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Crunchy's Mortgage diary

edited 18 August 2016 at 10:39AM in Mortgage-free wannabe
62 replies 5.6K views
crunch_timecrunch_time Forumite
1.4K Posts
edited 18 August 2016 at 10:39AM in Mortgage-free wannabe
Hi all mortgage free wannabes!!!


I've decided to start a diary on here to keep track of our plans for our mortgage over the next few years.


'We' is myself, husband, toddler and baby and we have recently moved from the city to the country to a lovely village location.


Our house is lovely and ideal for a young family as we are but sooner or later we will out grow it and this time we want to be prepared.


We have been homeowners for nearly 8 years but were hit by the recession and long story short, haven't really made any dents in our mortgage. We managed to scrape together enough money to move and now we are ready to really attack our new mortgage with the long term goal of affording a bigger detached house in the future.


Here are the very rough figures....


Current house value £180,000
Current mortgage £159,000 (approx. - awaiting for online access from bnk)
Current monthly payment - £752 (its a repayment mortgage
Our stack in the ground for moving is 5 years time.


To put down a £50k deposit for a £250,000 house we will need to have our mortgage down to £130,000 (crude figures based on our house staying the same value - I like to under promise and over deliver.)


In order to achieve this we need to pay about £500 a month off the mortgage. Some of this will be included in the minimum payment some of it will be from our overpayments.


My actions so far are:


- requested online access from the bank so I can track our progress and work out detailed figures.
- already rounded up the monthly DD from £752 to £800 a month
- read some diaries on here for advice.
- tried and failed to come up with a witty title :rotfl:
My next action is

- work on our family budget/debt repayments to see if we can eek up the monthly DD to £850 a month in the next few months.
- await card from bank for online access.

I'm also working at paying off our debt too and being more financially independent in general. If anyone would like to join me for the ride, please follow on and we can egg each other on!

Crunchy xx

Monthly figures

April 2015 - £159, 740
May 2015 - £159,467 £273 paid!!
June 2015 - £159,176 £564 paid!!
July 2015 - £158,901 £839 Paid!!!
August 2015 - £158,628 £1112 Paid!!
Sept 2015 - £158,331 £1409 paid!!
Oct 2015 - £158,053 £1687 paid!!!
Nov 2015 - £157,758 £1982 paid!!
Dec 2015 - £157,478 £2262 paid!!!
Jan 2016 - £157,197 £2543 paid!!
Feb 2016 - £156,865 £2,875 paid!!
March 2016 - £156,583 £3157 paid!!
April 2016 - £156,283 £3687 paid!!
May 2016 - £155,998 £3972 paid!!
June 2016 - £155,696 £4274 paid!!
July 2016 - £155,409 £4561 paid!!
August 2016 - £155,122 £4848 paid!!
19/8/19 vs now Current Total debt £14,188 Savings £2757
Overdraft £1600 vs £1050
HSBC1 £1900 vs £3868
HSBC2 £4100 vs £3730
Virgin 1 £3050 vs £2800
House stuff and improvements £4460 Virgin 2 £2740
«134567

Replies

  • LuckyinlifeLuckyinlife Forumite
    1.6K Posts
    Forumite
    Great start do you have an MF target date in mind ?
    Mortgage--- [STRIKE]£67700 March 15[/STRIKE] [STRIKE]£65221 April 15[/STRIKE] [STRIKE]£64983 July 15[/STRIKE] [STRIKE]£64780 sept 15[/STRIKE] Remortgage [STRIKE]£67295 oct 15[/STRIKE] [STRIKE]£66599 Nov 15[/STRIKE] [STRIKE]£65878.73 Dec 15[/STRIKE][STRIKE] £64834 1st Jan 16[/STRIKE] [STRIKE]Feb 16 £64,511.89[/STRIKE][STRIKE] March 16 £64,056.40[/STRIKE] [STRIKE]April 16 £62550[/STRIKE] [STRIKE]May 16 £62,396.20[/STRIKE] Feb 17 £60.800
    Emergency fund 23k
  • Welcome, I wish you luck. I assume you don't really mean putting a £50 deposit on the £250k house :p
    House purchased November 2013
    Original MF Date: January 2045 - £104,400
    Current MF Date: April 2030- £48,719. 75
  • crunch_timecrunch_time Forumite
    1.4K Posts
    Ha!! Yes Rachel - clearly I mean £50k deposit rather than £50 - I have edited this now.:rotfl:


    Hi luckyinlife - yes we do we aim to have the mortgage down to at least £130k or below by 2020 in time for my youngest child, who is currently 6 months to be 5.


