a friend just paid off his mortgage

Prudent

I have paid of my mortgage. I did it quite quickly as it became a bit of an obsessional focus for me. I vividly remember reversing out of my drive into the Cul du Sac opposite as I left for work. I glanced at the house and then turned off the engine for a bit and just sat looking at the house. It suddenly hit me that it fully belonged to me and it was a huge relief. My reaction may have been different to anyone else because I bought this house to escape an abusive relationship and it was also the first property I had bought solely by myself.

floridaman

Saw my friend today and he still has a spring in his step. He is now looking at making some improvements like catching rain water, solar panels and growing his own veg and potatoes.

mystic_trev

floridaman wrote: »

Saw my friend today and he still has a spring in his step. He is now looking at making some improvements like catching rain water, solar panels and growing his own veg and potatoes.

Do you think I could interest him in joining a homeowners party? Groin thrusting would be discretionary

wotsthat

floridaman wrote: »

Saw my friend today and he still has a spring in his step. He is now looking at making some improvements like catching rain water, solar panels and growing his own veg and potatoes.

Has he considered re-mortgaging to pay for the solar panels?

He could extend the mortgage and divert the cash from savings into his pension. He'd get tax relief on the pension contribution and withdraw 25% tax free plus he'd have a higher income for life.

Nationwide have 4 year fixes for less than 2% - it's free money.

The interest will be pennies and he'll be able to pay off the panels with tax free money. Plus he'll be getting a tax free return on the panels too.

He could even borrow a bit extra and bung it in a Santander 123 account that'll pay 2.4% after basic rate tax.

I suppose if he likes paying tax though....

floridaman

Some good points everyone, I will pass this info on or show him this thread (he doesn't have a Internet connection).