Mortgage Free in Three Yrs

ailuro2

Anyone care to give us an update on how they're doing on the MFi3 challenge?





(now I know how people in small villages feel when new people move in and disturb the peace...)

Dithering_Dad

gallygirl wrote: »

However, a sobering thought for all of us is that although we're all overpaying like mad, due to falling house prices we've all got less equity than before .

But we have less mortgage debt too.

I have never really been concerned with the value of my home, I like where I live and I have no plans to move. Even if I did want to move, falling house prices mean that the next 'rung' of the ladder is so much closer now. It's not as though I can spend any of this 'wealth' if house prices rise. Well, I can if I MEW (Mortgage Equity Withdrawal), but I think anyone who did that to fund a lifestyle are extremely foolish and are probably bitterly regretting that decision now. They may have enjoyed an extravagant lifestyle for a short while, but it was funded by debt and now that debt has to be paid back.

My thoughts have always been on how much I mortgage debt I have and how it relates to my monthly outgoings. As my mortgage balance decreases and my monthly outgoings go down, I start to feel wealthier but unlike the MEWer my feelings are based on reality not a credit based pipe-dream.

cupid_s

ailuro2 wrote: »

Anyone care to give us an update on how they're doing on the MFi3 challenge?

We had a really expensive month last month. My lizard had to have a tumour removed, and subsequent course of antibiotics. And we spent a lot getting back home (twice - and we had no notice to buy cheap train tickets) and on stuff when we were there.

But we will both get paid in 2/3 days and still have over £1000 left in our current accounts and nothing else to pay out this month.

We have £90 (in paypal) from survey sites which we will use to help with christmas, £20 tesco vouchers, £12 halfords voucher and still hopefully time to collect a bit more. And I already have bought 2 presents for OH.

GettingThingsDone

Hahahahahaha - don't flatter yourself DD. Keyboard now full of coffee...

I came out of lurking to point out that even the financially astute can be unaware of their mortgage product details - I'm hardly a 'troll'.

The only reason I've mentioned you in my posts is that you've been rude about me - I seriously think you've either got me confused with someone else or you have some insecurity about what you're doing? Only trying to clear my name.

What's more you're the least interesting 'case' on here to me, I'm afraid so marriage is out of the question.

Sorry to hear about your lizard cupid_s - hope it gets well soon

Right, I'd better get back to implementing the new online overpayment facilities that we're delivering for a major financial institution then...

cupid_s

Now now lets all play nicely

GettingThingsDone wrote: »

Sorry to hear about your lizard cupid_s - hope it gets well soon

Thanks, he's much better already, however this means that my locust bill has now doubled as he's eating so much more than before.

You really can't win!

GettingThingsDone

Now now lets all play nicely

I agree cupid_s.

For me it's not about scoring points - life is too short; and if I hadn't been insulted none of this boring arguing would have happened. Your apology is accepted DD.

Halfway through is halfway through - it's never too late for making amendments and adjustments I always say.

My point about what I'm implementing now is not to say how wonderful I am, it's to say that I'm actively trying to spread the MFW message. I find the whole OP thing fascinating.

That's interesting DD what you say about going contracting - I know exactly what you mean (been there), so I'm starting to understand why you're so defensive. All I can say is be careful once you're at a loose end after paying off your mortgage etc I'm joking of course - I know you'll be careful

Blimey cupid_s - fancy having a locust bill! yum!

Dithering_Dad

GettingThingsDone wrote: »

I agree cupid_s.

For me it's not about scoring points - life is too short; and if I hadn't been insulted none of this boring arguing would have happened. Your apology is accepted DD.

Excellent. So I can assume that now we're all friends and your fragile ego has been stroked, you'll now happily go back to your 'lurking' and/or 'implementation for a major financial institution' and let us MFi3ers get back to our mortgage overpaying?

Great stuff. Well good luck with all that and I do hope you'll pop back in 18 months time to see how we all got on.

Bye :wave:

Kaz2904

Well I have finally broken the 50% mark! I have updated my snowball today and it's looking ok I think! I'm still on track for being clear July 2013. That'll be 3 years and 3 payments after the challenge ends. At present my final payment should be £690.33.

Cupid, sorry about your lizard and his now mighty food bill!
I didn't add anything to the discussion yesterday because I kind of agree that we need to remember to protect ourselves. For example Ailuro (I think) pulling everything out of the offset to invest as it will generate more money.


I think a lot of us may have naively just thought I want it gone without thinking of the many different routes toward our goal. Some of us have been bitten & lost out through shares and things.

Maybe the warning ought to be to continualy review our finances (all aspects) in relation to the current situation. Martin already does this doesn't he!

cupid_s

Dithering_Dad wrote: »

Excellent. So I can assume that now we're all friends and your fragile ego has been stroked, you'll now happily go back to your 'lurking' and/or 'implementation for a major financial institution' and let us MFi3ers get back to our mortgage overpaying?

Great stuff. Well good luck with all that and I do hope you'll pop back in 18 months time to see how we all got on.

Bye :wave:

Look I told you once

Bargain_Rzl

Kaz2904 wrote: »

Maybe the warning ought to be to continualy review our finances (all aspects) in relation to the current situation. Martin already does this doesn't he!

I actually think that's the best generic financial advice anybody can be given, in any situation...

As for my progress on the MFi3 challenge, I will be making a £500 overpayment this coming weekend, and looking forward to the beginning of the following month when my fixed rate ends and I can tip out my savings account to reduce my mortgage debt.

I'm going to be stuck on Nationwide's SVR (BMR) for a while, I should imagine, because I am expecting that the drop in property values will mean I haven't succeeded in reducing my loan to sub-75% LTV, though I will, I'm sure, be well clear of being in negative equity. Nationwide's fixed/tracker deals just aren't worth it at the moment for >75% LTV, and my overpayments to date including the lump sum I'm paying next month will mean that my monthly payment will remain roughly as it was at a lower interest rate. And the surplus can continue being directed into savings and OPs.

One of the reasons I didn't want to fix again quite yet - besides the hope that I might get <75% LTV just after my current deal ends - was that I have a share investment maturing in the spring, which I was going to sell to use as a lump sum overpayment (not a vast amount - a lowish four-figure sum). They were bought through an employee share scheme on favourable terms, and I have almost certainly made some gains on them, however I suspect next spring simply isn't going to be the time to sell them, and I'm more likely to look into transferring them into an ISA and hope they gain value as a longer term investment. I work in a reasonably secure sector, and a steady gain in value is likely, so I think this might be the strategy to go for.