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Decluttering, renovating and overpaying - finding the balance

edited 30 November -1 at 1:00AM in Mortgage-Free Wannabe
37 replies 7.4K views
FacelessNumberFacelessNumber Forumite
371 Posts
Seventh Anniversary Combo Breaker
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edited 30 November -1 at 1:00AM in Mortgage-Free Wannabe
Hi all


I have tried a couple of times to keep a diary on here but life events have generally got in the way and changed my focus.


We took out a mortgage of £188k in July 2014 moving into our forever house. It's the perfect location for us, with a large garden but it all needed some TLC. We spent the first 15 months or so overpaying a fair bit whilst getting some of the renovations done - things like damp proofing and superficial stuff like painting and flooring. We then had a year planning our wedding (which was now a year ago) so the house took a backseat.


In the last year we've been back on the renovations - repointing, painting the outside of the house and landscaping the garden. As a result of focusing on the renovations we have stopped overpaying.


I'm hoping to use this diary to help me find a balance between the two! Lots of work still to be done on the house, we're currently working on extending one of the bedrooms. The extending has been done, plasterer is coming this week then it's decorating / carpeting / furnishing etc.


I'll be back tomorrow with a numbers update in terms of where we are on the mortgage so far. Hello and thanks to anyone who has read this far! I love reading lots of the diaries on here, although I don't post on many, will try and say Hi a bit more!!

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Replies

  • KittenkirstKittenkirst Forumite
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    Part of the Furniture 1,000 Posts Photogenic Name Dropper
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    Hi Faceless Number :)
    Just wanted to say hi and looking forwards to seeing your numbers tomorrow x
    Mortgage 1- 10/16 £170.995- Overpayments to 06/21: £13,784 (25% extra!): house sold & equity= £88,563.12 after fees!
    Mortgage 2-Due 06/21: £301,691 (!) Rate 2.2%. Plan to clear it before 30 years!!!!!!
  • FacelessNumberFacelessNumber Forumite
    371 Posts
    Seventh Anniversary Combo Breaker
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    As promised I am back with an overview of the mortgage figures!
    In July 2014 we started with a mortgage of £188790 over a 30 year term. In the first year we overpaid £1889.87 and in the first few months of the second year we overpaid £859 (total of £2748.87).


    Since then we have made only regular payments as we have been saving to do renovations. So far our OPs have saved us £178.09 in interest. Our daily interest is £17.99 rather than the £18.33 it would be otherwise.


    Our mortgage balance is £176819.44 rather than £179746.39 (that's a difference of £2926.95) and we have paid off a total of 6.34% rather than 4.79%. So I'm fairly happy with that overall.


    We are currently in the process of remortgaging (I just need to print off and send my documents) which will change our end date to Feb 2037 (originally July 2044) whilst maintaining around the same monthly payment.


    The reason I'm starting this diary is that I'd like to continue to make a few OPs even though most of the money will be going towards the house renovations. My plan is that any 'extra' money - from selling or bills savings etc will be OP'd.


    If you read this mammoth post thank you! My next step is to analyse our spending so will be doing that this week. In the meantime I'm hoping to start a spending diary and will be posting on here to keep myself on the straight and narrow!

  • FacelessNumberFacelessNumber Forumite
    371 Posts
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    Spending for the last two days:
    Monday - £9.99 on a new wheatbag, £3.70 on lunch (forgot to pack a lunch)
    Tuesday - £1.45 on snacks (my biggest downfall), £2.?? - OH went to the shop for a couple of bits for tea.

    Decluttering - a wardrobe sorted yielding a bag for the charity shop, a bag for textile recycling and 2 dresses to put on ebay
    Overpaying - no news on this front, the plan is to OP anything that we make, or any savings on bills. For example the two months we don't have to pay council tax.
    Renovating - plasterer coming this week so have had to clear the room out, remove radiator, skirting boards etc. Will be adding up the cost of the room renovation soon in order to keep track of how much we're spending.

    I need to print off my evidence for the new mortgage still, this must be done this week!

  • katep23katep23 Forumite
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    Hi Faceless, I'm in a similar position. Our house is probably going to take around 5 years to renovate and we're plodding away, getting the roof done right now, so can't make any overpayments at the moment. I understand the frustration!

  • FacelessNumberFacelessNumber Forumite
    371 Posts
    Seventh Anniversary Combo Breaker
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    Hi katep23, it is frustrating isn't it! We have some really big renovations planned that are probably going to cost us around 15k, that's a lot of OPs we can't make!


    So my spending for the last few days:
    25th - £2.85 on coffee and water, £3.79 for lunch, £6.04 on a few groceries. OH also bought a few bits of groceries but I'm not sure what he spent yet!
    26th - NSD!! (I think, need to check if OH spent anything)


    Renovating - plastering done in the under stairs cupboard and the spare room, will be paying for that soon. I'm hoping to work out how much the room has cost us when we're finished. I'm pleased with it so far! Will be a trip to buy paint this weekend I think.


    Decluttering - the bag of clothes for recycling has been dropped off, need to take the other bag to the CS still.


    Overpaying - documents dug out for the new mortgage, will be taking them to the bank tomorrow hopefully!


