Forum Home» Mortgage-Free Wannabe

Mortgage free by my own merit

New Post Advanced Search
We are currently experiencing a high volume of spam and have increased the sensitivity of our spam filters. This could mean that genuine posts may get caught. If you believe this has happened to one of your posts, please email the Forum team on [email protected] As always, we are really grateful for your patience whilst we get this sorted - which we'll do as soon as possible.
Important update! We have recently reviewed and updated our Forum Rules and FAQs. Please take the time to familiarise yourself with the latest version.

Mortgage free by my own merit

edited 5 January 2019 at 10:59PM in Mortgage-Free Wannabe
117 replies 12.4K views
OhtobeMortgageFreeOhtobeMortgageFree Forumite
223 posts
100 Posts Second Anniversary
✭✭
edited 5 January 2019 at 10:59PM in Mortgage-Free Wannabe
I've finally plucked up the courage to start a Mortgage Free thread here after being inspired by so many. I'm hoping that the accountability will help keep me focused and on the straight and narrow to hopefully see my Husband and I mortgage free before I turn 40. (It's my 34th birthday at the end of this month.)
Our current mortgage is £132,829.12 and we have 20.5 years left with our current provider. We're in a 5 year fixed deal with four years remaining, paying £685.64 per month at the moment. So far we haven't overpaid our mortgage but this is something I want to start looking into.
My husband works full-time and I was a full-time teacher before leaving school to start a family. I now work a variety of part time jobs (night work in a supermarket, exam marking, resource writing, a newspaper round and website design) around my two year old son who I have at home with me six days a week. (He's in nursery on the other day.)
My husband and I put together a large safety net of savings before I finished my teaching job but my Mum got really sick last year and so along with my son I traveled to visit her three-four days each week for several months before she died. She lived 100 miles away so our savings quickly turned into petrol money and soon disappeared.
Every time I mention wanting to be mortgage free to my Dad he comments that it's not something I should think about as he intends on leaving me property when he dies but being mortgage free is something I want to achieve by my own merit, not just because I inherit something further down the road. I want my son to grow up knowing the true value of money as well and seeing that hard work does pay off.

Husband salary: £1895
Supermarket wage: £400
Child allowance: £80.40
Other income (minimum): £100
Total income: £2475.40

My husband and I each keep back £200 of our wages (not added in above) to pay for personal things such as our mobile phone bill, clothes and hobbies.

Monthly outgoings:
Mortgage - £685
Council tax - £155
Water - £52
Gas/Electric - £88
Phone/internet bill - £50
Food/household shopping - £200
Car expenses (2 cars) - £500
Gifts - £50 (this includes money we put away each week for all our nieces/nephews
Cat - £15
Swimming lessons - £40
Nursery - £188 (although we use Childcare vouchers so don't pay tax on this)
Home Insurance - £30
Netflix - £8
Savings/Emergency fund - £500

Total outgoings: £2422
Original mortgage total: £140,000.00 (July 2015) Original mortgage end date: June 2040
Mortgage free start date: 16th October 2018 Mortgage total at this point: £132,829.12
Current mortgage total: £118,585.02 Current mortgage end date: June 2038
Total overpayments so far: £3030
MFW 2020: £1515 / £5000
Daily interest: £7.59 > £6.79
«13456712

Replies

  • bexster1975bexster1975 Forumite
    1.6K posts
    Part of the Furniture 1,000 Posts Photogenic Bake Off Boss!
    ✭✭✭
    Hello and welcome

    I am also a former teacher who now works for themselves in a range of capacities, some very like yours.

    You will never regret paying off your mortgage, it will free you up in ways you never imagined. Do you have a plan for OPing? Us your emergency fund now non-existent?

    If you don't have an EF I'd be tempted to start there. Once you have however much you want as your safety net, start MF planning.

    I can't comment much on your SOA as it doesn't have lots. I'd say you might want to look at your phone and Internet cost once you are out of contract, two cars at £500 a month seems steep, but depends on what cost includes ( I.e is that the HP charge?) beg you could reduce home insurance too if that's monthly.

