MG33 is a mortgage free wannabe!

MG33

Hello to everyone on the board

I'm long time lurker on the MSE forums and thought it was high time I registered - this is my all time favorite thread and the diaries are a real inspiration.

My partner and I have been working hard to reduce our mortgage for a while although it's only in the last two years that we have been in a poition to make overpayments. We were very lucky to get an HBOS staff mortgage in Nov 2008 for which interest is charged at base rate, which has allowed us to overpay as interest rates fell. It has been great but the tax is a pain - HMRC seem to be very confused about what we should be paying and my partner's tax code is up and down like a yo yo. Thank goodness we aren't higher rate tax payers!

We part company from our current mortgage at the end of Feb 2011 (not through choice, partners company restructured). No complaints from me though, I'm just appreciative that we had a chance to take advantage of the deal.

We move to First Direct on a 5 year fixed at the beginning of March, at 3.89%. There have been better rates about over the last 6 months but First Direct offered the most flexibility for overpayments etc. - plus I have been completely won over by their excellent customer service. Call me old fashioned but I like having a voice rather than a menu on the end of the phone

We hope to continue to make overpayments and lump sum payments whenever we get the opportunity. Trying to start a family so we are shoving every spare penny in, while we are able. It might not be sustainable long term if a wee one comes along but if I've learned anything from this board, it's that every payment counts!

Remortgaging for £82k in March although by the time we are due to make our first payment we think we will have a £2k lump sum to put in. I'm 34 this year and would love to pay it off before the big 40. I'm not sure how realistic that is, after all a lot can happen in 6 years! However with some careful planning, frugal living and hard work, I'm sure I can get damn close to that goal!

Haven't really decided what the ultimate goal is in paying off the mortgage - it might be to move again in the future to our 'dream home', maybe to work part time to enjoy raising my (not yet conceived!) family. I guess I've got time to figure that part out, in the meantime trying to beat the mortgage into submission can't do any harm!

I'll let you all know if I get to the stage of picking up 5p in the street and transferring it to the mortgage account

Good luck everyone, it's great to know that there are so many people making the same journey as me.

wantabetterlife

Goodluck MG33, look forward to reading your progress.

linz

Good luck MG, i shall follow your progress

(I'm already at the picking up 5p off the floor stage) :rotfl:

MG33

Thank you very much indeed

I'm going to read all the MFW posts again for some ideas and inspiration.

yukkibear

Welcome to the boards and good luck with your journey

thriftyminx13

good luck as a recent MFW this board is very inspirational, even if I don't seem to be able to make too many OPs but every little helps. I have subscribed. You might want to edit your signature to reflect your updates TF13

MG33

Thanks to everyone for their support and encouragement... just wondering if you are all addicted to the overpayment calculator too?

Well I still need figure out the best way to track progress in my signature, but the good news for today is that the mortgage has transferred and we managed to reduce the old mortgage to £80,319.11 from £82,000 before it went through :j If I had the account details I would pay in that 11p

Since there was no council tax to pay the last few months and we have been saving every penny, I have another £1320 to pay in as soon as we have the new mortgage account details, bringing the mortgage to under £79k (ok £1 under but still under :rotfl: )

Slightly irked to find out that I can't view my repayment mortgage online with my new bank - apparently only offset mortgage can be viewed online as they have 'real time' balances. Bah. But at least you can call and get someone 24 hours a day - I can see me ringing in the middle of the night to check my balance when I've been dreaming about it (again!)

Hope you are all doing well and that your mortgages are diminishing!

Emsky123

Ha Ha, I am addicted to the OP calculator too, I look at it nearly every day as it keeps me focused on the end goal.

You will soon be at the same figure of £79k that i want to be at the end of this month, Cant wait to get below the £80K mark

lincoln-potter

Hello MG,

Welcome to MSE and more importantly to MFW

I look forward to your progress.

LP

hastie

wishing you all the best in your journey.

Remember, you can quit the rat race, as long as you get used to eating a little less cheese!:)

dimbo61

Thats a great long term fix and if you can keep up with the overpayments you may yet be MF before the big 40 but in the mean time every penny you OP now also build up your overpayment pot just in case you need a mortgage holiday
Good Luck