Aiming to be mortgage neutral in 7 years

MrsJoJo

Definitely worth checking out paddyz. I’ve been a member for a while and it does mount up.

MrsJoJo

Last update of the year:

Balance outstanding = £59,268.89
Savings = £14,845.29
Difference = £44,423.60

We’ve just made our regular overpayment of £125 this month plus around £4 from Intellizoom surveys.

Very happy with progress so far and hoping to increase payments in the New Year now I’m working full time.

Happy New Year to everyone x

CosmoCat

Congrats on the full time role and excellent movement on your mortgage neutral goals. You're doing fantastically!

M0ney

At your current rate, I'd have thought you'd have reached your goal in 4-5 years. Good luck!

MrsJoJo

First update of the New Year! Due to my increase in hours at work, we’ve upped the ISA to £300 a month and the mortgage overpayment to £200. Hoping to be mortgage neutral 4 1/2 years from now if everything goes to plan!

Balance outstanding = £58,790.82
Savings = £15,102.76
Difference = £43,688.06

MrsJoJo

The final sentence of my last post seems a little ironic - "if everything goes to plan"! Unfortunately the road to mortgage neutrality isn't running very smoothly at the moment. OH is self employed and hasn't worked since lockdown. We've had to cancel the mortgage overpayment but still managing to pay everything else at present. Here are the latest figures:

Balance outstanding = £58,010.96
Savings = £14,076.81
Difference = £43,934.15

Best wishes to all who are struggling. Hopefully things will start to look brighter soon. 

LadyGnome

It’s at times like this that being on top to of your finances helps. You had scope in your budget to reduce outgoings by stopping the OP, your LTV is better than if you had done nothing and you have a bigger savings buffer.  Think how much more stressful it would be if none of those applied. 

MrsJoJo

Thanks LadyGnome. I totally agree with you. We were lucky to have the spare income and I'm so glad we decided to embark on this plan. Things may not be going smoothly at present but we are in a lot better position than we could have been.

MrsJoJo

Quick update. OH has not been able to go back to work so the mortgage overpayment is still on hold:

Balance outstanding = £57,391.95
Savings = £15,424.24
Difference = £41,967.41

longway2go

Hi, just had a look at your diary as I am starting to look into when we can realistically become mortgage Neutral. I hope your OH can start work again soon.