Mortgage rate is killing us, debt not going down - Any suggestions

EssexHebridean

Stateofart said:

Pet insurance £147??  How many dogs do you have?

For three dogs this is far from an unusual price - and unfortunately this is also an area where it's risky to shop around/change provider/scrimp too much - particularly if any of the dogs are larger breeds or in the senior category. 

Can we also please avoid comments suggesting that the OP should get rid of their dogs - I see we already have one in the thread. If you are in doubt whether this is appropriate, ask yourself whether you would ask someone with three children whether perhaps they should rehome a couple of them? if that thought horrifies you, then you have your answer, and if it doesn't, then that tells us far more about you than about the OP!  

Loanranger21

I did not suggest that the OP gets rid of her dogs!

 I suggested that family or friends might take them which is very different. Of course, she would be able to see her dogs on a very regular basis but just not need to spend money she has not got on feeding or insuring them.

If she and her partner are out at work all day then that is not a good life for her dogs anyway.

EssexHebridean

We've no idea what arrangements the OP makes for the dogs while they are out - and in any event, this board really can't be for judgement. The risk with comments along these lines generally is that they can make people shy away from posting further - and in a case like this one where the OP is really in a very worrying position, it's important IMO to ensure that we don't do anything to drive them away. the vast majority of pet owners would indeed see "rehome with friends and family" as meaning much the same as "get rid of" - and as I suggested in the general comment previously, it would be unthinkable for people to apply the same "logic" to someone's children! 

Loanranger21

I am not being judgemental about the OP in any way and given that she has not included any costs relating to dog minders it is reasonable to suggest that the dogs are home alone.
Please do not repeat what you think I meant when I have already explained to you very explicitly that that is definitely not what I meant. 

My input is intended to be helpful but obviously unwelcome so I will bow out rather than be abused further. 

TheAble

Dogs are a big commitment though in terms of time as well as money. It's probably a bit of a stretch to ask friends or family to take this on.

themoomins

This all sounds so stressful, it must be having a huge impact on you both.

I don't think there are any real solutions other than trying to get a fix before rates spiral even further or selling and buying something cheaper/closer to work. Shaving a hundred off your shopping/getting a water meter/working extra shifts will barely scratch the sides and could leave you burned out and in the same or worse predicament. Rates are going up so this is not a temporary problem.

We earn a similar amount to you both but bought a house less than a fifth of the price of yours for the simple reason that we've already lived on the brink of financial ruin and would never want to go there again.  Is there any hope of downsizing and moving closer to work?

billy2shots

As well as 3 dogs, the Op's title also includes 'crazy house'

It would appear you have stretched yourself far too much to get a nice place. £1.1m for a place for 2 of you, then more credit for cars (again, probably more expensive than you need)  

It looks like you were living beyond your means even before the most recent interest rate increases. 

Lifestyle creep or keeping up with the Joneses?

It looks as though you need to compromise those high ticket items. If you are catching the train and tube to work, why 2 cars?
Why £1.1m on a crazy house for 2 people?

Your lifestyle is killing you. The mortgage rate change is only highlighting the issue. Understand and accept this and you will be far better off going forward even when rates lower in the future. 

kimwp

Were you earning more or projected to earn more (eg junior doctor with projected higher earnings) when you first took out your mortgage? It's high for a combined income of £80k (ish- I've had to back-calculate).

Potbellypig

Really simple fix. Sell the house, use the equity to clear your debts, buy a cheaper place and live your life debt free with a massive surplus of income. You could even afford a few more dogs if you done that!

sourcrates

I have to agree, your mortgage repayments, your secured loans repayments, and your unsecured debt are all crippling you.

You are almost £1600 short on your monthly financial commitments, where is that deficit coming from currently ?

It most certainly is not sustainable, and at some point the wheels are going to come off this jalopy.

I think you should consider selling, and moving to something cheaper, as you cannot carry on as you are, however, I would act soon, as before too long, that choice might be taken away from you.