The Ultimate Mortgage Calculator discussion

Tickle71

Can the calculator be updated to only show the years that your regular overpayment was within the 10% limit.

gman1001

I have used the calculator and it advises that it is better to keep money in savings rather than to overpay. At some point in the future saving interest rates may fall and at that point it may be better to overpay.
The calulator assumes no changes like above over the term. I wonder if it is better to make overpayments early in the mortgage term for greater impact and it the calculator considers this scenario?

hairywalrus

lord.ford said:

I'm sure this has already been covered but I'm confused as to the 'overpayment vs savings' approach of the the tool.

I'm with you.  My savings rate is somewhat higher than my mortgage rate, yet somehow the tool concludes I'll be better off making overpayments.  The saving from overpayments is £20k but the "gain" from stashing it in savings is £17k.  Now totally confused what I should be doing.

Interesting2me

Would be great if you could enter allowed penalty free overpayment and the tool then apply up to maximum of that value per year. Then it would be clear as to when the real end date is and what is the actual saving is. Even smarter if for example unused amount is reported for each year so you can see how much would be available to pay off as lump sum in a remortgage scenario perhaps