MFW starting young.

Sdav

First of all let me thank you for even clicking on this thread, I'm currently 24 and have been living with my fianc!e since we where both 21, We bought our first home when we where both 21 and purchased our 3 bed semi with a nice front garden and big back garden with detached garage, I didn't think it was bad for a first home :-), anyway it cost us £116,000 and we are currently sitting at 102,340 left on our mortgage with 27 years left to pay our mortgage off but that's to long for my liking. We bought at a really bad time and the only place we could get a mortgage at the time been first time buyers was my bank(Natwest) and it was at a ridiculous rate of 6.89%:(,
but at the time we really just wanted to move out of our respective parents houses and have our own place. So the rate at the time wasn't a factor to us at all, and we are fixed for 5 years that term is up in 2015 so I'm really looking forward to that haha :rotfl:.

Anyway moving on to the mortgage we have been living in our home for 3 years in AUG and up until now we have never overpaid we have just been living the life and wasting a lot of money really, Don't get me wrong we have enjoyed ourselves and have no regrets but we think its time to knuckle down abit and get some money payed off the house, Our payment at this time is £689 a month and I'm aiming to overpay at least £200 a month but hopefully work my money out and I will be able to overpay by £500 I have no idea what the interest rates will be like when my term is up in 2015, but fingers crossed it'll be a lot lower them 6.89% :rotfl: but I'll continue to pay the same amount to clear the mortgage even quicker.
I hope this all makes sense to you all reading and I shall thank you again if you have gotten this far, anyway ill update and post things that I'm doing to reduce the amount and anything else I'm getting upto. Any input is welcomed and any general chit chat.

Quick overview
Mortgage at highest: £105,500
Mortgage currently: £102,340
Highest APR: 6.89%
Current APR: 6.89%(till 2015)
Can overpay 10% of balance each yeah while in fixed term.


Kind regards
Dav.

Youknowme_2

Hi Dav, another here who is stuck on a high fixed rate due to combination of buying at wrong time, 100 per cent mortgage, poor credit etc.

Likewise not actually overpaid yet but aiming to save/OP a minimum of £200 a month from now on. We are on 5.39 with circa £80k mortgage.

Good luck on your quest

Sdav

Youknowme wrote: »

Hi Dav, another here who is stuck on a high fixed rate due to combination of buying at wrong time, 100 per cent mortgage, poor credit etc.

Likewise not actually overpaid yet but aiming to save/OP a minimum of £200 a month from now on. We are on 5.39 with circa £80k mortgage.

Good luck on your quest

Thanks for the reply nice to know I'm not the only one who got stung with the high rate, in hind sight we should have waited because we had over a £12k deposit to put down and if where buying now would be able to get a nice rate but hey ho that's life :rotfl: I wish you all the best on your overpayments I hope all works out for you.

BookWorm

Hi Dav

I've just got to the end of my 3 year fixed deal. I was on 6.59% :eek: also with Natwest and it's just dropped to the SVR 4%. Still high compared to some rates but I'm willing to wager that the rates aren't going to jump more than 2.5% anytime soon (she says with fingers crossed) so I'm going to stay on the SVR I'm overpaying the difference between my old and current payments as used to paying it - and keep nuding that LTV ratio to a better figure.

Good luck with your journey

Sdav

BookWorm wrote: »

Hi Dav

I've just got to the end of my 3 year fixed deal. I was on 6.59% :eek: also with Natwest and it's just dropped to the SVR 4%. Still high compared to some rates but I'm willing to wager that the rates aren't going to jump more than 2.5% anytime soon (she says with fingers crossed) so I'm going to stay on the SVR I'm overpaying the difference between my old and current payments as used to paying it - and keep nuding that LTV ratio to a better figure.

Good luck with your journey

I know your pain with the high rate, I'm hoping the rates are still reasonable in 2015 when I'm free from my fixed :T then I plan the same as you I'm just going to carry on paying the same amount so fingers crossed I can do the same as you and keep pushing the LTV figure to a nicer place .

Thank you for the comment and support.

Regards
Dav.

edinburgher

Dav, that rate makes me wince, I share your pain!

On the plus side, your overpayments will save you a *fortune*. It's like having a taxed savings account paying you 8.6%

Sdav

edinburgher wrote: »

Dav, that rate makes me wince, I share your pain!

On the plus side, your overpayments will save you a *fortune*. It's like having a taxed savings account paying you 8.6%

There is always a plus side we just need to find it and you've found mine :beer:

The rate is a bit scary but I'm suckered for the time been so while I'm in the rate I'm just going to try OP by as much as I can afford.

Thank you for your comment.

Alion

Hi and good luck. My husband and I were also young when we started overpaying. We were 23. And it's made so much difference to our lives. We also bought at the top of the market although there haven't been many price decreases in our area. We were able to reach really good rates after just a few years that allowed us to overpay even more. It's the opposite of a vicious circle, it kept making life better.

We're both 30 now and are renovating a good sized family home that we could never have afforded without the work we've done.

Just wanted to share a good story with you as we'd never be able to be where we are now without the work we'd done.

GOOD LUCK!

Calfuray

Hey Sdav

Just wanted to pop in and say good luck. I was on a fixed rate of 5.98% for our 2 year fix when we first bought, it was horrible! We're now down to 3.99% SVR, stupidly we never OPed while we were on the fix. The fix ended in November last year just as I turned 22, and that's when I started making OPs. So it's never too late, wee bits here and there really help.

Cal

Sdav

Alion wrote: »

Hi and good luck. My husband and I were also young when we started overpaying. We were 23. And it's made so much difference to our lives. We also bought at the top of the market although there haven't been many price decreases in our area. We were able to reach really good rates after just a few years that allowed us to overpay even more. It's the opposite of a vicious circle, it kept making life better.

We're both 30 now and are renovating a good sized family home that we could never have afforded without the work we've done.

Just wanted to share a good story with you as we'd never be able to be where we are now without the work we'd done.

GOOD LUCK!

Thanks for the support its always nice to see some nice positive stories makes me want to stick at it and get stuck in to the mortgage.

I hope we can go the the same positive direction you have.

Kind regards
Dav.

Sdav

Calfuray wrote: »

Hey Sdav

Just wanted to pop in and say good luck. I was on a fixed rate of 5.98% for our 2 year fix when we first bought, it was horrible! We're now down to 3.99% SVR, stupidly we never OPed while we were on the fix. The fix ended in November last year just as I turned 22, and that's when I started making OPs. So it's never too late, wee bits here and there really help.

Cal

Hi Cal your right the high rates are horrible, I've never OP so far but It seems like its the best thing for me to do to save the most Intrest and bring the mortgage down, I'm so glad I found this forum and you nice bunch of people willing to help,guide and support each other.

Thanks
Dav.