    Need to do a money catch up today to see where we're at before the end of the month.

  • FacelessNumberFacelessNumber Forumite
    371 Posts
    Seventh Anniversary Combo Breaker
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    A spending update for the last few days and an overview of last week. I think this is the first time I've managed to keep a spending diary for an entire week! Hoping to keep it up.


    Friday 27th - £3.69 on lunch, 12.00 DD went out for contact lenses, £17 on a takeaway
    Saturday 28th - £51.15 on the main grocery shop
    Sunday 29th - NSD! This is despite a trip to London for the day - we packed a lunch and my friend bought me a coffee as I drove.


    So the weekly totals for the week beginning the 23rd are:
    Groceries £60.17
    Food (unessential) £15.38
    Eating out £17
    Misc £9.99
    Health £12.00


    The only area that needs work really is the unessential food - this is buying snacks and lunches. I go through phases of being very good on this and then fall off the wagon every now and again!


    Other updates:
    Renovating - need to pay the plasterer today, and work out how much paint we need to buy and where we can get it at the best price.
    Decluttering - nothing to add since last post!
    Overpaying - documents taken to the bank so just waiting on them for now in regards to the new mortgage. I'm going to have a look at how much I've got in my pinecone account and maybe OP that just so I've done one for January!!

  • FacelessNumberFacelessNumber Forumite
    371 Posts
    Seventh Anniversary Combo Breaker
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    Spending Diary for the last few days:
    Monday 30th - £410 for the plasterer
    Tuesday 31st - NSD!
    Wednesday 1st - £4.44 on lunch


    Decluttering - We've had a charity bag through the door so will fill that up and leave it out tomorrow.
    Renovating - next job is to get the whitewash coat on the plaster, but we're quite busy this week so might not happen just yet!
    Overpaying - no OPs made in January, waiting to hear from the bank about the remortgage. I might OP in February as I think it's a council tax free month.


    A few bills have gone out as well as the above money spending wise, I'm not sure whether to include those in my spending diary or not....


    Hope everyone is well :)

  • FacelessNumberFacelessNumber Forumite
    371 Posts
    Seventh Anniversary Combo Breaker
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    I've been trying to analyse January spending, it's not complete as I don't necessarily have all of the cash spending recorded. Here it is:
    Food £318.82 - this includes groceries (214.10), eating out (83.36) and extra food (21.36).
    Bills £1207.52 - Mortgage (853.93), Utilities (263.75), TV/Internet (57.11) and Mobiles (32.73)
    Charity £5
    Professional £28.45
    Bank Fees £10
    Dog £94.79
    Hockey £92 (new kit, not normally this much a month!)
    Holiday £253.93 (this paid for a holiday in May, will just need spending money)
    Renovations £1033.28 (plumber 285.30, plasterer 410, Furniture 334.50, DIY 3.48)
    Health £29.37
    Transport £54.57 (normally higher but I got to use OHs company car a lot this month :) )
    Misc 9.99


    The bills section is higher than normal - we changed energy suppliers so we had to pay two companies this month. We're also changing internet provider which will be cheaper from March.


    We've also spent quite a bit on renovations this month, and will likely do the same in February. I've never analysed spending like this before, I think it will be an interesting exercise!

  • Hello and welcome :-)

    I've recently posted my diary for exactly the same reason - to find balance, and also for motivation if it starts to feel tough.

    Looks like you've got good focus, especially on logging the daily spending. I find this to be a small but important part of the progress.

    All the best!
    Mortgage @ May 2014 [STRIKE] £103,347.24[/STRIKE]. Mortgage @ 2%:[STRIKE]£90, 321.99[/STRIKE], £89, 949.44
    CC @ 0%: [STRIKE]£5473.72[/STRIKE], [STRIKE]£5419.72[/STRIKE], [STRIKE]£5365.72[/STRIKE], [STRIKE]£5312.72[/STRIKE], [STRIKE]£5259.72[/STRIKE], [STRIKE]£5207.72[/STRIKE], [STRIKE]£5155.72[/STRIKE], £5104.72
    Home Improvement Loan @ 0%: £0, settled July 2017
    Emergency Savings: £2050/£5000
    Intending to be mortgage-free by 2022 :j
  • katep23 wrote: »
    Hi Faceless, I'm in a similar position. Our house is probably going to take around 5 years to renovate and we're plodding away, getting the roof done right now, so can't make any overpayments at the moment. I understand the frustration!


    Crikey, I know the feeling..! Same here with the renovations.
    Mortgage @ May 2014 [STRIKE] £103,347.24[/STRIKE]. Mortgage @ 2%:[STRIKE]£90, 321.99[/STRIKE], £89, 949.44
    CC @ 0%: [STRIKE]£5473.72[/STRIKE], [STRIKE]£5419.72[/STRIKE], [STRIKE]£5365.72[/STRIKE], [STRIKE]£5312.72[/STRIKE], [STRIKE]£5259.72[/STRIKE], [STRIKE]£5207.72[/STRIKE], [STRIKE]£5155.72[/STRIKE], £5104.72
    Home Improvement Loan @ 0%: £0, settled July 2017
    Emergency Savings: £2050/£5000
    Intending to be mortgage-free by 2022 :j
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