The Mortgage Free Roll Of Honour

black_taxi_2

must be a great feeling

enjoy easter

:T

tiernsee

Mortgage free today - 14th April 2010!!

Facts: First house bought £65k in 1990 with a 100% mortgage

Moved from London in 1995 and in 1997 finally managed to sell house for £19k less than we paid for it :mad:

Bought again at £60k with a 125% mortgage to cover the negative equity (main mortgage was endowment and negative equity part repayment)

Part-exchanged for a new build in 1999, got £68k for old house and new house was £105k

Lightbulb moment came when started getting letters from endowment company advising that rather than the £65k we'd been expecting we were only going to get £38k at best

Turned the mortgage completely into repayment and pursued the endowment company vigorously for compensation, eventually had to go the financial ombudsman and was awarded £10k in compensation. At this point also sold the endowment policy and paid lump sum off the mortgage.

Started a new job in 2006 and a work colleague told me about the one account he had - looked into it and decided to set up an offset account. Moved all savings into bank and started offsetting. Also started regularly making overpayments (no penalties) and paid regularly into savings account. Found this worked really well and now will be paying off on Wednesday (or leaving £1) and still have £5k in savings :j

What will we do with the extra money? Well, we still have school fees to pay (which went up 6% this year :mad: ) but the money we will free will mean we can replace the car soon and hopefully go on some family holidays.

Any tips - offsetting was the best thing we did, worked really well for us.

Good luck to everyone else who is trying to be mortgage free.

tiresmokindad

~daisy~ wrote: »

well done - thats fantastic !!

Yes I agree. That is totally fantastic. I hope that I could done it either. :beer:

black_taxi_2

congrats

:beer:

THE_BIG_YIN_2

Just went mortgage free at the end of April 2010.:j
Second mortgage taken out in August 2005 which was for 100K. Made overpayments ( a few large ones) each month from January 2007.
Gives you lots of security so all I can say is if you can , do it!!
My wife and I are both in our mid 30's and feel there is a great weight off our shoulders now. No intentions of moving from our 4 bed. Also had the property valued recently at 270K. Nest egg for the kids.

danielley

Well done Big Yin! :beer:

So jealous!

x

inkie

We hope to join the roll of honour at the end of the month - I have just asked for a settlement figure for our mortgage, which has come in at 11, 740. We are cashing in some insurance policies with a redmeption value of 11,888, and so will clear the lot! We have taken out some new, cheaper policies to replace the ones that we are cashing in. Can't wait. Will report back when the deed is done!

inkie

Just reading the other posts - what's the reasoning behind the £1 balance -is this something that we should be doing rather than clearing completely?

inkie

Anybody???^^^^^

JonnyBravo

No. There is no need.
People do it for 2 reasons primarily.
1. The bank will hold onto the deeds for you, but seeing as the paper deeds are now meaningless, (other than being historically interesting for older houses), as the information is now electronically recorded at the land registry it really isn't necessary.
2. People often claim it is to keep open lines of finance etc. May be useful to some who can re-draw money on their mortgage. More often than not this simply isn't allowed and taking a payment holiday on a £1 mortgage is meaningless of course.



Perhaps admin might move these posts to the main board to keep this thread clear for its original pupose?