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Aiming to be mortgage free
sgc21
Posts: 27 Forumite
Hi,
So I have a plan to be mortgage free in 4 years but thought I'd put my plan out there for comments just in case I'm missing a trick.
Mortgage debt 67k over 11yr term, currently on a 5 year fixed at 4.5% until May 2028, current payment £639 per month.
Plan to pay the maximum overpayment of 10% of mortgage balance at the start of each year without being charged a penalty for overpaying and put any extra spare funds into a savings account.
At the end of the 4th year I should hopefully have enough in the savings account to pay of the balance taking into account the 10% on the balance.
Just wanted a sanity check that this is the best option (or only option) to pay off a fixed rate mortgage early.
So I have a plan to be mortgage free in 4 years but thought I'd put my plan out there for comments just in case I'm missing a trick.
Mortgage debt 67k over 11yr term, currently on a 5 year fixed at 4.5% until May 2028, current payment £639 per month.
Plan to pay the maximum overpayment of 10% of mortgage balance at the start of each year without being charged a penalty for overpaying and put any extra spare funds into a savings account.
At the end of the 4th year I should hopefully have enough in the savings account to pay of the balance taking into account the 10% on the balance.
Just wanted a sanity check that this is the best option (or only option) to pay off a fixed rate mortgage early.
1
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