A way to pay! Clear this mortgage before 30 years!

obay

So;

I'll give a little bit of background details about myself;

I am a young 25 year old man who has just completed a house purchase on the 11th of November, 2016, my first ever house! I am so excited, me and the wife are very happy with our purchase, however we have some gritty bits that we must sort out! It's an old 1970's house with old wiring, which has caused us some problems unfortunately! + The roof needs to be replaced at some point!

I am currently self employed - I work online 99% of the day, if Mrs Obay doesn't want me to do some decorating..

I completed with the mortgage balance of £151,282 of which today was my first payment.. of £1209.03 paid to them.

I unfortunately, had to take a high interest loan from Kensington mortgage company because no other high street lender would take me on

My aim is to clear a good amount by the time I come to remortgage, which would be 11th November 2018, even though the interest is high I aim to make a daily repayment anywhere from £10 to £100 to get our remortgage amount down as much as we can so we can pay lower then what we are currently repaying!!

I hope to get to around £140,000 before the time we remortgage!!

To give an insight we pay £804.93 per month for 24 months...

Please wish us luck!

I will keep this diary updated as much as I can as I always wanted to do one of these since I first joined!

grade15

what's your current rate and where are you going to get £10 to £100 from?
how are you going to get a remortgage of 140,000 when no high street lender would take you on with 150,000?


just thinking of the future hurdles!

obay

grade15 wrote: »

what's your current rate and where are you going to get £10 to £100 from?
how are you going to get a remortgage of 140,000 when no high street lender would take you on with 150,000?


just thinking of the future hurdles!

Hi!! I shouldn't think we'll have future hurdles with the fact of paying a mortgage for two years plus 1 default dropping off next year right?

it's 4.82%, 15% deposit, house brought for £178,000.

I'm self employed! So I work online and I run my own company.

I am hoping that a high street lender will take us on in the next 2 years! When our fix is up..

daisy_1571

Hi Obay, welcome to the thread.

Firstly, huge congratulations on thinking about this when you are your age. I, and loads of other people on here, wish we had been as savvy when we were young.

You will get there, as you have already identified, little and often can have a huge impact on a mortgage plus an attitude of only small lifestyle inflation (if at all) and checking all the time "do I need this or just want this".

One of our most helpful tricks when we were in your position was to take anythign we classed as "extra" money and apply percentages. So any money extra to our budget ie the odd bit of overtime, present we received, premium bond wins etc etc 50% went to the mortgage, 25% went towards stuff we needed to do to the house and the last 25% was halved between us to do whatever we wanted with. That way we always got a bit of "guilt free" fun money yet we were also working towards our priorities. The percentages changed over time as our situation changed but it was always useful to have an agreed strategy.

After the first flush of enthusiasm it is also worthwhile to remember it is a marathon not a sprint and it does take time so you have to enjoy life along the way.

Use the diaries as inspiration, use the members for their various specialities and use the general wisdom and advice of the group as you see fit and as fits into your life.

Good luck on your journey

daisy xx

lippy1923

Yay, a new diary


Mortgage companies do not seem to favour self employed people much But at least you are on the ladder. Fingers crossed for better rates in 2 years time and a good reduction in the balance.


Agree with previous posts, read lots of diaries for tips/ motivation.
Good luck and keep us posted of progress.

obay

lippy1923 wrote: »

Yay, a new diary


Mortgage companies do not seem to favour self employed people much But at least you are on the ladder. Fingers crossed for better rates in 2 years time and a good reduction in the balance.


Agree with previous posts, read lots of diaries for tips/ motivation.
Good luck and keep us posted of progress.

I know!! :)it was a complete nightmare on elm street as we initially got rejected by the lender we are with now...

I think I am going to follow martin's guide for overpayments so I'm going to stick around the 400-500 mark per month once the house is renovated a bit more.. still got the bloody roof to do!

We've painted the bathroom today which is awesome..

We've done 2 bedrooms out of 3 upstairs, the living room is done, plus the banisters as well...

New carpets on the 13th of this month also!! then we'll allllll be finished with this part of the year haha!

Kittenkirst

Sounds like you have a fab plan of action

What other jobs are you working on around the house, we just got a new build but there are so many things we want to do to make it fully ours and tweak and change bits- may revisit our priorityneeds/wants/luxuries list and see if anything else can be checked off before the festive season

obay

Kittenkirst wrote: »

Sounds like you have a fab plan of action

What other jobs are you working on around the house, we just got a new build but there are so many things we want to do to make it fully ours and tweak and change bits- may revisit our priorityneeds/wants/luxuries list and see if anything else can be checked off before the festive season

We didn't want a new build, I kind of wished that we did go for it though, but I pushed my wife into getting an older freehold property instead of a new build!

It's carpets next I think, thats the last thing on the list really for this year.

Then we have to start paying for the roof repair and damp fixings..

My fault as I was a bit snotty with the fact I wanted a freehold.

Plus I have heard some real big horror stories on new builds that I didn't want

Kittenkirst

We debated long and hard about an older property but this house was in the right location for us.

Carpets I have found really help the house to feel more individual, although I found I could only look at carpet shops for so long before I went carpet blind

TwentySomethingGirl

Hi and welcome!

I'm 26 and my husband is nearly 27, we bought a new build flat 2 years ago and my (very ambitious!) aim is to have no mortgage by 35...

We're just going through a switch in mortgage deal and we've paid off c£12k in 2 years so it's certainly achievable for you to get to £140k by the end of your deal!

Good luck, I'll be lurking

TSG

obay

TwentySomethingGirl wrote: »

Hi and welcome!

I'm 26 and my husband is nearly 27, we bought a new build flat 2 years ago and my (very ambitious!) aim is to have no mortgage by 35...

We're just going through a switch in mortgage deal and we've paid off c£12k in 2 years so it's certainly achievable for you to get to £140k by the end of your deal!

Good luck, I'll be lurking

TSG

Hi thank you for giving me your wonderful advice!

My wife is 31. We didn't know that we was going to do this at all if i am being honest.

It was a push after we got married back in July to get my wife to get a mortgage. She was always happy to rent because she didn't want the responsibility. I changed her mind! Completely.

I'd love to be mortgage free before I am 35, 10 years.

Today we haven't done much. I've repainted the bannister because it was a mess, and of course I'm a bloke and everything is fine! Obviously not mrs obay had a go at me

Shopping and spent £84 I have no idea how... and treated out selfs to a Chinese tonight as it was a treat because we've nearly finished the house!