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MFW Action Plan of Awesomeness!!! (hopefully)
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Mr_Max
Posts: 43 Forumite
So, here's my situation:
Mortgage about to be taken out on a new-build (My first house!!!:)). Not moving in until Nov/Dec this year (owing to the fact that it's not built yet).
Mortgage: £140,000
Deposit: £40,000
Rate 3% approx on 30 year deal.
Monthly payments: £611 (2 year fixed)
Looking to overpay approx £300 a month to clear as much as possible. Between now and Nov/Dec, we plan to put aside as much as possible, just incase.
So, that's where I am! If anyone who is currently on their MFW journey has any suggestions, I will be a greatful Max.
Mortgage about to be taken out on a new-build (My first house!!!:)). Not moving in until Nov/Dec this year (owing to the fact that it's not built yet).
Mortgage: £140,000
Deposit: £40,000
Rate 3% approx on 30 year deal.
Monthly payments: £611 (2 year fixed)
Looking to overpay approx £300 a month to clear as much as possible. Between now and Nov/Dec, we plan to put aside as much as possible, just incase.
So, that's where I am! If anyone who is currently on their MFW journey has any suggestions, I will be a greatful Max.
0
Comments
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Your LTV is already 78% so that is fantasic
Your interest per day (assuming it is daily interest) = £11.51
Yearly interest = £4201.15
And you will be overpaying £3600 ... That all seems pretty solid to me!!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 -
If you know (thanks to Phelspie) that your interest is £11.51, you will find it addictive overpaying to get it down to say £11.00 in a years time by regular overpaying etc.
Looks like a comprehensive package there! One thing that people advise here is to have approx 6 months of savings accessible in an emergency to tide you over - even if it's accessible via an ISA or an offset.
How much are you allowed to overpay per year?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 -
Up to £14k a year overpayment, which is more than the £300pm that we have planned for, plus this extra £300 in our budget gives us a buffer if things get tight.
What is the formula to work out daily interest?0 -
Daily interest is amount outstanding / 365 * interest rate (0.03 for 3%)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
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