    Otherwise, I wish you the very best of luck.

    Bexster :)
  • HazelnuttyHazelnutty Forumite
    571 posts
    500 Posts Second Anniversary Name Dropper
    ✭✭
    Welcome! :wave:

    I'd agree about the EF and maybe including pots for other annual expenses like insurance and holidays? I'm also trying to build up a small pot as back-up for pet costs as well as less regular costs like school uniform and haircuts. Although these can usually be absorbed when they arrive I find it a relief to know there's a pot for it and I'm not trying to 'find' the money at the time. Then OPs can be made without worry (if that makes sense)

    Anyway, looking forward to keeping up with your diary :)
    Choose kind:)
  • Saving_GlutSaving_Glut Forumite
    212 posts
    ✭✭
    Welcome and good luck! You won’t regret it!
    IO BTL1 Mortgage was £97,693.54 on 09/08/18; £83,140 on 31/12/19.:D
    Sealed Pot Challenge 12: #078: £150.36
    Save £12k in 2020;
  • KittenkirstKittenkirst Forumite
    2.3K posts
    Part of the Furniture 1,000 Posts Name Dropper
    ✭✭✭✭
    Happy new diary :D

    I'd second having an emergency fund stashed somewhere for peace of mind and then just start OP'g.

    I do Tilly tidies (TT's) where I sweep my accounts regularly for the loose change e.g. if the joint account is at £61.45 I'll OP £1.45. We don't notice such small amounts but they add up over time :money:
    2020 Overpayments: £759.03 / £520 146%

    Mort- Oct16 £170.995 (end Nov 2041) Aug 20- £139,235.78

    Overpayments 2016 £255.50 2017 £2600.40 2018 £4500 2019 £2858
    Referral codes- shopmium: ACEAHKFA Shoppix- 57VB13QH
  • beanieloubeanielou Forumite
    73.1K posts
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    ✭✭✭✭✭✭
    Hello :wave:

    So no debts then?
    £500 on two cars seems a bit steep.
    Can that be cut down at all?
    Lou~ Debt free Wanabe No 55 DF 03/03/14.
    **Credit card debt free 30/06/10~**
    **Weight loss 2 stone 2 lbs **
    MFW. 9 months to go. B)
    "A large income is the best recipe for happiness I ever heard of" Jane Austen in Mansfield Park.
    ***Fall down seven times,stand up eight*** ~~Japanese proverb.
    It starts with you, it starts from now. *** It is ok to be me.***
    ***Keep plodding***
    Out of debt, out of danger. ***Be the difference.***
  • Important update! We have recently reviewed and updated our Forum Rules and FAQs. Please take the time to familiarise yourself with the latest version.
  • Hi all! Thanks for responding to my post! Nice to see another ex-teacher on here too! ��

    Our emergency fund currently stands at about £6000. We've been putting aside £500 of our monthly income for the past year to try and build this up and this is a level I feel comfortable with so am now happy to start putting money aside for overpayments.
    In the short term the plan for overpaying is as follows...
    I am contracted to work one night at the supermarket each week (at just over £100 per night) so any overtime I take on in the build up to Christmas will go into our overpayments pot, along with any other odd bits of extra work I pick up. (I have a couple of design projects on the cards currently.) My brother used to be manager of a cinema chain and gifted me 1000 cinema movie release posters and full size cutouts, some of them collectables. Any money I can get from the sale of these will also go into paying the mortgage. I also want to try and cut back on our food expenditure as I am pretty sure I can cut it back further. ��

    We own both our cars, but chose to live halfway between both sets of families (100 miles in each direction). My husband still travels to the football for home games near his family and with my Mum now gone, I have been visiting my Dad fortnightly, although intend to slide this back to 3-4 weekly visits. Most of our income after the mortgage itself seems to get turned into petrol still!

    While my son is still so young we don't really intend on booking any extravagant holidays. For the past 6-7 years we've gone away for free for several nights each year on our Tesco clubcard points and will continue to do the same.

    I like the TT idea! Definitely going to use that one!

