Mortgage free by 2023 (!)

debtfreeoneday

Whoop, end of work for 18 glorious days!

Been so busy this week, it's silly,

Final packing to do tonight and then we are off, hoping to get chance to sit down at some point tonight.

DH pay is in mega early due to Easter. Another £3.50 OP going to the mortgage today as we are away at the weekend.

Will be using CC5 for spends, but I have an allocated amount on it that we can pay straight off so I just need to stay in that bracket, which I'm feeling pretty confident we will do.

School seems to be going pretty well. Occ Therapy are now involved for DS, I've a bit of research to do on some of the suggestions they are giving so I can be a bit more informed.

All in all, I'm a pretty happy DFOD looking forward to a well earned break!

Happy Easter all if I don't get on again later! x

debtfreeoneday

I give up as a financial guru.

Mortgage statement arrived. Bear in mind we started OPs last January, so all of this years statement had OP's. the year before was £60 OP in total.

Last year we paid off just over £5, this year we paid over nearly £10k. OP's totalled about £1k ish. Monthly interest down about £30 a month.

I cannot see how the overall reduction amounts to £5k. Great that it does, but OMG, how could we only pay off £5k in a year, when we paid nearly £12k!

It makes no sense to me, even more reason to get rid of the !!!!!! asap. Would bos us £111k to repay if we moved mortgage.. ever so tempted to look around for a new deal!

debtfreeoneday

Interesting phone call with mortgage people.. Opinions needed, especially SJ!!

Would cost us £3260 roughty for an ERC.. has to be paid in cash, which we don't have, so if we were going to proceed, I need to cancel OP's this year and stash them all towards this with a view to changing by Christmas

We could then reduce payments by £120 a month and decrease monthly interest by 2.35% (more than 50%) - 2 year fix - meaning we would be then £320 a month better off which would be OP's back to mortgage and the £3000 it cost us, made up for in less than a year. Would then mean we would be making OP's on top on this of £652, instead of £334

or worse case, we reduce monthly payments by £80 and reduce monthly interest by 1.56%, so roughly £ 230 a month better off. meaning it would take longer to reclaim the ERC, but still be paying OP's £564. instead of £334 = this is a 5 year fix.

That is assuming rates stay as good as they are now, because it would take us till Christmas to save up the ERC.

Thoughts my financial savvy friends please...

debtfreeoneday

Just hit payout on Ips0s, so £10 am@zon voucher requested. Payment from M1ntv1ne hit the account, but I forgot it was $10 and not £10, so worked out to £6.88ish. P1necone survey credited so £5 to cash out there. 1poll up to £34.75, hoping to hit payout on that over the holidays.

DH got to get our ritual end of term Chinese, and fill up the car for tomorrow.

Might have a few more pounds to move later just to round off the fuel account, but will just move them to CC3 which is a little bit further down now at £662.44.

hiddenshadow

When does your current fix end? How long is your term? What's your LTV?

debtfreeoneday

hiddenshadow wrote: »

When does your current fix end? How long is your term? What's your LTV?

3 years left, 12 years left, but obviously hoping to hit 2023 if not earlier.

LTV is 54%.

Thanks HS!

Firegirl

I would work out what is likely to be cheaper long term. No harm looking around for a better deal.

Hope it works out for you- good luck in the research!

CathT

There is a calculator on here somewhere to see if its worth paying erc to change deal.

hiddenshadow

Don't have exact numbers as I had to guess on your current rate (4.6% or thereabouts?) but in theory...

2yr fix would cost you £7,025.11 in interest, assuming you OP £652/mo on top of £833/mo regular payment. You'd be done in May 2021.

5yr fix would cost you £8,971.52 in interest, assuming you OP £560/mo on top of £880/mo regular payment. You'd be done in August 2021.

Both calculations assume that you start the fix (and the OPs) in January 2017, and the interest paid doesn't include the ERC as that's the same either way.

I did find MSE's ditch-the-fix calculator (http://www.moneysavingexpert.com/mortgages/fixed-mortgage-calculator) and it claims you're better off if your new rate is between 3.13-3.59% or lower (depending on what sort of fees there are to get the new mortgage deal).

Hope those numbers help a bit.

debtfreeoneday

Current rate is 4.09% HS.. Will park re mortgage for a bit until I have a few moments!

I'm baaaaaccccckkk.

Lovely time away, always good to be home though. Really pleased in that we were super strict with the pennies and I've calculated spends and sent an extra £40 ish to CC3.. Might be a little bit more as well, just waiting for some transactions to go through.

Littlies seemed to enjoy the trip and saw lots. Legoland was good, though seemed a little dated to me, but to them it was amazing. Wouldn't pay normal price to visit.

So back to day to day life, and today we are all whacked, so fire is on and a film has just gone on. Gives me chance to catch up.

£5 from pcone received and sent to CC3 (included above), need to catch up on surveys whilst the film is on.