Finally joining in.

coldstreamalways

So, we have paid the credit card off and now we are ready to tackle the big one. I'm going to do a diary to stay motivated so I thought I would introduce myself!

I am 28, hubby is 45 and has three children who live with their mum. We have what seems like a huge mortgage in comparison to many people on here (currently £238716:eek:) and live in our dream house with our chickens and veg patch :).

The credit card (about £8k) was taken out to pay the stamp duty on the house, we cleared that in 18months and at the same time have made small monthly overpayments of £100. The end of the CC coincides with me getting a promotion at work, which (by my calculations) will allow me to overpay £995 (max amount without charges) per month and I can let OH take care of savings. This apparently, will clear the mortgage (C&G 6.29% 5 year fix-high I know but all we could get when we bought) in 10 years.

I also have a part time job (averages 1 Sunday per month for about £150) that I will save separately and if possible, make one large OP a year along with anything extra that comes our way and pay the £10 fee if it's over £1k.

Once this is done, OH will retire and become my house husband . That's the plan anyway.

I'm hoping to join the next MF in 3 challenge but my aim is to pay £60k off the mortgage by the time my contact ends (Aug 2013). That will take us to just over 60% LTV.

So, new signature will arrive when I make the first big OP and away we go!!

tootallulah

Nice to see you. Looks like a good plan. I am doing home improvements so my mortgage will end up at £170-175k. I have to get it paid in the next seven years so our over payments will be similar. I need to pay £2000 plus interest every month from January, not yet clear how!

Aless

I have a mortgage of a similar size so there are plenty of us out there. The harder thing about a bigger mortgage is that sometimes even though you overpay a lot it can feel like a drop in the ocean as there is still so much more to go. My advice is to not get disheartened. Anyway your over payments sound like they are going to be pretty substantial.

Good luck!

coldstreamalways

That's every true Aless, makes it harder for me to stay motivated!! Off to part time job today, the second this month so should net just under £300, got one next month and two in December so should stay on track for the first big OP at the end of December. I may see what's left in November and try to OP £300, it will stretch things a bit but hey, that's what MFW is all about!

dimbo61

Have you got some savings just in case ?
Well done on the debt reduction so far

coldstreamalways

Thanks Dimbo, yes we have about £5k in premium bonds and savings. I have a building society account that is fairly high interest and has come out of my pay since I started working so that's building nicely and is the majority of our "just in case" fund.

coldstreamalways

What an awful start to the day! I overslept (not been sleeping well as have mild kidney infection), just managed to feed the chickens and leave on time, the motorway was closed then the road outside work was closed as two buses had tried to squeeze past each other and not managed it!!

Still, my first patient went well (a really difficult "aesthetic" case) and was pleased with her new tooth.

OH is still away so I'm going to paint over the red wine I splashed on the wall and repaint the skirting boards in our room, then catch up with the ironing. He is on half term now until 1st Nov but I don't want him to be too busy as he needs a break so I thouight I'd catch up with all the mundane stuff and he can then do thigs like thin out the trees in front of our house and fix the roof on the wood shed. He enjoys that sort of thing, honest!!!

Nothing else to report on MF, I'm just so delighted to be a MFW at last, I have a new signature though

SmlSave

I love your signature coldstream "Mortgage Murderer"!

coldstreamalways

Guilty as charged!!

NSD today but need petrol tomorrow. Roll on new job and train commute. No new tyres needed, no MOT or insurance. I know train tickets aren't cheap but once I have my season ticket, I can't see Chiltern Railways asking me to pay for a new starter motor!!

Still, that's not til August so will keep grinding out the miles until then!

Finished my painting for this eve, got back early from work as someone came round to measure for a new stairs carpet. I should take the old one up before OH gets back on Wed really but I don't know where to start. Perhaps I'll swab the house tomorrow eve and do the ironing (put off from this eve) and then start the carpet on Wed.

Put in my timesheets for Sept and this month so £330 ish should land in my bank account along with pay rise :j:j:jat the end of Nov, allowing us to clear absolutely everything before big killing spree on the big M starts at the end of Dec.

I have been OPing £100 a month since April but disappointingly, mortgage term hasn't gone down at all. Not sure what that means, if anyone can shed any light...? Perhaps because it's not very much on that mortgage balance? Maybe saved a few quid of interest.

juicygirl

coldstreamalways wrote: »

I have been OPing £100 a month since April but disappointingly, mortgage term hasn't gone down at all. Not sure what that means, if anyone can shed any light...? Perhaps because it's not very much on that mortgage balance? Maybe saved a few quid of interest.

Hi Coldstream,

I am intersted in seeing if anyone knows the answer to this too. I suppose it depends on mortgage rate etc? Hmm.

My mortgage is similar to yours and I hope to start overpaying in the New Year (when my debt is cleared) so will be reading with interest!

Good luck x

SmlSave

I have been OPing £100 a month since April but disappointingly, mortgage term hasn't gone down at all. Not sure what that means, if anyone can shed any light...?

Hi hun, have you asked your bank to reduce your term in connection with your OPing? If you haven't they tend to keep the term the same and just reduce the amount you owe - therefore still getting their interest out of you long term (evil banks)