Hurdler's Race to be Mortgage-Free

Hurdler

Sepa74 wrote: »

Hi Hurdler, congrats on the article being published. That's brilliant... see, screwing up on a grammar test is nothing!

Ready and waiting for the stream of consciousness

oh my - 4 messages await thee :beer:

Sepa74

lol... and a reply awaits thee... I just hope it helps, and I just hope if I'm ever in such a position, I'll be able to put it into practice myself!!

Hurdler

:A you are shiny spangly star sepa.....

Hurdler

Hurrumph... Woolwich!

OK brainy people... I need someone to validate this for me.

I have finally found out that if I pay 3 times the contracted monthly amount, it triggers a recalculation of my mortgage payment regardless of any instructions I have placed (and I am obviously only seeing this faff NOW because I have never overpayed so much!).

So... I have overpayed 7 months, so in theory if I kept going I would be finishing my mortgage nice and early.

My question is this:
If I keep getting my monthly payment reduced because I pay over 3 months, does it affect my house, because each recalc is done to the end date... but as the sum is coming down all the time, I am able to overpay potentially more month on month?

In fact this could be moot because if I get an internship, I will only be able to overpay rarely!

I can't get my head around it and may just keep my house going the way it's going... I dunno!

I like my house!

MEH!

Hurdler

Ok - so... given that I am applying for internships and with the lovely advice of my IFA who must just think I am a hopeless case...
Here is my revised house aiming for getting the amount down...



Amount is in '000s (I will prettify it up later)..
I ran this whole "if they keep recalculating it when I pay over 3 times in a month, am I actually shortening the term?" by him and we decided that psychologically I need the boost of seeing the money amount come down more than actually knowing when I am aiming to pay it off, given my circs.

So his take was that I was still overpaying, which is good, and I am still aiming to pay off my mortgage early - also good.

But a good goal to have, especially if my salary becomes non-existent for a while or drops significantly is seeing those bricks get coloured in... so I actually sent him my old house excel and he suggested this one and how to track it...

So... new house, new goals but still one direction: To become Mortgage Free.
And surely that's the aim!

Hurdler

Aww pants - I chatted to a colleague who is a mathematical whizz about my pretty house/bricks dilemma... I think while I am still in this job, I will stick to the house with the amounts in £1000's even though it doesn't look as nice... (although it is a smaller house than the one in months)...

But if I manage to get an internship apparently I can go back to the monthly one as I won't be overpaying by huge amounts.

I feel like one of the three little piggies... huffen/puffen/house-blown-down...

Hurdler

I was so sad to see that (cha)michelle had withdrawn from the thread... so in her honour I am continuing my Big Push (not just to Christmas) and "what did you do to be M-Free" in my own thread.

I had a nice surprise when I stood on the scales (after a naughty takeaway) - I've lost a couple of pounds over the last couple of weeks... so that is spurring me on to drop a couple of pounds a week until Christmas!
Although that being said - I am off to my mum's place after Journo school tomorrow and it will be hot and cold running Mauritian food all weekend (and not that much of it healthy!)

Anyways... She very kindly fills up my tank when I go home and as it is at a Tesco, and I need to do a fortnightly shop - I am going to do it at hers and just stick my milk and eggs in her fridge until I go home, and then I have a freezer/cool bag anyway - so that will save the petrol and the time to go to my local one (especially as work is going to be a bit of a mare over the next week).

So by next Sunday (4th Dec)

1. Cook from fridge/freezer this week
2. If in need of a night off from the stove - get a ready meal from M&S or Sainsbury's as a treat on the way home
3. Workouts on reebok step and Wii this week to build up to gym and pool next week
4. By Sunday night be up to date with all school and work notes
5. Session on the drums

I think that's a reasonable set of targets (5) and maybe will allow for some more squirrelling away of money.

Edit: Oh what an eejit - I was getting grumpy that I hadn't seen anything about a different batch of expenses - I haven't sent them yet! Just as well I had to haul my behind to the office today.
Numpty Hurdler at work!

Sepa74

What a nice FA... and if you keep overpaying for the mo, then when you switch to your 'monthly' house you'll be able to give yourself a feel good lift by being able to colour in some of the blocks straight away!!

Hurdler

He's a bit of a star and has been so helpful. He seems to look beyond the "put it in savings and earn a bit more" and looks more at the psychological effect of reducing those payments when considering little/no income for the early part of a career change.

Last night I didn't get back from mum's until 10pm after watching the tennis - I had gone to Tesco and had a car full of groceries, not to mention my own stuff that I unpacked, put away, put bins out and was ready to lock up and head for bed in around 20 mins.
That has to qualify for some kind of Olympic medal!

Imelda

Hurdler, I am interested about what you say about your IFA. Do you mind if I ask how you found him?

I think we could do with speaking to someone outside of just DH and myself for ideas- especially once our mortgage has gone and we have "spare" cash. I also have a pension situation that may need unravelling :eek:

My DH is an accountant, we really should be more organised!