Mortgage Free before 40

wonderwember

Hi Everyone!!

I've just joined this site and am super motivated to becoming mortgage-free after reading everybody's inspiring posts!

I'm 24 and have had my mortgage since August 2014 starting at £66,500. My initial interest was pretty high, 5.59% and my monthly payments were £370.54 but I started making regular overpayments so I was paying £425 every month.

My mortgage term has just came to an end this month and my new monthly payment is £296.99 but I want to continue to pay my overpayments until I get my balance down to £63,000 (currently at £63,630.25) and then I plan on switching deals I think I could bring the term down from 30 years to 15! Meaning I would be mortgage free before I'm 40!

:eek:Exciting times! Any advice would be greatly appreciated

Wonderwember x

lippy1923

Welcome and good luck

Tips would be get a spreadsheet up and running to track payments/progress. Keep your diary on here updated and read other MF diaries for ideas/inspiration. Give your whole overall budget a good looking at. Maybe post an SOA if you want ideas on how to reduce outgoings so you have more pennies for over payments.


Oh, and no matter how small the OP might seem, it all counts and is sooooo worth it.


I will be reading with interest.

obay

lippy1923 wrote: »

Welcome and good luck

Tips would be get a spreadsheet up and running to track payments/progress. Keep your diary on here updated and read other MF diaries for ideas/inspiration. Give your whole overall budget a good looking at. Maybe post an SOA if you want ideas on how to reduce outgoings so you have more pennies for over payments.


Oh, and no matter how small the OP might seem, it all counts and is sooooo worth it.


I will be reading with interest.

It's so true, this poster helped me with this and now slightly addictive..

Martin lewis says it takes about 14 weeks to remortgage onto a new deal. just thought I'd throw that out there!

wonderwember

lippy1923 wrote: »

Welcome and good luck

Tips would be get a spreadsheet up and running to track payments/progress. Keep your diary on here updated and read other MF diaries for ideas/inspiration. Give your whole overall budget a good looking at. Maybe post an SOA if you want ideas on how to reduce outgoings so you have more pennies for over payments.


Oh, and no matter how small the OP might seem, it all counts and is sooooo worth it.


I will be reading with interest.

Thank you! I'm going to set up a spreadsheet ASAP.
Are there any examples of SOAs anywhere? I can't seem to find one x

MallyGirl

you will find the SOAs in the 'debt free wannabe' section

TheShape

Don't get caught up worrying about the term. The term can be what you want it to be. I've got 29 years to run on my mortgage but nothing stopping me getting it paid of in about a third of that time. I don't want to though because the rate is low and the monthly repayments affordable even if I lost my job.

You could consider keeping the term the same and overpaying when you've got the money available while being able to stop overpaying if your income fell/you lost your job.

Importantly, what sort of cash savings have you got?