Mortgage Free in Three Yrs

Dithering_Dad

No worries

The list is getting so long now that I start getting lost with it too.

Hell-razor

Hi

Just signed up to the forum and just gone boss-eyed reading the emense amount of posts on this thread... very interesting!

But... maybe i have missed a vital part... or maybe i am just a bit new to all this and mis-understood...

The challange is to pay off ones Mortgage in 3 years GREAT idea! but.. how?

Did i miss the difinative list or guide as to how this can be done..?

what are the tips and trick one could employ to achieve this goal?

I have read how people are using offset accounts, cashed in endowments etc.

how to you arrive at the best and most effective course of action?

how does one weigh up all the best options... what are the options.. what are the pros and cons?

please point me in the right direction...

feeling dim..? but not stupid!

Dithering_Dad

Hell-razor wrote: »

Hi
Just signed up to the forum and just gone boss-eyed reading the emense amount of posts on this thread... very interesting!
But... maybe i have missed a vital part... or maybe i am just a bit new to all this and mis-understood...
The challange is to pay off ones Mortgage in 3 years GREAT idea! but.. how?
Did i miss the difinative list or guide as to how this can be done..?
what are the tips and trick one could employ to achieve this goal?
I have read how people are using offset accounts, cashed in endowments etc.
how to you arrive at the best and most effective course of action?
how does one weigh up all the best options... what are the options.. what are the pros and cons?
please point me in the right direction...
feeling dim..? but not stupid!

Everyone is using different strategies to achieve their goals and some people won't have paid off their mortgages at the end but will have made a significant dent in them (a case of "Mortgage Free(er) in Three").

My own strategy was to increase my earning potential by going contracting rather than working for an employer but then trying to live within my "old means" (i.e. within my old pre-contracting income) and using the remainder to overpay the mortgage. This is working well at the moment, but three years is a long time, so who knows what the future holds.

Other members are using credit card stooging, mortgage pigs and additional income generation techniques such as overtime, pigsback, etc. to overpay theirs.

Hell-razor

Thanks DD

Your strategy is obviously specific to you and I hope it delivers for you GOOD LUCK!

You mentioned a few things there that I will need to read up on being a NEWBIE lol! such as Mortgage pigs? Stooging?

Looks like I have much to learn...:)


TO ALL ...

I would be very interested to hear all and any ideas...

all suggestions/guidance/ideas/help/assistance (cash/cheques/etc. ) will be gratefully received and faithfully applied.

many thanks

ptee

My own personal strategy is based largely around several company share schemes where I work. Starting in January I'll be getting around £7k each year increasing to around £10k each year by 2010 (as long as the share price doesn't crash!) I'm using this money to build a good savings pot for emergencies, home improvements etc and any extra will be paid off the mortgage directly.

On top of this I've moved to an offset account to allow the savings mentioned above to reduce the interest I pay.
I'm starting making overpayments on the mortgage too. The overpayments will be small to start, around £50, but each year I get a payrise at work which is roughly 3% on average, this should allow me to increase my overpayment by £100 each year. So this year I'll pay £1000 a month, 2008 = £1100, 2009 = £1200 etc etc.

And I've made myself a mortgage pig which I'm filling with loose change.
Also selling a few bit that I no longer need in the attic to try raise a few more quid.

That's basically it :cool:

Ptee

Hell-razor

Thanks Ptee

i now understand the concept of the Mortage Pig

You are in a very fortunate position with the share scheme!

I like the idea of selling stuff no longer needed...

thanks agian Ptee!

freebird65

I'm self-employed so my strategy will change along with my income. Summer is dead for me so I'll use it to concentrate on maximising income via cashback sites like pigsback and quidco, lots of matched betting etc. I've talked OH into opening an A&L bank account for his matched betting - the referral gets me £50 and he's happy as he gets £50 as well. I have a mortgage pig (Daisy - that's her on my avatar) and any loose change, spare fivers (is there such a thing?) etc is now fed to her. It's amazing how fast that builds up.

Everything I want to buy, I stop to think "do I need it, or just want it?". I'm going through all my outgoings and seeing if I can cut anything back/out. I'm looking at my investments (stocks and shares ISAs) to see if there are better funds I can move to and I'm also revisiting stoozing. Like most people I also have unwanted stuff around the house so there'll be some ebaying and carbooting if the sun ever comes out.

I also have a collection of expensive...well....collectables and have just decided to sell off everything bar my favourite pieces. That alone should fetch close to £10K!!

Have a look around this site - there are a wealth of brilliant ideas and once you get going, it gets a little addictive as you think of more and more ideas - and as you see that total start to move down!

Good luck

TallGirl

Thought I would show you who is on the chart at the moment.

We now have 93 members but only 59 on the chart.

Please update me by 5th August it would be great to see how well you are all doing.

1Dithering Dad
2Thankyouandenjoy
3TallGirl
4Cupid-s5PennyPincher
6Kazz9Catowen
11Ali007
12Tigtag
13Amazamum
14Minimoocow
18CFC
19Aliuro2
20Financialbliss
21SallyB17
22JobbingMusician
23Superfast_Gran
28Benbenandme
29Chickadee
30Shazzany
31Sturgeon62
34Pinky
36Battleaxe
38Mushy61
40Togashi42
41pa2539
42FrugalNotTight
43Taka
45Pinkfairy
46Hosebergine
47AngelaDavis
48Trying to be good
49KarenL
50Sparklymessygirl
51LimeyCat
52Do it today
54Sarmia
55Cazmanian-minx
56Batgirl
60Brumiebabe
61LJD1
62heckmondwike06
64CaroB67Jackomdj
69Keren29
71drengo
73Pariskate
74Curv
75Sazzacat
77MoneySavingNovice
79Inkie
80Jimobc
81Redbedhead
83Sachsaini
84Freebird65
85Kiwi88
88Desperate Housewife
91Karmacat
93Ptee

taka

I'm going for setting a (realistic) budget that includes everything I can think of and earmarking the rest for my overpayments/savings. I've re-evaluated my outgoings and shopped around a bit for beter deals. I'm also taking part in some challenges on the DFW board, using quidco, doing clicks etc.

Most importantly I've stopped spending loads on a range of rubbish to help me "feel better" and started to change my life instead! :rotfl:

Freebirds comment of thinking "do I need it, or just want it?" is very true but I would also add "do I have something similar already that will do the job" to the question before I buy something as half the time I was only buying for the feelgood feeling rather than the item itself.

I know that I have a job for the next 4 years so I want to get the loan/mortgage down to a managable amount in case I have trouble getting another job (at least one here and on a similar salary anyway :rolleyes: ). It'll mean that in a few years time having a smallish mortgage may open up my choices for what I do next!! Very motivating!

I took out my 1st mortgage when I was 18 (:eek: ) and would love to pay off my current mortgage by the age of 43 (ie the origional end date for my origional mortgage). Its a bit of a dream but I worked out recently (with the help of those around here) that it is very possible that I could manage that and that too is hugely motivating!!

Things will change as this quest goes on (already has a bit!! :rotfl: ) but even just spending within my means and saving an extra £5/month will make a difference!

P.S Try going to www.whatsthecost.com and putting your mortgage into the snowball calculator and try adding an overpayment of a small amount/month and look at the difference it makes!!

kiwi88_2

Yipeeee :j Just put in my first overpayment this month £450. That should take care of some of our "behind plan" balance. Will update with official figures after the 25th as that's about when our statement arrives.

Have had my hours extended by 1 hour a day until Dec when my contract runs out so will regularly transfer that extra across as every little helps.