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MF in 5years - advice please
RoxieW
Posts: 3,016 Forumite
Ok I thought I'd post my situation to see if you knowledgable lot could advise me on whether there's a better what to do this?
Mortgage outstanding £158,500
Term 25 yrs
House value (bought for in Dec 13) £210,000
Equity £52,000 ish
We are in a 5 yr lock in and only allowed to overpay by 3k per year.
However we would like to be mortgage free in 5. We are therefore hoping to save a pot of cash ie 27k per year or 2250 per month so that we can pay off the mortgage at the end of the fixed term. We will then be mortgage free at age 36.
We have a decent joint income of around 90k (gross) so this should be doable. However I am a company director so my income can fluctuate (which leads to a more indepth question of whether are 'savings' are best left in the company or removed as dividends and put elsewhere, but that might be one for the accountant?). We also have 3 children and high outgoings. We are also 'doing up' this house - so there are a few things that could throw us off course. For now though it seems achievable.
My question is whether this is best/right way to do it - and, if so, where would people advise putting this money?
Thank you
Mortgage outstanding £158,500
Term 25 yrs
House value (bought for in Dec 13) £210,000
Equity £52,000 ish
We are in a 5 yr lock in and only allowed to overpay by 3k per year.
However we would like to be mortgage free in 5. We are therefore hoping to save a pot of cash ie 27k per year or 2250 per month so that we can pay off the mortgage at the end of the fixed term. We will then be mortgage free at age 36.
We have a decent joint income of around 90k (gross) so this should be doable. However I am a company director so my income can fluctuate (which leads to a more indepth question of whether are 'savings' are best left in the company or removed as dividends and put elsewhere, but that might be one for the accountant?). We also have 3 children and high outgoings. We are also 'doing up' this house - so there are a few things that could throw us off course. For now though it seems achievable.
My question is whether this is best/right way to do it - and, if so, where would people advise putting this money?
Thank you
MANAGED TO CLEAR A 3K OVERDRAFT IN ONE FRUGAL, SUPER CHARGED MONEY EARNING MONTH!:j
£10 a day challenge Aug £408.50, Sept £90
Weekly.
155/200
"It's not always rainbows and butterflies, It's compromise that moves us along."
£10 a day challenge Aug £408.50, Sept £90
Weekly.
155/200
"It's not always rainbows and butterflies, It's compromise that moves us along."
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