23 + 38 = Far Too Long 7 October 2019 at 5:32AM in Mortgage-Free Wannabe 5 replies 765 views

mossypne

I've been lurking here since back in April in preparation for my House Completion, which I finally did on the 26th September. Now i'm looking to start overpaying!

Some background, I'm a 23 year old Single Male with a mortgage of £139,545 over 38 years and a H2B loan of £37,999. Current plan is to try and overpay as much as possible and increase my income to absorb the H2B loan into the mortgage and then properly try and start paying that down.

I went for a 38 year mortgage to keep my guaranteed payments as low as possible, but then make up for it in overpayments.

I sent my first overpayment of a massive £1.57 over the weekend just to test the details i'm sending the money too. Still waiting for that to show on the mortgage account however!

edinburgher

38 years is very long, but congratulations on getting the housing ladder at a young age

beanielou

I dident know that you could get a mortgage for 38 years!

mossypne

beanielou wrote: »

I dident know that you could get a mortgage for 38 years!

All the way up to 40 apparently! Went for a high one just so that I can keep monthly payments low and overpay down as I get pay rises!

My £1.57 test overpayment hit the account overnight, so at least I've got the details correct!

killerpeaty

Congrats on your first overpayment!

Also congrats on buying your property so young, amazing achievement.

LeighofMar

Welcome and good job. I know 30+ years is standard, but isn't it funny that once the paperwork and all the dust settles, the number hits you? This current house we bought 4 years ago when I was 38, and I realized, I'd be 68 if I paid it off normally. 68!!!!!! :eek:
So I don't blame you for getting a nice long term and then overpaying as much as you can. That's awesome, and that's what we did too. Enjoy your new home.