Southernman's steps to freedom!

Southernman

I wanted to set up a MF diary mainly because of the feelings of deflation i'm having at the moment in terms of the balance i have.

The story goes...

Back in March 2011 i applied for my first ever mortgage, now i didn't start overpaying until the November until everything was more settled and i had done all the home improvements necessary.

My first mortgage payment came out 2 days after my 22nd birthday, my aim is to be mortgage free by 35 but realistically it's going to be closer to 40.

My starting debt was £90000

I'm now on 86,500 (including pre estimated interest that seems to be added around the 10th of the month!)

I know i have a long way to go and as it's a sole mortgage with only one wage it's going to prove much more difficult.

In total since day one, i have roughly put £1500 towards my mortgage in overpayments. Right now i'm not seeing the fruits of my labour and feeling a bit defeated whenever a £300 is dumped each month in interest. Hopefully as the diary progresses i'll see the hard work paying off.

Now a bit about me. I like to run around like a loony, eat pomegranates and obsessively check mailonline due to the ludicrous stories that seem to crop up. (just checked now and lo and behold serial motor offender claims he is addicted to cars and cannot stop driving HMMMM). I have an OH who doesn't live with me but is thinking of getting his own foot on the property ladder soon. He is a MSE lurker! I wonder how long it takes him to spot this thread!!!

On another note, i have been holiday clothes shopping today and spent 30 minutes in what i thought was H and M only to buy a summer dress, walk out with a bright yellow bag and think it was a bit odd that it said Republic on it...H and M was next door!:D

VoucherMan

You may want to take a look at Locoblades spreadsheet. It didn't take long to work out and for me it was good to put in 2 sets of figures side by side. One with my normal payment, ending in 2032, and another with my new £200/month overpayment ending in 2022 (and saving over £10000 in interest payments).

Then if you wanted you could play around with the overpayments to get an idea of how additional future payments could effect it. Despite my current signature I'm still hoping to be MF by 2020.

Even though you're not likely to see any great changes in your balance in the short term you can see the long term benefits.

Southernman

After overcoming my fear of excel, i did in fact have a look at the spreadsheet.

The one on the MSE homepage assumes that interest stays the same over the 25 years and doesn't take into account different monthly overpayments. Whereas this one is so much better!!!

I'm on a five year fix at the moment and i know i'll automatically overpay £75 until the fix ends so i've included those overpayments as well as the extra i've accumulated already since last Nov and it shows i've knocked off around 2.5 years just by that so far!

In other news i went to Wales for the bank hol and spent so much money!! Got away with student discounts though with my two years out of date student card ...always the moneysaver! Even managed a trip on the Llandudno toboggan, something my parents refused to let me go on because it was deemed 'too dangerous' and i finally went on it at the ripe old age of 23!!!!!! Climbed up Conwy castle and went on several bar crawls.

BBQ on the beach courtesy of Aldi down the road costing £2.00 (split costs between 4) was lovely too!

I also have a sunburnt side of foot

Southernman

Also my SOA

Monthly outgoings

Mortgage £570 (including £75 automatic overpayment)
Council tax £111
Water £20
Electricity £23
Sky/broadband/phone £39
Service Charge £168 (this appears high because the first two months of 2012 no one in the whole block of flats paid it as management companies were swapped so i'm currently paying 12 months worth in the space of 10 until the end of the year)
Mobile phone £10
Gym £16.99
Food £100 max
Savings £200
Home insurance is included in the service charge.

= £1258

My income is £1550 on a non bonus month

Ps no car. I walk to work. No debts other than a mortgage, i use my credit card for points but pay it off in full each month. I have £5.5k in savings for emergencies such as job loss in an ISA and another savings account for general buffer money that usually doesn't go below £500. Any input on how i can save money would be useful. I appreciate all comments, however brutal.

Ayeshalush

Hi Southernman

Looking at your SOA, it looks as though you are pretty much on top of things.

