Starting the mortgage free path

cb4fwh

I've just started using airbnb as well - I prefer a hotel if I'm only staying a couple of nights, but always use airbnb for longer stays...

Yeah, I've been tracking the 5 year fixed rates as well. I'm looking at around 40% LTV, which Santander were offering at 2.99%, but has recently shifted to 3.09%

Not aware of any lifetime trackers +0.99%! Like you say, that's a pretty impressive rate given that you aren't tied in to these mortgages and can leave at any time without penalty. For those with 60% LTV or better, it appears that there are also no arrangement fees etc.

One caveat - my figures are based on a customer remortgaging to Santander, as I can only get the rates for existing customers if I ring them up!

My 5 year fixed rate ends 31/08/14. You can switch to a new tracker mortgage 4 months prior (so 01/04/14) or fixed mortgage 3 months prior (so 01/05/14), so my plan is to ring them up re. tracker mortgages on the 01/04/14 to see what they have on offer. If it is base rate + 0.99%, I'll be every happy!

I seem to be in a similar position to you re. mortgage payments - £22800 for me over 2013. Happy with that!

bownyboy

So almost at the end of the month at which point I'll be able to call Santander about remortgage options.

Interestingly I got the invite to Santander Select which also gives you preferential mortgage rates - tracker is currently 2.39%, so really hoping I can bag that rate when I call on Saturday.

This would save a chunky £144 per month on interest, not to be sniffed at.

FloppyDisk

Hey Brownyboy, glad your plan is coming together. I'm still very nervously starting off with my S&S ISA, only £50 a month for me but so far so good, £3.63 profit!!!

bownyboy

FloppyDisk wrote: »

Hey Brownyboy, glad your plan is coming together. I'm still very nervously starting off with my S&S ISA, only £50 a month for me but so far so good, £3.63 profit!!!

£3.63 is good! you obviously got in at the right time. I'm finally showing £6 profit after 4 months of falls, mostly because of the FTSE rally this last week I think.

bownyboy

So for those that have followed the thread you will know that we bought this house nearly 5 years ago in a probate sale (first time on the market for 50 years) and have slowly worked our way through the house doing it up (when funds allow) such as complete re-plaster, total rewire, new bathroom, new kitchen, new downstairs engineered wood in kitchen / hallway, stripped wooden floors in dining room & sitting room.

We still have things to do such as new boiler, new pipework, replacement downstairs toilet, replacement fireplace in sitting room with wood burning stove. New backdoor frame and porch, fix hole in ceiling in dining room where we had a leak. Replacement paving slabs in back garden. New carpet throughout upstairs.

Sooooo, we've been thinking of adding on £15k to the remortgage request this week so we can get everything done all at once (really fed up of living with old boiler & fireplace, means we can't lay carpet upstairs until all pipework is relaid also).

Not exactly MSE, but I'm telling myself to look at it as taking back some of my already done overpayments.

Plus I'll be paying £140 a month less interest (hopefully!).

Will put back the end date by a year, but I can live with that. Still mulling it over, goes against what I've been doing, but the pull of getting it all done after 5 years is strong!

cb4fwh

Go for it, there has to be a compromise between living comfortably & being a MFW!

I did the same thing 3 years ago - borrowed £25k to egg this house pretty much finished - it was definitely worth it!

cb4fwh

Interesting, I am also a Santander Select customer, but wasn't aware re. preferential rates. Did you get these rates through the post, or are they online?

bownyboy

cb4fwh wrote: »

Go for it, there has to be a compromise between living comfortably & being a MFW!

I did the same thing 3 years ago - borrowed £25k to egg this house pretty much finished - it was definitely worth it!

My thoughts exactly! Don't think we can do another winter with bare floorboards upstairs and half warm radiators!

Our neighbours take friendly delight in telling us how they fired up the wood burner each time I see them!

bownyboy

cb4fwh wrote: »

Interesting, I am also a Santander Select customer, but wasn't aware re. preferential rates. Did you get these rates through the post, or are they online?

I went to the website after receiving the invite http://www.santanderselect.co.uk/mortgages.html details out the tracker offer which is a tad lower than their normal website.

Am going to call them on Saturday so will update here with the results.

cb4fwh

bownyboy wrote: »

My thoughts exactly! Don't think we can do another winter with bare floorboards upstairs and half warm radiators!

Our neighbours take friendly delight in telling us how they fired up the wood burner each time I see them!

And a wood burner will be the best purchase you ever make - writing this in front of mine as we speak! I would never be without one now!