Team Remote_Control: Mortgage-Free before I'm 63

bugslet

Congratulations on the new addition:T

remote_control

Hi, just been watching a property programme on TV and have a mortgage related question. Our new mortgage of 325k is made of two parts. Part one: low interest rate and borrow back facility. Part two: higher interest rate, no borrow back facility.

We would like to do an extension in the nearish future. How would we fund it? (Currently maxed out with what they'll lend us).

Should I overpay the higher interest rate bit? So then we'll owe less. Presume we fund build through re mortgaging?

Or should I overpay on the bit that I can borrow back?

Realistically we'll want to borrow some money, we won't wait to save all 50k or whatever it might be.

Hope that makes sense!!!

Thanks in advance.

remote_control

Hi
Haven't posted on this thread since 2014, I can now answer all the questions I asked in my last post  . We borrowed a load of money and did the extension! So I'm nearly ready to start overpaying again. We have some money on 0% cards but these are all set on DDs and will be paid off by the end of the 0% period. We can afford these DDs. I enjoy making extra money through selling or surveys etc so I will begin to put this towards the mortgage. 
Does anyone know of any diaries on here where the mortgage is in the late 300ks? Ours is £375k. 
Thanks. 

remote_control

Enjoyed reading the MFW board this past week, still yet to find anyone with a mortgage as big as our's. Surely there must be someone out there?!
The downside of the board is it has sent me into a spiral of researching FIRE and worrying about our pensions! My heart wants to overpay the mortgage but the boards are telling me to look at the pension! 
In reality I won't do either in a big way until the 0% card is paid off in around 18 months time as we're putting £800 a month to that. We can comfortably afford this £800 so I want to pay it straight to mortgage when the time comes.

FtbDreaming

I think @rugbymadfamily might have a big mortgage? Sorry if I’m wrong lol. 

Good luck with the op journey! X

South_coast

I think there was someone that had a £500k mortgage, but not seen them around for a while

And don't forget the old adage - "It's not what you've got, it's what you do with it that counts". Usually used in a slightly different context 😳 but true nonetheless!

remote_control

Thanks, I have found Rugby Mad and am following them, let me know if you see any others.
Yes South_coast, that is a good saying!

South_coast

Here's the two big-mortgage threads I can remember - both very big 😮!

https://forums.moneysavingexpert.com/discussion/5974026/beginning-at-the-start/p1

https://forums.moneysavingexpert.com/discussion/4185941/challenge-of-a-lifetime/p1

remote_control

Thanks so much!

remote_control

@South_coast that is much more like it! Where I live the houses cost £600- £1m+, surely the owners have big mortgages!