You don't have gas listed, but maybe you're all electric.

Your gym fees are very reasonable, but only if you are using it regularly.

This might not work for you, but I find it helps keep me on the straight and narrow and reduces my impulse buying - I include budgets for xmas, birthday presents, clothes, haircuts, etc.

I find I pick up lots of tips and LOADS of motivation by reading some of the other MFW diaries.

Good luck.

A
xx

sweetdaisy

Just wanted to wish you all the best in your quest to become Mortgage Free .

Southernman

I know this thread is about my money saving abilities but i really want a Barbour coat. I'm looking at the Summer Wax international one in Navy. Looks like this



but at £249 a pop it doesn't come cheap.

However...

I do need a coat that is suitable for spring/summer/autumn. At the moment i have a winter one and i also have a flimsy summer one. Both of which i've had 2/3+ years.

Hmmmmm.

I save £200 a month anyway so i could treat myself...

P.S i know it's a female coat but unlike what my username suggests, i am actually a girl!

sweetdaisy

Southernman wrote: »

I know this thread is about my money saving abilities but i really want a Barbour coat. I'm looking at the Summer Wax international one in Navy.

but at £249 a pop it doesn't come cheap.

However...

I do need a coat that is suitable for spring/summer/autumn. At the moment i have a winter one and i also have a flimsy summer one. Both of which i've had 2/3+ years.

Hmmmmm.

I save £200 a month anyway so i could treat myself...

P.S i know it's a female coat but unlike what my username suggests, i am actually a girl!

Are you a member of Topcashback? Iv'e just gone on their website and had a look for you. Search for 'Accent Clothing' and they sell Barbour jackets and you can get 8.08% cashback :money:. Not sure if they sell this exact jacket, but some on there look similar.

Southernman

No, i've never used that site before. Given it a quick google and a nosey and it does seem extremely interesting! Is there a catch?

I've also spent £200 on 2 pairs of earrings this month...thank god it's a payday bonus month or i'd be crippling myself.

On the plus, overpayments for my mortgage have been around £500 in May and i'm paid in the middle of the month rather than the end so my June overpayment is yet to occur!

I'm going shopping with the girls on saturday though...i need some summer dresses. Hopefully things don't get too expensive:think:

sweetdaisy

Southernman wrote: »

No, i've never used that site before. Given it a quick google and a nosey and it does seem extremely interesting! Is there a catch?

I've also spent £200 on 2 pairs of earrings this month...thank god it's a payday bonus month or i'd be crippling myself.

On the plus, overpayments for my mortgage have been around £500 in May and i'm paid in the middle of the month rather than the end so my June overpayment is yet to occur!

I'm going shopping with the girls on saturday though...i need some summer dresses. Hopefully things don't get too expensive:think:

No catch at all. Just sign up and when buying things on line, browse through the retailers and get cashback just for doing your usual online shopping. I have been a member of TCB for years and they are highly recommended and very reliable at paying out.

Southernman

I ended up going shopping yesterday.

As well as getting a student discount for my friend off a dress she was buying (saving £25), i also bought my coat with the aforementioned student discount also!

I was panicking a bit because my student card expired Sept 2010 and when i was buying my coat the woman on the till in her early sixties said 'ohhh i don't know if we offer student discount, oy Sheryl is this something we provide?'

the other woman said 'does it say on it NUS, if so then we can accept that'

NUS is written right next to the expiry date, i don't know how the woman managed to not notice but i saved £18 so can't complain!!!!

(i also bought 2 dresses and a cardigan from H and M)

In other news i'm also going to be getting a tax rebate which is exciting, once i've got that it'll be going towards my mortgage plus i'll be getting roughly £80 extra in my wage packet each month to play around with!!

Successful weekend all around!!

I am heading to the gym shortly to run for an hour on a high level on the treadmill, how successful i'll be in regards to that is open to debate. If i manage on level 10 for an hour i'll be so chuffed!!