Mortgage Free This Year...hopefully...

SilverSix

Hi Guys,

Haven't posted here in a while but with the new (and hopefully final year) of my first (of two) mortgages I hope to be free shortly after my 26th Birthday. I am planning to use this as a motivator moving forward.

A long story short due to the death of my father in 2009 I was able to buy my first house with a LTV sub 20% in November 2011. I quickly had two paying lodgers accompany me to fuel my overpayment/savings efforts.

I was fortunate enough to secure a 5 year fixed tracker with no early repayment charges and have simply been saving and investing everything I can, whilst living a little of course.

Some of this is sat in high-er interest accounts, a large chunk in a cash ISA and another large chunk in my S&S which has had it's up and downs.

I am quite generous with the amounts I save for each month for the running of my car and to cover bills so often find mid year and year end I have a surplus to either enjoy or add to savings.

I currently have around just under £9,000.00 to clear and estimate with all going well it should take around 7 months to clear realistically. I would love to be able to do it in 5 and before my birthday but this would hinge on my S&S ISA performing very well or a lottery win

In February 2014 in a moment of impulse I took an additional £20,000.00 of borrowings to fund a car purchase, also on a 5 year fixed tracker with no early repayment charges on a slightly lower rate. I favoured this over a specific loan as it gave me flexibility to pay just £95pm (and then direct all my saving efforts on it once the first mortgage is cleared), than be stuck with a fixed £6-700 monthly repayment that should I end up without lodgers I could struggle to meet. I haven't saved much if anything in preference to a loan but have gained flexibility and the ability to enjoy what I wanted right now.

Having recently just started road cycling which is a potentially very expensive hobby! I am trying my best to get by with the minimum I need for now.

Once I have cleared the mortgage on the house this will free up my mortgage payment to be used (in addition to what I already save monthly) to help clear my second mortgage for the car which should take until around October 2016.

Once I am mortgage free I plan to continue saving, hold true on a pact with a friend to visit Vegas before we are both 30th, think a little about my future financial security and also enjoy myself a little

So for now everything that isn't 100% absolutely necessary is on hold.

Oh and I have both my friend and brother's weddings in August and October too:rotfl:

So here's to being tight fisted for the next 6 months:beer:

Ben