Quarter of a million reasons to be Mortgage Free!

coxj2901

There may be some exciting financial news on the horizon. We have been approached to sell a 20% equity stake in our business. I would qualify for entrepreneurs relief so the amount I would receive after tax would be in the region of £75k.

The deal in principal has been agreed and is with our accountants and solicitors at the moment who are drawing up the paperwork. My equity stake would be diluted from 33.33% to 26.67%.

On the assumption that it all goes through I should receive the funds within the next 4-6 weeks. I cannot pay it all of my mortgage as I am only around £6k away from this years 10% limit so would have to hold onto the funds until Jan 2018 when I am due to re-mortgage and pay a lump sum off then. I guess I could max out my ISA for this tax year and top up my pension aswell.

I will keep you informed if it all goes through....

P.S I've also just overpaid another £1k off the mortgage whilst it is fresh in the mind!

coxj2901

We have just returned from a wonderful 10 day break to Lanzarote and it has made me more determined than ever to get my mortgage paid off, retire from work and enjoy life!

I have therefore made another overpayment today of £2,600. In other news the sale of some of my shares in my business looks like it is going ahead so I should hear more within the next 7 days.

Apr 2017 Target

Monthly overpayment target . . . . . £1,666.67
Actual monthly overpayments . . . . . £5,300.00
(Shortfall) / Surplus . . . . . . . . . . . . . £3,633.33

2017 Target to date

2017 overpayment target to date . . . . £6,666.68
2017 actual overpayments . . . . . . . . . £17,376.89
(Shortfall) / Surplus . . . . . . . . . . . . . . . £10,710.21

Cumulative Targets since Nov-15

Cumulative overpayment target . . . £31,166.68
Cumulative actual overpayments . . . £44,714.14
(Shortfall) / Surplus . . . . . . . . . . . . . £13,547.46

Daily Interest Comparisons

Apr 2016 Daily Interest . . . . . . . . . . . £14.76
Apr 2017 Daily Interest . . . . . . . . . . . £12.18

Mortgage Balance

Starting Balance (Dec 2013) . . . . . . . . £255,000
Current Balance (Apr 2017) . . . . . . . . . £189,976

coxj2901

My May direct debit payment of £1,045 has left the bank plus an overpayment via standing order of £100. This brings the mortgage balance down to £188,880.

May 2017 Target

Monthly overpayment target . . . . . £1,666.67
Actual monthly overpayments . . . . . £100.00
(Shortfall) / Surplus . . . . . . . . . . . . . (£1,566.67)

2017 Target to date

2017 overpayment target to date . . . . £8,333.35
2017 actual overpayments . . . . . . . . . £17,476.89
(Shortfall) / Surplus . . . . . . . . . . . . . . . £9,143.54

Cumulative Targets since Nov-15

Cumulative overpayment target . . . £32,833.35
Cumulative actual overpayments . . . £44,814.14
(Shortfall) / Surplus . . . . . . . . . . . . . £11,980.79

Daily Interest Comparisons

May 2016 Daily Interest . . . . . . . . . . . £14.76
May 2017 Daily Interest . . . . . . . . . . . £12.18

Mortgage Balance

Starting Balance (Dec 2013) . . . . . . . . £255,000
Current Balance (May 2017) . . . . . . . . . £188,880

coxj2901

I've just sent £700 to my ISA and have made an overpayment of £500 against the mortgage.

May 2017 Target

Monthly overpayment target . . . . . £1,666.67
Actual monthly overpayments . . . . . £600.00
(Shortfall) / Surplus . . . . . . . . . . . . . (£1,066.67)

2017 Target to date

2017 overpayment target to date . . . . £8,333.35
2017 actual overpayments . . . . . . . . . £17,976.89
(Shortfall) / Surplus . . . . . . . . . . . . . . . £9,643.54

Cumulative Targets since Nov-15

Cumulative overpayment target . . . £32,833.35
Cumulative actual overpayments . . . £45,314.14
(Shortfall) / Surplus . . . . . . . . . . . . . £12,480.79

Daily Interest Comparisons

May 2016 Daily Interest . . . . . . . . . . . £14.76
May 2017 Daily Interest . . . . . . . . . . . £12.09

Mortgage Balance

Starting Balance (Dec 2013) . . . . . . . . £255,000
Current Balance (May 2017) . . . . . . . . . £188,549

hanb

All looks great!


Didn't want to just read and run as usual. I'm also getting jealous of others' diaries after making the max 10% OP already and now I have to wait til Jan to be able to pay another 10%. Still, at least I've paid it!


Hope your exciting news is becoming reality!

coxj2901

hanb wrote: »

All looks great!


Didn't want to just read and run as usual. I'm also getting jealous of others' diaries after making the max 10% OP already and now I have to wait til Jan to be able to pay another 10%. Still, at least I've paid it!


Hope your exciting news is becoming reality!

The share deal is still with the Solicitors at the moment as they had to work out some re-structuring of the existing class of shares to ensure that entrepreneurs relief would still apply following this first sale. They have told us that the documents should be ready by the end of next week so hopefully we are now looking at the end of the month for it all to go through.

coxj2901

I've noticed that I've taken my eye of the pennies. When I started this diary I was good at making small regular overpayments aswell as the bigger one off amounts. Whilst I have continued to make big one off payments I haven't been making the smaller payments and I think it's these that will really add up over the period of ~ 8 years.

Therefore I have just checked my bank account and added up the small amounts that have gone in my bank over the last 30 days. Bank Interest, Cashback and my account reward added up to £21.63 so I have just sent this off towards the mortgage and I feel all the better for it

I've also updated my Excel house and have realised that I nearly own 50% of my house!

coxj2901

My direct debit of £1,045 has left the account plus a standing order for an overpayment of £100.

Jun 2017 Target

Monthly overpayment target . . . . . £1,666.67
Actual monthly overpayments . . . . £100.00
(Shortfall) / Surplus . . . . . . . . . . . (£1,566.67)

2017 Target to date

2017 overpayment target to date . . . . £10,000.02
2017 actual overpayments . . . . . . . . . £18,098.52
(Shortfall) / Surplus . . . . . . . . . . . . . . £8,098.50

Cumulative Targets since Nov-15

Cumulative overpayment target . . . £34,500.02
Cumulative actual overpayments . . . £45,435.77
(Shortfall) / Surplus . . . . . . . . . . . . £10,935.75

Daily Interest Comparisons

Jun 2016 Daily Interest . . . . . . . . . . . £14.76
May 2017 Daily Interest . . . . . . . . . . . £12.03

Mortgage Balance

Starting Balance (Dec 2013) . . . . . . . . £255,000
Current Balance (Jun 2017) . . . . . . . . . £187,636

try_harder

Wow ,you are doing amazingly well keep up the good work.

coxj2901

I've just been paid so I have made an overpayment of £700 to the mortgage and sent £800 to my ISA. I've just calculated that my daily interest has dropped below £12 per day to £11.98 so that is another small victory to celebrate :beer:

In other good news my employer pension contribution has been increased to £1,000 per month and in addition to that my wife also now has £1,000 per month going in. I have also set up a standing order from my bank for a further employee contribution of £250 per month so I'm hoping my pension fund can start clawing back all those lost years.