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5 Years & counting

I have lurked on the MFW diaries for awhile now and certainly been interested in other peoples attempts / methods to clear their mortgage. I realised today we have been in our house for exactly 16 years.

For a brief background OH & I are both 42 with a DS 10 and a Manchester Terrier 3. We took out our original mortgage in 1998, remortgaged in 2003 to a FD Offset Mortgage and added to 2007.

When we took out our current mortgage it was at a fixed rate of 5.5% for 5 years. This ended in 2012 when our rate dropped to 1.5% (SVR 1% above BOE rate for reminder of mortgage term) we have until I'm 65 (i'm the eldest) to pay the mortgage off. We aim to pay in 5 years time.:)


After assessing our finances last month we decided to cash in an endowment policy (it still had 9 years to go but really not performing) and reduce our mortgage in preperation for interest rates to start to rise possibly next year.

Our mortgage currently stands at £63K (with £10k offset = £53K)

Interest per month now should be approx £69 and we pay a set amount of £700 per month in to our account so will over pay £631.

Comments

  • StickyNikki
    StickyNikki Posts: 58 Forumite
    DS piano lessons have moved to a before school rather than during lunchtimes so that means we can cancel a morning of school club, saving us £4 a week which is going straight into op mortgage.

    Have also added the money we were putting into our endowment every month now into the mortgage.

    All helps towards our 5 year target
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