bungrefurbs mortgage free journey

clearmydebts

bungrefurb wrote: »

Hi all, we've managed to pay the 10% overpayment for the year which is great news. It means we can buiild up a nest egg and put money away for january 2011during the rest of the year. We have reduced the term to approx 7 and half years.

Well done - what a fantastic achievement!

SOandSO

:jWell done

setmefree2

:T:T

bungrefurb

Thanks all x

bungrefurb

Hi all...........am after some advice and know you all will help . Where our aim has always been to pay off the mortgage, our focus had had to change. Basically we need to increase the term on mortgage so that payments become manageable on our income thats suddenly been reduced quiet drastically.

We were paying 2800 permonth nd had a term of apprx 7yrs and 8months left. We have a good amount of savings but need to divert them into paying tax in january (hubby self employed). This leaves us in a situation where we have no 'savings pot'. Realistically we could afford 2000 per month and divert 800 into savings. Not sure what to do. I spoke to mortgage company and we can increase term to 31 years making payments approx 1150 permonth. Not sure what to do. Looking for ideas. We are on a fixed rate of 5.63 till march 2011.

Keen to hear others views, bungrefurb

bungrefurb

update.........mortgage payments down to 2k per month, this means the term is increased to 11 years approx (don't have exact figures to hand) This means we are still overpaying but not as much as we were doing. Life changing events took place earlier this year meaning we had to veer of course abit. Still things could have been alot worse.....am hoping to get back on track in the next 6months. Will do an update once i've spoke to abbey (or is it santander now?) in the morning.

bungrefurb

Have all but paid it off. hard work and determination has helped. As well as not changing cars, shopping wisely etc.

We have an outstanding balance of £800. So payment as of 1st September will be about £12. We've decided to leave it going at that knowing we can pay it off at anytime.

Thank you all so much on the very useful information across the forum.

Good luck to you all in your quests.

tootallulah

Many congratulations that is really brilliant. Well done you.