Mortgage-Free in 10 Years | FIRE in 15 Years

FuffyCat
FuffyCat Posts: 42 Forumite
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edited 15 June 2021 at 5:12PM in Mortgage-free wannabe
Hello all :smile:

I've always loved reading everyone's stories over the last few years, so thought I'd take the plunge and create a diary. Most of my family and friends don't really have the same mindset so it's been great reading about yours.

I'm a 29-year-old woman who wants to be FIRE as soon as possible, however, I believe I can only truly be FIRE if I pay off my mortgage or at least reduce it down such that I don't have to worry about keeping an exhausting 40 hour a week desk job. This is the main reason, I hate having to get up and sit in front of a computer all day, I'm not sure if there's anything I'd really enjoy, as soon as I "have" to do something I tend to resent that thing (e.g. running once signing up to a half marathon for training :neutral: )

I got the house and mortgage when I was 25 and was just going into my first job after 7 years of university, but I hadn't actually started yet, so I had to go with the rate 2.34%, which was only about 0.02% above the lowest rate. It was a sum of £114,000 but for an eyewatering 38-year term @ £377 a month. I started a new job 3 years down the line which paid a lot more so was able to decrease the term to 23 years with a monthly payment £509. I also owe my parent £10,000 who helped with the deposit.

However, I'd like it paid off in 10 years (before I'm 40), to then spend 5 years saving as much as possible to be FIRE!

As it currently stands I have around £105,500 remaining.

The plan so far:
- Finish paying off my parents by April 2022, paying them £2500 every 3 months (I've already paid them £15,000).
- Overpay by £5000 or more every year, which equates to £50,000 over the 10-year plan. 
- Continue adding to the three regular savers a month £250 + £250 + £350 = £850 a month
- Any additional savings go into a easy access saver, this has averaged about £500, unless something comes up (vet bills, van mots)

SO GUYS....CAN IT BE DONE?

Edit: my boyfriend lives with me at the moment, he pays his ways with free labour seeing as the 120 year old house has constant problems (and bills, he pays about 75% of them. We don't plan on buying together, I had a bad experience with an ex-boyfriend kicking me out while I was about to be added to his mortgage. I never want someone to have that power over me again! 


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Comments

  • LadyGnome
    LadyGnome Posts: 801 Forumite
    First Anniversary Name Dropper First Post Combo Breaker
    Very best of luck on your journey to MF and FIRE.
    MortgageStart Nov 2012 £310,000
    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
  • FuffyCat
    FuffyCat Posts: 42 Forumite
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    LadyGnome said:
    Very best of luck on your journey to MF and FIRE.

    Thanks LadyGnome :smiley:
  • FuffyCat
    FuffyCat Posts: 42 Forumite
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    So June is the worst month for me, it is both my parents birthdays (mum is 60 so even more money spent), my only brothers, my boyfriends and fathers day. I don't mind spending on my loved ones, but no extra savings this month!!!

    I'm also getting increasingly worried about the big jobs that need doing on the house, even though dad and I spent the last 3 years doing it up, it needs a new roof and the entire downstairs is riddled with rising damp! Luckily the roof isn't leaking just very old and 'crumbly" and the damp is hopefully just aesthetics. My boyfriend managed to rewire the upstairs lights that didn't work for 3 months, which saved a few hundred :smiley:

    I went through a couple of skips (one of my favourite pastimes) around the corner and bagged nearly-full pots of paint and a nice mirror, it's crazy what folks throw away! Might give some of my white walls some colour!
  • bmthmark
    bmthmark Posts: 297 Forumite
    First Anniversary First Post Combo Breaker
    Good luck on your journey to become mortgage free. I am attempting to get mine completed within 10 years as well.
    By the way what does FIRE mean?
  • FuffyCat
    FuffyCat Posts: 42 Forumite
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    bmthmark said:
    Good luck on your journey to become mortgage free. I am attempting to get mine completed within 10 years as well.
    By the way what does FIRE mean?

    Thanks, bmthmark! Good luck on your journey!

    FIRE means Financial Independence, Retire Early. My take from it is more the financial independence of it, so not having to depend on a full time job. I hope I can pick up some hours doing something less brain-draining like my job is at the moment.

  • FuffyCat
    FuffyCat Posts: 42 Forumite
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    We went camping in our converted micro-camper this weekend, which isn't the cheapest hobby to have but we have to have some nice things in this life :).

    We used way more diesel than expected and ended up putting like £60 in the tank :neutral: but damn is Cornwall beautiful and worth the journey! Van-essa needs new tires, a service and an MOT so June is going to be an even more expensive month :'(

    July will be better! Hopefully got some overtime coming in July too due to a huge conference our company is hosting
  • Lauraebrad
    Lauraebrad Posts: 153 Forumite
    First Post Name Dropper First Anniversary
    Good luck on the journey - Van-essa sounds great too - would love a micro camper!

    Aiming for mortgage free by September 2030

    Balance 1.1.20 - £69,701.80
    Balance 1.1.21 - £63,699.80
    Balance 1.1.22 - £57,762.80
    Balance 1.1.23 - £53,074.20
    Balance 1.1.24 - £47,902.00

    over payments 2024 = £270/£1,200 /// invested 2024 = £200/£1,200 = TOTAL (YTD) £470
  • Just read your first post paragraph about how you hate getting up and sitting in front of a computer every day and I just wanted to say that there's nothing I've ever related with more.
    Every time people ask why I haven't got a fancy car or go on fancy holidays I explain that I am not sitting in front of a computer every day until I'm a hundred.  Pay off mortgage, save and invest, sack off the miserable job while they're still only a quarter of the way through it.
  • Gem2889
    Gem2889 Posts: 88 Forumite
    First Anniversary First Post Name Dropper
    Hello, our goals are very similar so will be cheering you on with interest! 
    Also want the mortgage gone in 10 years to free up life for living!

    Good luck! 
    x
    Cleared 25k from mortgage in 4 years - now I need to do it again!

    Dec 2020 Balance: £127,000
    Dec 2021: Balance £121,500
  • happymum37
    happymum37 Posts: 315 Forumite
    First Anniversary First Post Name Dropper
    👋 hello. Just reading through.  Good luck with your grand plan. I'm currently aiming to pay our mortgage off early. We currently have 9 .5 years left on ours and I want it gone within 6 befit hubby is 50.

    Best of luck xxxx
    Part time worker.
     Plug that SAHM pension gap & Retire in style in 20 years. 
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