Mortgage Reduction Beginner to Novice - The Show Begins

Mortgage_Reduction_Novice

Some house renovation updates for you, now that I’ve come down from the gloss paint high:

• Bedroom – MrMRN and I applied a fresh coat of paint to the walls, fixed wonky curtain pole and I removed curtain creases by hanging in the bathroom after a shower. I’ve got my eyes peeled on freecycle and freeloved for a headboard that I’ll recover myself to match the room.
• Hall/stairs/landing – carpenter finished the new banister/handrail. MrMRN and I painted throughout, even the doors! I hand-stitched the roman blinds for the windows, half price compared to buying made-to-measure!
• Living room – fresh coat of paint, original wood floor sanded by carpenter and our neighbor generously donated his time and left over hardwood oil to seal it. Fireplace installed. Made-to-measure curtains the same price as buying all the components and making so I saved myself some sewing but I will make some cushions.

We are officially ¾ of the way through renovating the house now which has hopefully raised the price and therefore improved our LTV.

I am back at work after two weeks off. Two days in and I’ve managed to bring lunch to work and hang the washing outside on both days and I've charged my mobile phone too… starting as I mean to go on!

I’m still going cross-eyed over how to reduce my spending (abbreviated SOA on previous page). Thanks MCI for your suggestions. If anyone else has any ideas do let me know.

misscousinitt

Mortgage_Reduction_Novice wrote: »

Hi MCI,

Car - two more years of payments then a lump sum. I have the lump sum in savings already but I figured that'd wipe the savings so better to save monthly aswell. Any ideas, is this the wrong approach?

On DFW they would tell you to pay the car off! Are you paying interest on your payments? I understand that you want to keep your savings, so maybe you are doing this the right way.

Haircut is every other month but £40 a go. I could try to stretch another week or so between cuts. Please don't suggest training hair cuts - I did this through Uni and PhD with variable results!

Is that for a colour and cut? If for colour have you thought about doing the colour yourself and then just have a cut? Or can you take a colour with you and ask if they will put it on for you? (our local hairdresser does this for my friends who have colours) - would not suggest trainees as I've never had it done and wouldn't know what it would be like.

I know I can cut back on the groceries with a little effort and by easing it in so that MrMRN doesn't notice the difference. I think £125 is too much per person but in reality I probably eat £100 worth and MrMRN eats £150 (physically demanding job). I'll get myself to the OS boards ASAP!

Is it just the two of you? If so, then you can definately get this down - we both are both big eaters and ours is £200 max - usually a bit less (and this includes free range chicken and wine!

Hope you didn't think I'd forgotten you!

Couple of thoughts above.

MCI
xxx

ammonite

Well done on the house renovation MRN - it is no mean feat. We spent a couple of years building and renovating and sometimes there is no light at the end of the tunnel but so worth it in the end. I'm very excited as I estimate our LTV is going to be less than 50% next month

Mortgage_Reduction_Novice

ammonite wrote: »

Well done on the house renovation MRN - it is no mean feat. We spent a couple of years building and renovating and sometimes there is no light at the end of the tunnel but so worth it in the end. I'm very excited as I estimate our LTV is going to be less than 50% next month

Surely you mean 'over 50% next month'? I always thought the aim was to make LTV as big as possible? :huh:Have I got the calculation the wrong way round?:think:

Mortgage_Reduction_Novice

Thanks MCI...

misscousinitt wrote: »

On DFW they would tell you to pay the car off! Are you paying interest on your payments? I understand that you want to keep your savings, so maybe you are doing this the right way.

This was a really helpful trigger for me to request a settlement figure for the credit. I think it might be more than my total savings at the moment but might be possible to clear it before the official end (Nov 2014) and save some interest.

misscousinitt wrote: »

Is it just the two of you? If so, then you can definately get this down - we both are both big eaters and ours is £200 max - usually a bit less (and this includes free range chicken and wine!

I think this is my key area to focus on. And now it's at the forefront of my mind (plus the grocery challenge) I'm already not spending as much or going to the supermarket out of habit (rather than need).

BaconandEggs

Hi MRN.

Congratulations on the progress with the house renovation.

You're spending looks pretty good. Apart from what people have mentioned (haircuts and car) I can't see any obvious areas to cut back on within reason. Fuel is high - but you need to get to work. Would it be worth looking for a more economical car. What engine do you currently have?

For the entry for the TV license, I assume your joint spending list includes total joint spending (i.e. not just your contribution to the gas and electric etc.?

Are there 2 of you? If so: your gas and electric look particularly cheap as does your life insurance (although ours is well above average - so this may have skewed my view). Internet and phone is also cheap, as is water. Mobile bills appears very reasonable.

Our food budget is £50/week for 2 include all household products and toiletries, and packed lunches. You're not far off this amount, although the old style board would consider this high. Might be worth looking there for some food savings.

All looks very sensible.

Radish72

Simples

Shave your hair off, that will save you some pennies :rotfl:

numptyknownothing

Well done MRN - I'm in awe. DH did our bannisters and handrail earlier this year and it still only has the first coat of gloss. The paint got put away and somehow we've not found the time to go back to it. If you get withdrawal from the fumes feel free to come round

coldcazzie

BaconandEggs wrote: »

Are there 2 of you? If so: your gas and electric look particularly cheap as does your life insurance (although ours is well above average - so this may have skewed my view).

Really? I was thinking their life ins looked quite high - ours is less than £30 for both of us, and I'm asthmatic and DH has Type 1 diabetes (lots of ins companies we tried wouldn't even give us the time of day). I agree about the fuels though, I'd be thrilled if we spent less than £50 pcm on both so well done there!

Radish72 wrote: »

Simples

Shave your hair off, that will save you some pennies :rotfl:

:rotfl::rotfl::rotfl::rotfl:

BaconandEggs

coldcazzie wrote: »

Really? I was thinking their life ins looked quite high - ours is less than £30 for both of us, and I'm asthmatic and DH has Type 1 diabetes (lots of ins companies we tried wouldn't even give us the time of day). I agree about the fuels though, I'd be thrilled if we spent less than £50 pcm on both so well done there!


:rotfl::rotfl::rotfl::rotfl:

I can only compare it to our caz. We pay £40/month. However, we have a relatively new mortgage and a load of pre-existing medical conditions.