5 years MFW - Lets get cracking...

Kwaker_Knacker

This is the one I use:

http://www.thismuchiknow.co.uk/?p=42

Works with Excel.

K_K

HelenDaveKids

Kwaker_Knacker wrote: »

This is the one I use:

http://www.thismuchiknow.co.uk/?p=42

Works with Excel.

K_K

Had a quick look and this looks great. Will have a play later!

Thanks:beer:

edinburgher

Sorry if this is a silly question (I've only had a mortgage for 6 months), but is there any chance of extending mortgage 1 or 3 to get rid of the higher rate mortgage 2?

Mortgage 2 is what we're paying as FTBs, seems a little high for someone who has been canny enough to be MF once already!

HelenDaveKids

Couldn't help self, all figures in. Took a while as had to do all 3 morgages seperately as different interest rates.
Estimated finish date is feb 2018 but that only if i keep completely to the plan and avoid any disasters.
Was hoping Sept 2017 but theres still little extras I can do.
Unfortunately top of pay scale so no wages increases to look forward to.

HelenDaveKids

edinburgher wrote: »

Sorry if this is a silly question (I've only had a mortgage for 6 months), but is there any chance of extending mortgage 1 or 3 to get rid of the higher rate mortgage 2?

Mortgage 2 is what we're paying as FTBs, seems a little high for someone who has been canny enough to be MF once already!

We were in a really strange position, as needed money for renovation (not sure if it was because it was classed as an advance) but yes agree don't think i had my eye fully on the ball.
I've been concentrating on morgage 2 for Max £500 a month (without getting penalised), that fixed period ends May 2013 and i am going to cash my last endowment and pay it off.
I can't believe we didn't cash the endowment and put towards the renovation, but hindsights a fantastic thing.
My first morgage I just blindly put a standing order into, increasing as we could affoard till it paid off. I wasn't really savvy just very aware the endowment wasnt going to pay it but then quickly realised how much money we were saving.

edinburgher

I wasn't really savvy just very aware the endowment wasnt going to pay it but then quickly realised how much money we were saving.

I know plenty of people who're a year or so from retirement and still have 5+ years left on the mortgage - you're doing well

HelenDaveKids

Must be bonkers getting a new morgage though! Now we are in our forever house and everyday I come home from work and say to myself as I pull onto the drive I can't believe this is our house!

Just noticed Ive copied your heading. Obviously unintentionally!

I was trying to explain MF to one of my best mates, she has a morgage a 3rd of mine but pays the same as me each month. I explained to her (using the calculator and showing her some comparison sites) that she could save £2400 a year (or time off morgage) but her first response was about how long it would take to sort. I said if it took all month it would still be worth doing. Shes sorting!

3 items with bidders now on ebay, £14 up to yet. Finishes tomoz. Eagerly awaiting money for my pot.

HelenDaveKids

:undecidedOnly 3 items sold - £17. Not much but every bit counts.

Expensive day, paid for swimming lessons £110, we stopped at KFC and to buy a few bits from aldi.

edinburgher

just noticed Ive copied your heading. Obviously unintentionally!

In all fairness, you're welcome to it as you're making a much better job of cracking on than me

Wd on the eBay sales, they do help. I have a small amount of money that drips in from selling Books on GreenMetropolis (maybe £20/mth). I'm also finding the combination of cashback (from the Aqua card) and Nectar points/cashback sites to be better than a poke in the eye. I've earned £28 in 2 months from Aqua on normal household spending and our Nectar points are up to £30 or so (a 'poor' year for points, but a sign that I'm using Aldi and Lidl more!)

getmore4less

Overpaying the mortgage is the end result of other things.

The detailed overpayment plan it is pretty much a waste of time without a proper 5year budget. it helps find the target monthy amount needed from income if there are other factors like the endowments but the reality is not spending in the first place is what pays off the mortgage.

Focus on the spending/saving budget for the next 5 years thats how you meet the goal, detailed spend plans so there are no suprises.

If you have no budget start with a SOA and then start planning everything, things like car tyres should not be suprises at MOT they should be planned.

Simple really £92k over 5 years at 3%,4%,5% payments are £1654,£1694,£1736 so the rates make a relatively tiny difference to the end monthly target.

If you are not putting £1700 into the mortgage/savings you are off target.

It will get modified by other things like the endowment but at the end of the day there will be a monthly target that needs to be hit and that has to come from income.

Work out this magic number and the 5 year spend/savings/mortgage plan.

Then there is the cash flow to optimise the overpayment/savings/spends but that saves a lot less than spending less in the first place.

A £92k mortgage at 4% over 5years costs a total of £101650 only around 10% of the total is interest that can be saved by finding the £92k sooner.


For prioritizing it is better to normalize on an annual basis so you compare on level playing field, and not some on a weekly monthly basis against some with are yearly.

you could even do this on a 5 year total basis, that could be scary, whats the total income for the next 5 years?