    So I have some news on the 'keeping our family budget down' front.....


    Husband and I each have a loan where about 2 years ago we consolidated our existing debt and each bought a second hand car. The total this month was about £15,500 and our combined minimum payments were £419 a month. We have been debating what to do about these going forward and at the weekend decided to consolidate them into one loan with a lower payment. Husband did this yesterday and the new payment per month is £275.:j


    However I am not going to use the additional money to raise the DD just yet.


    My parents leant us £3000 to help us move which I would like to pay back and we also need to purchase my husband a summer house so he can start working from home (which will save lots in fuel in the long run).


    I'm currently spending a lot of time thinking about what direction to go in as I also want to build up a savings cushion and I'm desperate to start a pot for our future family adventures once the children are a bit bigger. Mortgage repayment has all got to be manageable and enable us to have a little bit of a life at the same time.


    Still waiting for online access from the bank.....


    How does everyone else balance life with mortgage payments??


    Crunchy xx
    19/8/19 vs now Current Total debt £14,188 Savings £2757
    Overdraft £1600 vs £1050
    HSBC1 £1900 vs £3868
    HSBC2 £4100 vs £3730
    Virgin 1 £3050 vs £2800
    House stuff and improvements £4460 Virgin 2 £2740
  • crunch_timecrunch_time Forumite
    1.4K Posts
    Evening all mfws!!!

    Finally got the 'grid card' I needed from the bank to get online access. So after dinner will settle down and get to grips with it.

    I have also decided we are not going to up the overpayments until we have paid off the £2k overdraft I have just taken out to pay off my parents (they needed/deserved to have the money back.

    I'm giving myself till the end of the summer for this.

    The loan from my parents helped us move so it makes sense to do this first.
    I'm feeling very focussed now.

    Crunchy xx
    19/8/19 vs now Current Total debt £14,188 Savings £2757
    Overdraft £1600 vs £1050
    HSBC1 £1900 vs £3868
    HSBC2 £4100 vs £3730
    Virgin 1 £3050 vs £2800
    House stuff and improvements £4460 Virgin 2 £2740
  • SavingRavenSavingRaven Forumite
    63 Posts
    Forumite
    Hi Crunchy,

    Just popping in to say hello. Another six figure mortgage here!

    You look like you've cracked straight on with organising your finances and well done the saving made by consolidating the loan.

    Have you done an SOA yet so people (who are much better at this stuff than me) can help you find other ways to save money

    Good luck, I'll be reading *subscribes*
    SR
    Target 1: Debt: [STRIKE]4459.02[/STRIKE] Jan'15 [STRIKE]2899[/STRIKE] Feb'15 0
    Target 2: Emergency fund: Feb'15 [STRIKE]1500/6000[/STRIKE] Mar'15 6000/6000
    Target 3: Buy-to-let fund: Mar'15 [STRIKE]1200/4000[/STRIKE] Apr'15 4000/4000
    Target 4: Pay sister back: 9000/40000
    Target 5: Get mortgage to 250k: Jan'15 271,659 Today 259,283.82
  • LuckyinlifeLuckyinlife Forumite
    1.6K Posts
    Forumite
    Realy nice target there crunch :]

    good decision as well to pay overdraft off first. I myself payed nearly 10k off in debt jan this year it is possible keep at it :]

