Morgage Free Motivation

angelavdavis

Some of my motivations:

• Choosing what I do for a living (at last!). I don't hate my job, but the thought of not having to work fulltime would be a nice option.
• We can't afford for me to give up work, therefore, have children until the mortgage is paid off.
• The thought of never having to complete a prying remortgage application form from the bank detailing the occupants of my house and their interest in the property and then getting everyone to sign it!
• The thought that the roof over your head is truly yours.
• and of course, having a nice bit of cash that you can put aside and invest every month.

plzhelpmesave!

george_jetson wrote: »

Couldn't resist! 10.5p/hour!

We've just remortgaged on a 10 year fixed deal and plan is to pay off in that time (£115k at 5.39% repayment = £705 a month (approx)

Any chance anyone could tell me or share a spreadsheet to work out how much is costs weekly/daily or even hourly - like some of you have done (please please can i be a mortgage geek too - lol!!)

Our mortgage basically costs us £2.01 for every pound we borrow, so i'm gonna try to think of it as every extra £ we put to the mortgage we are knocking off £2. Don't really know if that makes mathematical sense (pretty sure it doesn't!) but should work as a motivator for me! THanks!

JonnyBravo

plzhelpmesave! wrote: »

We've just remortgaged on a 10 year fixed deal and plan is to pay off in that time (£115k at 5.39% repayment = £705 a month (approx)

Any chance anyone could tell me or share a spreadsheet to work out how much is costs weekly/daily or even hourly - like some of you have done (please please can i be a mortgage geek too - lol!!)

Our mortgage basically costs us £2.01 for every pound we borrow, so i'm gonna try to think of it as every extra £ we put to the mortgage we are knocking off £2. Don't really know if that makes mathematical sense (pretty sure it doesn't!) but should work as a motivator for me! THanks!

Certainly!

For a mortage of 115k at 5.39% to be costing you £705/month i reckon youve got about 294 months left (according to my calculator)

That would lead to an interest payment in March of £516.54. (a capital repayment of £188.91)

516.54/31/24 = 69p

You're paying your bank c.69p in interest per hour at the moment

Jonbvn

save-a-lot wrote: »

Are you at all penalised for paying too much off in one year? I have a cap of 5% of the outstanding mortgage balance per annum that I can pay off as an overpayment before I start to get penalised. So, if you have the same case, split off some money and save or invest a portion of it.

I would agree that it is wise to avoid ERC's wherever possible. As you suggest, any additional money in excess of the ERC limit should be saved/invested. Tax is the important issue for savings, so ISA's and other tax-free vehicles are ideal for this.

Move_To_Portugal

Like some others I focus on the amount of mortgage interest we are paying and on a picture of a sunny Algarve villa on my desktop

bellsbells

ali007 wrote: »

PS 31p an hour

:rotfl: :T :rotfl: :T :rotfl:

That is fantastic! I bow in the presence of a true DFW master:D

gallygirl

bellsbells wrote: »

:rotfl: :T :rotfl: :T :rotfl:

That is fantastic! I bow in the presence of a true DFW master:D

Sorry, wrong info given, actually is 0.3100696427p an hour

Paulxo

Eeek.

Just did my calculation - £1.27 an hour.

Sigh...

plzhelpmesave!

thanks johnnybravo! i didnt even think about deducting the capital payment bit so had my figure at 97p!
i can see this becoming an obsession! have already told off DH for buying kids toys ......2 x £4= £8 which is 8 hours of interest payments!!)

save-a-lot

The hourly rate I owe is 68p/hr