    No, no debts feom either of us other than our student loans but these are a lower % than the mortgage so I will push onto the back burner for the time being. I've never bought anything on credit before other than my house! ��
    Original mortgage total: £140,000.00 (July 2015) Original mortgage end date: June 2040
    Mortgage free start date: 16th October 2018 Mortgage total at this point: £132,829.12
    Current mortgage total: £118,585.02 Current mortgage end date: June 2038
    Total overpayments so far: £3030
    MFW 2020: £1515 / £5000
    Daily interest: £7.59 > £6.79
  • Super pleased with my top-up shop savings today...
    The bill should have come to £37.77. This included heavily reduced meat and toiletries from discontinued lines. I got a further £2.42 off the bill by bulk buying wrapping paper as I NEVER seem to have any in the house.
    I bought cat food that is currently on the Shopimum app as half price so will get a further £2 back when I scan the receipt in and it's also double staff discount week so another £6.82 was taken off the total when I paid!
    £37.77 > £26.53...Bargain!
    Original mortgage total: £140,000.00 (July 2015) Original mortgage end date: June 2040
    Mortgage free start date: 16th October 2018 Mortgage total at this point: £132,829.12
    Current mortgage total: £118,585.02 Current mortgage end date: June 2038
    Total overpayments so far: £3030
    MFW 2020: £1515 / £5000
    Daily interest: £7.59 > £6.79
  • OhtobeMortgageFreeOhtobeMortgageFree Forumite
    223 posts
    100 Posts Second Anniversary
    ✭✭
    Lots of extra money going into the pot this week.
    1. I've just started a paper round for 750 houses in my town. £50 for one monthly magazine delivery, and the opportunity to double my round (and money!) will come my way after Christmas.

    2. I've also been given the heads up about a forum where I can sell the movie posters I was given by my brother. I have interest in around 50 of the posters at the moment, to be sold at £5 each. I've already had payments for £61.

    All money for the pot!
    Original mortgage total: £140,000.00 (July 2015) Original mortgage end date: June 2040
    Mortgage free start date: 16th October 2018 Mortgage total at this point: £132,829.12
    Current mortgage total: £118,585.02 Current mortgage end date: June 2038
    Total overpayments so far: £3030
    MFW 2020: £1515 / £5000
    Daily interest: £7.59 > £6.79
  • beanieloubeanielou Forumite
    73.1K posts
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    ✭✭✭✭✭✭
    All good then :)
    Lou~ Debt free Wanabe No 55 DF 03/03/14.
    **Credit card debt free 30/06/10~**
    **Weight loss 2 stone 2 lbs **
    MFW. 9 months to go. B)
    "A large income is the best recipe for happiness I ever heard of" Jane Austen in Mansfield Park.
    ***Fall down seven times,stand up eight*** ~~Japanese proverb.
    It starts with you, it starts from now. *** It is ok to be me.***
    ***Keep plodding***
    Out of debt, out of danger. ***Be the difference.***
  • twinklietwinklie Forumite
    4.6K posts
    Part of the Furniture 1,000 Posts
    ✭✭✭✭
    Hiya,


    I'm an ex teacher too (so is my DH). Seems to be so many of us about.


    I'm just getting back on the property ladder and have just started up my MFWB thread (new one for a new journey). Hopefully we can go on the journey together!


    My EF currently stands at about 1.5K so we are working on that and paying down debts I think before worrying about OPing mortgage. BUT, I've started the thread now to keep me focused whilst I get going with it all.
    Daily mortgage interest Sep 20 - £15.19 Reduction in daily interest - £1.27
    % of house owned/% of mortgage paid off.
    Sep 20 - 17.3% /7.65%
    MFiT-T5 #13 MFW 2031/currently Oct Sept 2037
    New aim - reduce debt by £4,000 by the end of 2020. % remaining Oct 20- 81%
Sign In or Register to comment.

Quick links

Essential Money | Who & Where are you? | Work & Benefits | Household and travel | Shopping & Freebies | About MSE | The MoneySavers Arms | Covid-19 & Coronavirus Support