Eating a Vegetarian Elephant

I've been reading threads for ages and decided to jump in myself with a diary.

About the mortgage: bought this house in 2014 for £359k, with a £165,000 mortgage.
In 2015 took a second charge £20k because the kitchen needed replacing and the floor in the extension was collapsing.
In 2016, fixed  the first mortgage for 10 years @ 2.79% because I wanted fixed out-goings that were affordable on a single wage (DH is 18 years older than me and I was planning for his retirement, even if he wasn't!). In hindsight, obviously rates came down after that but it seemed like a bargin at the time. We're allowed overpayments of up to 10% of the original amount borrowed without erc - which we're unlikely to have spare, but started with small OPs of £50pcm three years ago, increasing gradually to a regualar monthly OP now of £400.
Then Covid happened. We have been fortunate to keep and carry on our jobs wfh (the stress of that is a whole 'nother story, but let's look at the positive) so that by the end of Dec 2020 we were in a position to completely pay off the second charge of £13k by then, continue regular over payments on the main mortgage, and at the end of Jan, threw an extra £1000 at it.

So here we are, almost the end of Feb 2021, current mortgage stands at £126,400.90 with an overpayment resevoir of about £6.5k which we could use if ever things got a bit sticky. DH is contemplating retirement by the Summer so the regular OPs are fine until then, after that I will need to reassess what we can afford but want to keep finding ways to OP which is what this diary is about. I don't have a specific end date in mind, but would like to be mortgage free in the next 10 years so that unlike DH, I can retire early!
2014 starting mortgage £165,000
2015 second charge £20,000 - Jan 2021 paid off in full
Current outstanding balance - £115,856



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Comments

  • caeler
    caeler Posts: 2,605
    Mortgage-free Glee! Photogenic Name Dropper First Post
    Forumite
    Welcome! And good luck! You are in very good company here! 
  • Thanks Caeler, I've already found so much encouragement here, even without posting.

    As I said in my first post, we are looking at a relatively significant drop in household income this year, but fortunately both of us have public service pensions, so they're generous and predicatable, but we are having to look at being much more MSE to carry on overpaying because we rather foolishly tended to rely on salaries that covered everything, rather than maximising what we did with that income. Anyway, DH is slowly coming round and now records the Martin Lewis Money Show every week!
    So far this year we have:
    • Switched mobile providers saving £15 pcm and increasing data allowance
    • Renegotiated our broadband, landline, and TV package, saving £17 pcm and gaining services (I wish I could say get rid of it, but being up-to-date with the Media is part of my job, and my parents refuse to properly engage with the internet or mobile phones so I have to keep a landline!)
    • Changed our car insurance, saving an eye-watering £304 for the year
    • Had a smart meter installed (Husband and Daughter are completely transfixed by it, and as the main offenders for leaving things on and heating up the oven just for a quick snack, this should have a very positive effect).
    • Finished paying a loan on a frankly ridiculous luxury purchase, so £183 less going out per month. (In my defense, it was a 0% loan, I could have bought the item outright - I still love it and will have it for years).
    • And inspired by South Coast's diary, I've been maximising my Nectar points - £33.85 so far this year from a £0 start.

    Next set of challenges will be finding cheaper dog and cat insurance, reviewing direct debits, and getting the shopping budget under control.
    2014 starting mortgage £165,000
    2015 second charge £20,000 - Jan 2021 paid off in full
    Current outstanding balance - £115,856



  • Oh, I forgot to add - apply for WFH tax rebate, and claim tax back on Union fees for both of us (I think I can backdate the claim for four years?).
    2014 starting mortgage £165,000
    2015 second charge £20,000 - Jan 2021 paid off in full
    Current outstanding balance - £115,856



  • Ooh, thanks for the shout out 😀! I just love getting food for free - £5.00 for me yesterday!
    Mortgage start: £65,495 (March 2016)
    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!!!
  • Love your title!
    Mortgage Free 23 December 2020
    Savings £9671 / £20 000 goal
    Emergency Fund £216 / £1000 goal
  • Ooh, thanks for the shout out 😀! I just love getting food for free - £5.00 for me yesterday!

    South_Coast, saving all of mine for the double up event before Christmas. I can't believe what a difference having the app has made - they actually give me points for things I buy any way, rather than the paper vouchers that are always a bit random, or for something I've just bought and won't need for another month! Disappointinly screened out of five surveys in a row this morning :(
    2014 starting mortgage £165,000
    2015 second charge £20,000 - Jan 2021 paid off in full
    Current outstanding balance - £115,856



  • Almost as good as your name, Porridgecat!
    2014 starting mortgage £165,000
    2015 second charge £20,000 - Jan 2021 paid off in full
    Current outstanding balance - £115,856



  • Having an end of month dilemma/wobble.
    The regular OP is now a calculated part of our outgoings, so that's a done deal. I have £500 ready to go as an extra OP on 01/03, but it looks like DH's retirement is going to come sooner rather than later and I'm struggling with the impulse to hoard the pennies, even though rationally the money will work harder paid into the mortgage. It took me so many years to get out of debt from a previous relationship and in to a position to save that I get nervous about the idea of not seeing the savings going up.
    Have to give myself a shake -
    We already have an emergency fund (4 months at current spending levels or 7 with all discretionary spending cut)
    We already have our next holiday saved for and won't be taking it until 2022 anyway.
    When DH retires he will get a lump sum, and his pension will be 50% of current salary (so we're actually never going to be properly on our uppers).
    I'm still in work and because it's education, mostly secure (that said, we had voluntary serverences last year, and I'm currently on a 0.8 contract instead of full time because we wanted to avoid redundancy in our team. We took 0.2 reduction each to avoid losing one whole person).
    2014 starting mortgage £165,000
    2015 second charge £20,000 - Jan 2021 paid off in full
    Current outstanding balance - £115,856



  • Chiglepig
    Chiglepig Posts: 611
    First Anniversary First Post Photogenic Name Dropper
    Forumite
    Happy 1st of the month everyone. Just checked my mortgage statement
    Opening balance Sept. 2014: £165,000 (expected final repayment Sept. 2039)
    Outstanding balance as of Jan. 1st 2021: £128,019.84
    Outstanding balance as of March 1st 2021: £125,274.90
    Total overpayments £6604.

    After my little wobble at the weekend (finances are so tied to our emotions aren't they?), and some recalculating I will be over paying the £500 later today, so £900 for the month. I'm not yet organised or Excel competent enough to work out what that saves me in interest, or when my MF date will be, but I'll get there. I'm with NW and opted for overpayments to reduce the monthly payment to give me flexibility.



    2014 starting mortgage £165,000
    2015 second charge £20,000 - Jan 2021 paid off in full
    Current outstanding balance - £115,856



  • Chiglepig
    Chiglepig Posts: 611
    First Anniversary First Post Photogenic Name Dropper
    Forumite
    Not sure what % of the quorn/meat substitute elephant that means I've nibbled away at!
    2014 starting mortgage £165,000
    2015 second charge £20,000 - Jan 2021 paid off in full
    Current outstanding balance - £115,856



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