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An easy 5 year reduction!!
Phelpsie001
Posts: 229 Forumite
I am on a 5 year fixed deal 6.59% (I know, ouch), due to end in August 2014.
I currently pay £759.42 a month with 32 years and 6 months remaining. I have just increased my monthly repayments by approx £40 and it has reduced my remaining term from 32 years and 6 months to 27 years!! Wow!!
I knew it would reduce it but by that much?! =D
If I didn't overpay ever again, I'd be mortgage free by the time I'm 49 now. I plan on being mortgage free by 40 at the latest and so this has helped SO much =D
I currently pay £759.42 a month with 32 years and 6 months remaining. I have just increased my monthly repayments by approx £40 and it has reduced my remaining term from 32 years and 6 months to 27 years!! Wow!!
I knew it would reduce it but by that much?! =D
If I didn't overpay ever again, I'd be mortgage free by the time I'm 49 now. I plan on being mortgage free by 40 at the latest and so this has helped SO much =D
Original Mortgage Debt - £130,330.
Current Mortgage Debt - £116,605.
2010 O/Ps - £5,000. 2011 O/Ps - £1,978.42.
Original Loan Debt - £6,000. Current Loan Debt - £3,500.
Original HP Debt - £1,000. Current HP Debt - £240.
Current Mortgage Debt - £116,605.
2010 O/Ps - £5,000. 2011 O/Ps - £1,978.42.
Original Loan Debt - £6,000. Current Loan Debt - £3,500.
Original HP Debt - £1,000. Current HP Debt - £240.
0
Comments
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Great example Phelpsie! A small difference makes such a big long term change to your future doesn't it
We're on a track to go from 18 years mortgage to approx 18 months, which if we make it will be just brilliant. Keep up the good work! Feb 2012 - onwards MF achieved
September 2016 - Back into clearing a mortgage - Was due to be paid off in 32 years in March 2047 -
April 2018 down to 28.00 months vs 30.04 months at normal payment.
Predicted mortgage clearing 03/2047 - now looking at 02/2045
Aims: 1) To pay off mortgage within 20 years - 20370 -
Phelpsie001 wrote: »I am on a 5 year fixed deal 6.59% (I know, ouch), due to end in August 2014.
I currently pay £759.42 a month with 32 years and 6 months remaining. I have just increased my monthly repayments by approx £40 and it has reduced my remaining term from 32 years and 6 months to 27 years!! Wow!!
I knew it would reduce it but by that much?! =D
If I didn't overpay ever again, I'd be mortgage free by the time I'm 49 now. I plan on being mortgage free by 40 at the latest and so this has helped SO much =D
I am on a 6.99% 5 year deal:eek:... only another 2 years left though.
what does £40 a month extra lower your monthly repayments to?[STRIKE]£106,200[/STRIKE] mortgage with 5% deposit 2 years ago on 6.99% 04/06/08 :eek:
Overpaying the max 10% per year for the next 2 years until July 2013 when I can remortgage and should be able to get down to 55% LTV.
Overpaid 10% £10,619.87 Dec 2010 & 10% £9,475 Aug 2011
Mortgage was £690 now £560
Currently £85,203 - 71% LTV 26/08/110 -
And you're right 6% = ouch... Even more reason to clear off as much as you can!Feb 2012 - onwards MF achieved
September 2016 - Back into clearing a mortgage - Was due to be paid off in 32 years in March 2047 -
April 2018 down to 28.00 months vs 30.04 months at normal payment.
Predicted mortgage clearing 03/2047 - now looking at 02/2045
Aims: 1) To pay off mortgage within 20 years - 20370 -
I am on a 6.99% 5 year deal:eek:... only another 2 years left though.
what does £40 a month extra lower your monthly repayments to?
HI there! It actually increases my monthly repayment from approx £760 to £800....However, it increases my capital repayment each month from about £80 to over £120!!
I think my interest per day is something silly like £20 and this has reduced it to about £18.50
Original Mortgage Debt - £130,330.
Current Mortgage Debt - £116,605.
2010 O/Ps - £5,000. 2011 O/Ps - £1,978.42.
Original Loan Debt - £6,000. Current Loan Debt - £3,500.
Original HP Debt - £1,000. Current HP Debt - £240.0 -
The way to think of it is, that your original monthly payment was already covering the interest payments, so what ever extra you now overpay, comes straight off the capital owed. Win win situation. £40 extra overpayed per month, is £40 more straight off the capital every month, none of it goes to pay interest, that's covered already.
Be warned though very addictive. We had a 25 year mortgage, and we plan to finish it within 6 years.0 -
I have already got the bug I'm afraid!! I want to have it paid off in 10 years now!! I think it will be possible when I end my current deal in 2014!! I will pay £1000+ a month and just try to end it ASAP!!
I am so excited now that I see that my O/Ps are having a real impact!! 5 and a healf years off!! =DOriginal Mortgage Debt - £130,330.
Current Mortgage Debt - £116,605.
2010 O/Ps - £5,000. 2011 O/Ps - £1,978.42.
Original Loan Debt - £6,000. Current Loan Debt - £3,500.
Original HP Debt - £1,000. Current HP Debt - £240.0 -
Phelpsie001 wrote: »I have already got the bug I'm afraid!! I want to have it paid off in 10 years now!! I think it will be possible when I end my current deal in 2014!! I will pay £1000+ a month and just try to end it ASAP!!
I am so excited now that I see that my O/Ps are having a real impact!! 5 and a healf years off!! =D
It's definitely do-able, and such a good feeling to see the figures keep on falling. Go for it - without a doubt! Good luck. :T0 -
Those who are on 6% plus interest rates have you used the ditch your fix calculator, it might be worth while re mortgaging and paying the ERC if it isn't too excessive!0
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