Early Thirties Mortgage Free Goal

ruby_eskimo

That's amazing!  I'm still hovering around the 10% ownership at the moment (we managed to get a 95% mortgage through Help to Buy) so have a long way to go till we get there.

LeighofMar

Steve123456789 said:

I’m now unemployed so next year’s overpayments will be interesting. 

So sorry to hear that Steve. I hope you will not be unemployed for long and so glad you own 50% of your house. 

Steve123456789

It's only a couple of days until I can put more money down on my mortgage because I put as much as I was allowed last year. It's very exciting because I'm very sad.

Currently owe about £116,000 and planning on paying the whole 10% I'm allowed in one go, so should be under £100,000 owed in about May or June of 2021

beezysoldier

Well done Steve123456789 great effort and target to be MF by the time your in your mid 30's. Can you imagine how much you can do and can control the rest of your life after being mortgage fee? I am on a similar goal I am in my mid 30s now but due to a sight set back in my late 20s I am now back on track and hoping to be mortgage free by the time I am 42. Just remortgaged a 5 year fix at 1.44. 166k left to clear. We can do this Steve123456789 

Steve123456789

1.44 is good.  My interest rate is 2.02. I hope when I remortgage in 3 years time, because I'l have paid so much off and hopefully increased the value of the house from 240 to about 320 or maybe more, that the interest rate I get will be super low.

What I'm planning on doing once I'm mortgage free is just work as little as possible. Just earn what I need to pay bills and if I want to go on holiday or buy something fancy, work a bit more.
Also considering selling this place I've done up, buying a relative dump, and doing it again. I enjoy it.

42 is still super young to be mortgage free. Even putting down a single overpayment over the course of your entire mortgage will probably put you ahead of the average mortgaged person.

Steve123456789

Changed our mind and put £6k down and will leave the rest until later. Put it in our S&S ISA for now.

Steve123456789

Maxed out this year's overpayment and will be down to a 5 figure mortgage on Jul 1st.

The best bit in my opinion is seeing the interest decrease each month. Started off having over £270 added on each month, meaning almost 30% of each monthly payment of £950 was just paying off the interest.  Now the monthly interest is around £170, which is only 17% of the monthly payment.

Steve123456789

£66,300 to go. No more overpayments allowed this year.
We're almost sub-£100 monthly interest.

Will be about £58,000 ish at the end of the year which is when it goes to a variable rate and the overpayment limit no longer applies.

Gonna take out money from S&S ISAs and savings in order to pay it off in full as soon as the phones are open in the new year.
Mathematically it's not the best decision but we will soon build that money back up, having no mortgage.

I'll be 31, she'll be 30.