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How/when do you overpay?

DD265 · 2018-12-26 21:51:48

All being well, we'll move into our first purchased home next month. We've got a 95% mortgage at a reasonable interest rate on a 5yr fix, and I'm already thinking about overpaying. In an ideal world, we'd like to get lower LTV when we remortgage in 5 years to get the best rate we can. We do need to build up savings (we…

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A_Frayed_Knot Posts: 3,308 Forumite

5 January 2019 at 9:44AM edited 5 January 2019 at 9:47AM

FTBlalala wrote: »

The best tip I ever received was to keep the current mortgage balance outstanding always at 00.00 at the end.

Tip 1 - as above :j

Tip 2 - as you progress down your mortgage - when the interest added is affordable, you can start o/p the full amount of interest added each month then do your 00.00 :j

Tip 3 - when re-mortgaging - reduce years, but UP payments to include the extra you can afford, that way, you can still o/p your 10% allowance. :j

Gets you there in no time at all. (see below).

Always have 00.00 at the end of your mortgage and one day it will all be 0's :dance:

MF[STRIKE] March 2030[/STRIKE] Yes that does say 2030 :eek: Mortgage Free 21.12.18 _party_

Now a Part Timer from 27.10.19

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