MrWannabe & his journey to the MF Roll Of Honour

5 Posts

Inspired by the MF journeys I have read about on this forum over recent weeks, I have started this thread to help me stay focussed on my journey to being MF. Today has seen my most significant step to date on the road to MF status. So let's begin:
Just me paying the mortgage
Property is worth around £160k to £170k (I think!)
Just over 6 years into a 10Yr fixed rate mortgage (mortgage duration was 20 years at start)
I was a fool to take out the 10Yr fix...seemed a good idea at the time, I did not think rates would fall any lower (how wrong I was!)...paying 3.84% at the moment
I have been overpaying since the outset (via increased monthly payments); started off around £50 per month overpayment, but the 'overpayment' has steadily increased each year, as the mortgage balance has reduced
Last month, I increased my monthly payment by £100 (so now overpaying by around £180 per month I think)
As of this morning, my mortgage balance was just over £58k
This afternoon, I phoned my mortgage provider & made a single overpayment of just over £4K (yikes!)
....so my mortgage balance is now around £54k & my goal is to clear the mortgage before I am 50 (Spring 2024)
Like many people, the situation with COVID-19 prompted me to have a rethink about my finances (which led me to this forum). Just before lockdown, I took out a loan to fund a new kitchen...but lockdown has kind of put me off doing the kitchen this year, so for now, I will settle for a new kettle & toaster and a lick of paint on the kitchen walls! The loan which I took out to help fund the new kitchen was at 2.9%, so I figured it would make sense to use the capital from the loan to maximise my overpayment on my mortgage (as interest rate on my mortgage is higher than the interest rate on the loan). Need to keep in touch with my mortgage provider, as I am meant to be able to make overpayments of 10% of outstanding balance per year...I calculated this to be around £6k for this year, but the guy I spoke to today told me that my overpayment allowance for this year was just over £8k (think he might have got that wrong, but maybe he was correct?)...did not want to risk going over my overpayment allowance, but will call back again in a few weeks to check if I really do have more scope to be overpay this year than I originally thought.
Anyway, I will stop waffling on now & hope to work my way to being Mortgage Free at 50, without being too thrifty! The journey has begun 👍🏻
I was a fool to take out the 10Yr fix...seemed a good idea at the time, I did not think rates would fall any lower (how wrong I was!)...paying 3.84% at the moment
I have been overpaying since the outset (via increased monthly payments); started off around £50 per month overpayment, but the 'overpayment' has steadily increased each year, as the mortgage balance has reduced
Last month, I increased my monthly payment by £100 (so now overpaying by around £180 per month I think)
As of this morning, my mortgage balance was just over £58k
This afternoon, I phoned my mortgage provider & made a single overpayment of just over £4K (yikes!)
....so my mortgage balance is now around £54k & my goal is to clear the mortgage before I am 50 (Spring 2024)
Like many people, the situation with COVID-19 prompted me to have a rethink about my finances (which led me to this forum). Just before lockdown, I took out a loan to fund a new kitchen...but lockdown has kind of put me off doing the kitchen this year, so for now, I will settle for a new kettle & toaster and a lick of paint on the kitchen walls! The loan which I took out to help fund the new kitchen was at 2.9%, so I figured it would make sense to use the capital from the loan to maximise my overpayment on my mortgage (as interest rate on my mortgage is higher than the interest rate on the loan). Need to keep in touch with my mortgage provider, as I am meant to be able to make overpayments of 10% of outstanding balance per year...I calculated this to be around £6k for this year, but the guy I spoke to today told me that my overpayment allowance for this year was just over £8k (think he might have got that wrong, but maybe he was correct?)...did not want to risk going over my overpayment allowance, but will call back again in a few weeks to check if I really do have more scope to be overpay this year than I originally thought.
Anyway, I will stop waffling on now & hope to work my way to being Mortgage Free at 50, without being too thrifty! The journey has begun 👍🏻
Good luck to all you other wannabe MF's 😉
2
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Cleared 🧚♀️🧚♀️🧚♀️!!! In 5 years, 1 month and 29 days
Total amount repaid: £72,307.03. £1.10 repaid for every £1.00 borrowed
Finally earning interest instead of paying it!!!
Mortgage end date Dec 2045 - NOT!!!!
Mortgage balance end of December 2022 - $19,999.00
Business Savings $54,345/100k
Hope to be mortgage-free by end of 2023
Mortgage end date Dec 2045 - NOT!!!!
Mortgage balance end of December 2022 - $19,999.00
Business Savings $54,345/100k
Hope to be mortgage-free by end of 2023
Oct 2022 £143,277.74
Reduction £166,722.26
OriginalEnd Sept 2034 / Current official end Apr 2032 (but I have a cunning plan...)
2022 MFW #78 £10200/£12000
MFiT-6 #28 £21,772 /£75000
Cleared 🧚♀️🧚♀️🧚♀️!!! In 5 years, 1 month and 29 days
Total amount repaid: £72,307.03. £1.10 repaid for every £1.00 borrowed
Finally earning interest instead of paying it!!!