    Only overpay once all your other debts are in order is how i would approch it

    have a great weekend
    Mortgage--- [STRIKE]£67700 March 15[/STRIKE] [STRIKE]£65221 April 15[/STRIKE] [STRIKE]£64983 July 15[/STRIKE] [STRIKE]£64780 sept 15[/STRIKE] Remortgage [STRIKE]£67295 oct 15[/STRIKE] [STRIKE]£66599 Nov 15[/STRIKE] [STRIKE]£65878.73 Dec 15[/STRIKE][STRIKE] £64834 1st Jan 16[/STRIKE] [STRIKE]Feb 16 £64,511.89[/STRIKE][STRIKE] March 16 £64,056.40[/STRIKE] [STRIKE]April 16 £62550[/STRIKE] [STRIKE]May 16 £62,396.20[/STRIKE] Feb 17 £60.800
    Emergency fund 23k
  • FiregirlFiregirl Forumite
    836 Posts
    Seventh Anniversary 500 Posts
    Forumite
    Welcome!!!! I'm very much for ensuring my obsession with mortgage overpayments does effect my day to day life. This is how I have made a start.

    Making pack lunches
    Stopped popping into shops
    Planning weekly food shop and there's 4 in our house. Everyone chooses a dinner each and the other days are filled in.
    Stopped getting as much take away coffee
    2 no spend days a week
    Selling on eBay.

    Good luck on your journey.
    Mortgage balance Feb 2015 start of MFW Journey-£245316.06/Aim to be mortgage neutral 2022 — Target for May 2023 14 Year Target Balance MF50 = £106, 918 — Mortgage Balance £112000 —Target for May 2023! £100K
  • Hi crunchy,

    I know what you mean about balance. Hubby and I have had several discussions on this as I want to plough all spare money into overpayments whereas he wants to live life now. I think you just need to remember that the mortgage is a long game but having achievements along the way like your doing with paying back parents, then overdraft. That will give you things to tick off that you've done.

    Just out of interest what is the interest rate on the new consolidated loan? If its more than the mortgage I would concentrate on kicking that in first - unless your overdraft is higher again? Concentrate on getting rid of your highest interest debt first then you can add that money into the next highest - snowballing I think it's called on here
    House purchased November 2013
    Original MF Date: January 2045 - £104,400
    Current MF Date: April 2030- £48,719. 75
  • crunch_timecrunch_time Forumite
    1.4K Posts
    Hi Saving Raven - Yes will post a SOA soon! Thanks for your support!!!


    luckyinlife - ordinarily id agree with paying everything off first but have decided to start over and kick off our long term plans in an affordable way. It will stop us thinking we have more money to fund our lifestyles this way round. Its the right thing for us.


    sque - Your right. We have already squished down our lifestyle to get rid of a lot of the stuff we don't spend money on but I take your points on the following...

    Making pack lunches - husband needs to do this more
    Stopped popping into shops - I only buy what I need ard to stick to ow
    Planning weekly food shop and there's 4 in our house. Everyone chooses a dinner each and the other days are filled in. - we are trying really hard to stick to ours
    Stopped getting as much take away coffee - not a problem for me/hubby
    2 no spend days a week - this is a good idea
    Selling on eBay. - ive already ebayed the hell out of my house which helped with previous debt repayment. Now I ebay my childrens stuff once they have grown out of it and then use the money to buy new stuff.

    Rachel - I'm looking forward to ticking those things off!!! The loan is 3.99%. We do plan to pay it off early its just taking a back seat at the moment whilst I attack other things.


    Thanks for all your help and support guys. SOA and figures coming up later!!!!
    crunchy xx
    19/8/19 vs now Current Total debt £14,188 Savings £2757
    Overdraft £1600 vs £1050
    HSBC1 £1900 vs £3868
    HSBC2 £4100 vs £3730
    Virgin 1 £3050 vs £2800
    House stuff and improvements £4460 Virgin 2 £2740
  • crunch_timecrunch_time Forumite
    1.4K Posts
    So I just logged into my see mortgage online and its £159,740.47. when we started it was £159,030. I'm hoping its just because of interest since we completed at the end of March and our April 1st payment hasn't been credited yet..........
    19/8/19 vs now Current Total debt £14,188 Savings £2757
    Overdraft £1600 vs £1050
    HSBC1 £1900 vs £3868
    HSBC2 £4100 vs £3730
    Virgin 1 £3050 vs £2800
    House stuff and improvements £4460 Virgin 2 £2740
This discussion has been closed.
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