The Truter's Mortgage Free Journey!

Nickyt13

Hi,

My name is Nick, and I'm a Mortgage Free Wanabee!
We bought our current house in October 2011, when Mrs T was pregnant with our second son and thanks to a fruitful sale of our previous property and the generosity of my parents were in the following situation:

Cost of new property: £218,000
Mortgage amount: £127,500
LTV: 58%
Mortgage Term: 25 years
Interest rate: 4.09% (fixed for 5 years)
Monthly repayment: £679

I've always been a fan of fixed rate mortgages and wanted the ability to overpay if I found myself in the situation to do so, so chose a product that allows me to do so up to a maximum of £500 month penalty free.

Over payment capital is achieved by a mixture of working hard and being careful with how is spend my income. My best decision was to move all of my utilities to Utility Warehouse saving me over £100/month on my previous expenditure!

In little under three years I have overpaid just over £13,000 and am currently looking at paying off our mortgage in less than half the original term. I turn 37 next month and am determined to be Mortgage Free by the time I'm 50. I'm entertaining the thought of purchasing a 2nd property (either buy to let or holiday home) so that may scupper my plans but I'm equally happy to work harder to achieve that dream or become Mortgage Free twice

The overpayment calculator was the single biggest incentive to embark on this journey. Aside from the obvious financial benefits that it will give my wife and I later in life, I also want to ensure that we can help establish our sons financially.

Thanks for reading and sharing in our journey so far. If anyone wants any additional information on top of anything that I post, please feel free to contact me directly and I'll happily oblige.

Nick

Nickyt13

I'm pleasantly surprised at the amount of motivation that simply starting my own thread on here is giving me to become Mortgage Free!


I've applied to set up my online banking to get more regular access to my mortgage statement so that should help me keep a better track of my progress.


Finally; is the overpayment calculator a bit bug ridden at the minute?

Nickyt13

We're fast approaching the three year anniversary of being in our current home. Overpayment wise we've now broken the £14K mark and using the original figures from the overpayment calculator, our outstanding mortgage amount of approx. £103K corresponds to 7 years of "normal" payments.


So in essence we are currently 4 years ahead of where we would of been if we hadn't made a single overpayment

black_taxi_2

I find one objective target brings in best results


shooting at a barn door rather than a open field


snowball


1. I cleared my debt
2. used extra money to over/pay mortgage
3. lower mortgage less interest payments
4.morgage clear/financial freedom/save


ps--try your best not to take on new debt/even 1k/3k bank loans means your not paying down your capital.

Nickyt13

Goodness, almost 4 years since I last posted on this thread! Here is an update for anyone who's interested:

Mortgage when started: £127,500 (Oct'11)
Current mortgage (7th Sept '18): £71,387.87
Overpayments to date: £28,700 (Sept'18)
Mortgage free day: To be determined...