Lumiona's MFW Diary

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  • Lumiona
    Lumiona Posts: 235 Forumite
    First Anniversary Name Dropper First Post Photogenic
    Well it's all change here again. Crazy house prices and big demand mean we've been valued at way more than we were expecting so it's gone on the market yesterday.

    The extension would have cost a fortune, especially with rising costs and huge lead times for supplies.

    We hope to sell very quickly as we are interested in a bigger new build round the corner. We need to sell before we can reserve the plot.

    The mortgage will obviously go up but the should be less than 50% LTV on a £350k house and if we are able to fix at 1.2% for 5 yrs. The added bonus of not needing to do any work on the new house means we can build up our overpayments.
  • caeler
    caeler Posts: 2,605 Forumite
    Mortgage-free Glee! Photogenic Name Dropper First Post
    Good luck with the sale, homes are selling within 48 hours where I live. Never seen anything like it. I have a new build and love it. Something so special about buying off plan and watching it be built! 
  • Lumiona
    Lumiona Posts: 235 Forumite
    First Anniversary Name Dropper First Post Photogenic
    Thanks Caeler, the EA was beaming, expecting offers in on Monday, a bit optimistic IMO but we are in a fab location. Village feel but within 30mins to 2 major cities and walking distance to the best performing high school in the borough. They are getting snapped up here too.

    I'd never leave this area but we need a bigger house and smaller garden.
  • caeler
    caeler Posts: 2,605 Forumite
    Mortgage-free Glee! Photogenic Name Dropper First Post
    Good luck but seriously the market is mental. My friend was house hunting, she’s seen dozens of places along with 8-12 other people on the first day of viewings and nearly all offered! So sellers are obviously going with the most proceedable!! 
  • Lumiona
    Lumiona Posts: 235 Forumite
    First Anniversary Name Dropper First Post Photogenic
    We sold within 3 days. :o £10k over asking and I thought our asking price was optimistic.  The buyer is looking to move asap so we have spent the last week decluttering and selling in preparation to move out. We'll be staying at Mums until we find our next property, hopefully not too long 🤞.

    So we will be mortgage free for a short while 😉 

  • Lumiona
    Lumiona Posts: 235 Forumite
    First Anniversary Name Dropper First Post Photogenic
    We're looking at moving out next month some time so we will be mortgage free!!! 🎉 We'll also have £200k equity going into our next home thanks to previous MFW efforts. 

    We've pulled out of the new build sale due to 'fleecehold' uncapped estate management fees. Instead, we've found an 80s 4 bed detached house nearby for £300k, £50k less than the new build but it does need modernising all over which I'm really looking forward to. 

    So yes, by the end of year, I suspect it will be Oct/Nov we'll have a £110k mortgage. However the repayment is only £100pm more than we are currently paying due to interest rates of 1.19% for 5 yrs. I'm looking at overpaying the max each year, if we can with the renovations planned.
  • Lumiona
    Lumiona Posts: 235 Forumite
    First Anniversary Name Dropper First Post Photogenic
    Officially Mortgage Free!!  :) 
    We sold our house yesterday so Mortgage free with nearly £200k of equity - woohoo we are rich.

    We are staying at Mums for a few weeks until we complete on our new home and start all over again on the MFW train. Might be a few years off before we are making decent overpayments, we've planned a lot of renovating. We have locked in an excellent 1.04% interest rate for 5 years.

    Just revelling in being mortgage free and cash rich (but asset poor) for the first time ever.
  • Congrats on being rich but homeless! New house sounds good and hope the conveyancing goes smoothly!
    MFW 2021 #76 £5,145
    MFW 2022 #27 £5,300 
    MFW 2023 #27 £2,000
    MFW 2024 #27 £1,075 /£3,600


  • Lumiona
    Lumiona Posts: 235 Forumite
    First Anniversary Name Dropper First Post Photogenic
    So our purchase has collapsed, the vendors had their property pulled. Quite difficult to deal with as there are so few houses in our search criteria.

    DH fancies going to a small 3/4 bed bungalow so we can be mortgage free and have more cash to do it up as we want. I'm not ready to downsize with 2 kids. Especially since this might be our last chance to trade up and get a decent mortgage before we start to downsize. Just wait and see what comes up as we're ready to go.
  • Lumiona
    Lumiona Posts: 235 Forumite
    First Anniversary Name Dropper First Post Photogenic
    Offer accepted on a new house. Another 4 bed detached with a bigger mortgage. Let hope this actually goes through this time... There is some updating to do but not urgently, it may still be a year or two before any chunky overpayments are made. I'll do weekly balance sweeps to tidy the accounts up to £100.
    Managed to get an ever better mortgage rate of 0.99% this time which is crazy. I'd like to make major inroads before the 5 years fixed period is up.  
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