://upload2.net/page/download/Ka9YJgoH1WDgZZm/Flexible+Mortgage+Calculator.xls.html

http://upload2.net/page/download/qn4pbDwpancDt2t/Flexible+Mortgage+Calculator+%28mixed%29.xls.html

If you don't have Excel, the spreadsheets also work in Open Office (free to use).

Enjoy.

PS. I don't use these now as I paid my mortgage off 12 years early using them :rotfl:

emh_2

Hi

Can anyone help me understand why there is such variation in results from the various calculators. I have typed the same information into 3 or 4 of the calculators mentioned in this forum (thanks by the way), to see when my £44k mortgage will finish by overpaying £500 a month (currently 8 yrs to go).

I am getting anything from 2.5 yrs to 4.5 yrs! Obviously I am hoping its 2.5 yrs, but why should they be so different? my interest is calculated daily (5.68%) and I have asked the BS to fix my monthly payments and reduce the term instead.

any clever maths people know the answer?

lamorna23

Hello there, I've looked into overpayments and at first it seemed straight forward but now I'm not so sure. I'm sure I'm missing something but can not work it out. Basically I don't know if overpayments really is worth it. These are the facts for me.

With a basic 6% mortgage a £100 monthly overpayment would mean a saving of £28000 and a new term of 19.2 years, however (according to another online calculator) saving £100 a month in an ISA over 19 years would earn me about £35000.

Have I made a mistake? I've always thought overpayments is the best way of saving money but my figures show otherwise.

bigbeff

Hi,

Can anyone offer me some advice - I am thoroughly confused. I have an interest only mortgage that I only started in August last year. I owe £129000 and my interest rate is 5.69% fixed for 5 years. Payments are £611.82. Is it worth me overpaying or putting it in separate account and paying a fixed lot off maybe once a year? I needed to start on interest only, however my wages will go up a bit soon so I may be able to pay a bit more soon.

Any help would be appreciated!

Thanks

FunBrum

I haven't got a clue, but would like to know too. I'm sure someone will come along shortly with the answer!

lamorna23

bigbeff wrote: »

Hi,

Can anyone offer me some advice - I am thoroughly confused. I have an interest only mortgage that I only started in August last year. I owe £129000 and my interest rate is 5.69% fixed for 5 years. Payments are £611.82. Is it worth me overpaying or putting it in separate account and paying a fixed lot off maybe once a year? I needed to start on interest only, however my wages will go up a bit soon so I may be able to pay a bit more soon.

Any help would be appreciated!

Thanks

Hi there I'm not an expert so maybe someone else can confirm what I say. As I understand it, on an interest only mortgage you just pay the interest, your capital stays the same and you have to find a way to pay that off. I'm guessing your house was bought for £129,000 so say you pay £611.82 for the 5 years you will still owe £129,000 at the end of the 5 years. Worst case scenario is your house price goes down and still owe £129,000 and you will have paid £36709.20 in interest.!!

The way I see it you're paying £611.82 rent. That's the way I see it. Sounds a bit harsh but that's the way I see it.

First question is how will you pay off the £129,000?? This is a very important question. The best thing would be for your house price to go up so say your house is worth £200,000 in 5 years. You could sell the house and you will have earned £71,000.

I'm a bit confused about your question about overpayments with regards to a interest only mortgage. But going off what I've said about how I understand interest only mortgages any overpayments will only pay off your £129,000 capital. If that's the case say you make £100 overpayment a month, that £100 will only come off the £129,000, but you may want to check with your lender. If I'm right you're best bet is to save the overpayment into an ISA and use that to pay a chunk off the capital at the end of the 5 years.

I hope that helps, maybe someone can confirm what I've said.

sooty&sweep

Hi

We have a part endowment, part repayment, mortgage.

I'm trying to find an overpayment calculator that will show how much the impact of us pay £100 per month against the mortgage is having.

Of the ones I've seen they ask for a split on the monthly payment between the endowment bit & repayment bit which I've no idea. I know the endowment bit but not the interest element.

Any suggestions ?

Thanks

callyrob22

Thanks guys!

I'm so amazed by this thread, i really had no idea how much you could save!!

I'm going to try my best at hitting my limit off £499 a month overpayments. I'll be mortgage free in 7.6 years if i do!!

P.S i have £2750 in an ISA is it worth paying this as a lump sum of my mortgage or leaving it in there?

Thanks everyone!!

£67570 to go!

superflygal

Hi folks,

may sound like a dafty question, BUT how do you go about overpaying? Do you need an account number etc to set up a standing order into your mortgage account? Do you have to phone the lender for the details?

Doh!
Superflygal x

lamorna23

callyrob22 wrote: »

Thanks guys!

I'm so amazed by this thread, i really had no idea how much you could save!!

I'm going to try my best at hitting my limit off £499 a month overpayments. I'll be mortgage free in 7.6 years if i do!!

P.S i have £2750 in an ISA is it worth paying this as a lump sum of my mortgage or leaving it in there?

Thanks everyone!!

£67570 to go!

Keep the ISA only as long as the interest rate for the ISA is higher than the interest rate on the mortgage.