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sarahevie's single quest to mortgage freedom

edited 30 November -1 at 1:00AM in Mortgage-Free Wannabe
750 replies 102.2K views
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  • sarahevie1sarahevie1 Forumite
    606 Posts
    Sixth Anniversary 500 Posts Combo Breaker Mortgage-free Glee!
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    £15883.83 - 2018
    £17885.75 - 2019
    £10253.29 - 2020
    Spends over £3600 this month absolutely unheard of for me. £1200 materials for the new bathroom/skip hire/gravel for the garden etc. Plus £1400 labour costs so far. This is all for home. I'm including them in my tracking of spends though as although I can live frugally I need to factor into the budget maintenance spends too. My plan is to see how much I spend over 10 years to track/plan for retirement spends. 

    I'm actually shattered, as moved tenants in on Friday/Saturday this week. Also had builders in all week working on relandscaping the garden, new room off the kitchen to create downstairs toilet/utility/boiler space, plus taking girls bedrooms back to brick to re do them and remove the built in cupboards. So it's been pretty much the  whole house affected as the contents of their bedrooms are in the other two bedrooms. All the bathroom stuff is in the kitchen. The garden is out of action (there's only the  two lounges left and one of them is the other side of the utility/ toilet so it's had a new wall built in it. 


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  • sarahevie1sarahevie1 Forumite
    606 Posts
    Sixth Anniversary 500 Posts Combo Breaker Mortgage-free Glee!
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    £15883.83 - 2018
    £17885.75 - 2019
    £12276.17 - 2020
    Trying to keep it fairly low key this month as had to pay the final £990 for the finished works. Really happy with the landscaping in the garden and my new downstairs toile/utility. 5 people and one bathroom was a nightmare it's now absolutely fine. 
    I had plans to put in an ensuite upstairs (finally got a date 6 months after I originally booked) but I've decided against as it's unnecessary and was going to cost £5,200 perhaps in the future but not now. 
    Been to some new places with month Hackfall woods, Stockeld Park, Fat Badger at Harrogate with different groups of friends. 

    Have been giving myself a bit of a talking too as a good friend of mine has been left really diddled after a breakup. It's not my place to share the ins and outs but needless to say I'm feeling complete rage towards the 'other woman' who I also know really well as I've always thought of her as manipulative/the worst kind as acts like butter wouldn't melt. I've had a few run ins with her professionally not personally but always came off the worst whilst knowing she was being dishonest.
    Anyway been giving it all way too much headspace, then feel guilty for being uncharitable and really I'm not the injured party.
    Both rental properties going ok right now; new tenants have been in a month. One more week off work.
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  • sarahevie1sarahevie1 Forumite
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    Sixth Anniversary 500 Posts Combo Breaker Mortgage-free Glee!
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    Got caught up in the personal and forgot about my money updates. 
    I've decided against paying off the BTL mortgages but have decided to pay into pension instead and then use the tax free lumpsum to clear. This is part of a larger retirement plan which I would  like to instigate at 50 in 15 years ime when DD3 is 22 (she was 7 last week.)  

    This plan is not coming easily/naturally as the drive to clear the mortgages is big. However, if I pay into the pension £500 pcm I will have £7050 per annum rpi linked from 60. If I pay a further £4000 a year into another pot. My tax  free lump sums will be £143,000 (predicted so I'm going to have to keep an eye.) My mortgage is £170,000. So should pretty much clear it.

     My rent across both properties is currently £7800 and £9600 respectively this is gross there's expenses/tax etc. Plus I'm on track for £6300 TPS per year from 60 rpi linked. So I'm happy with the guaranteed pots plus BTLs. There's between 50/60 to negotiate  but I can downsize although it's not that cheap to downsize really as starter homes round here are tiny and expensive.
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    Mortgage 1 £108,000
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  • sarahevie1sarahevie1 Forumite
    606 Posts
    Sixth Anniversary 500 Posts Combo Breaker Mortgage-free Glee!
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    Another month has passed
    £15883.83 - 2018
    £17885.75 - 2019
    £12185.69 - 2020
    Spends continue to be huge. Had to have a room replastered at home when we removed the wallpaper, unexpected expense also decided to have the ceiling done now only my bedroom and the stairs left with artex ceiling. May treat myself to those skimming next year. Car through the MOT this month. 
    Been somewhere new Yorkshire wildlife park a gang of 8 went but it was so expensive over £100 for the day for my five but worth it good to do something new!
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  • sarahevie1sarahevie1 Forumite
    606 Posts
    Sixth Anniversary 500 Posts Combo Breaker Mortgage-free Glee!
    ✭✭
    Another month has passed. Sadly just had an email that the girls dancing is not continuing this term due to lock down . Sad for the local business but will free up three nights per week. 
    Feel like we're making good progress at home. Dd2s bedroom finished. Except for curtains bedding. I treated her to some new wardrobes as all the fitted ones in the house are at least 30 years old. (Only my room not done yet!) It ended up being a huge job as it all needed replastering. Skirting boards putting on where the old wardrobes used to be but it's come out ok. 
    Had an enjoyable half term went to a local ninja warrior place for a Halloween party tickets were £47 but had a good night. Went to valley gardens in Harrogate with family and a day at castle Howard with friends. Ended up expensive as had stone baked pizzas round a fire on top of the entrance fee but am more relaxed about spending and grateful that £20 of petrol no longer needs to last 3 weeks!
    Still continuing with pension planning rather than oping but as committed as ever to financial freedom. Private pension just under 20k in the pot, £10k in an isa and £10k in instant savers.
    In my mind that's £170,000 mortgage minus £40,000 so £130,000 debt. 
    Spent £1878 this month main culprits £545 dd2s wardrobes £210 car insurance. I shopped around. 
    2020 £14063.




    HOME
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    Mortgage 1 £108,000
    Mortgage 2 £51,000
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  • sarahevie1sarahevie1 Forumite
    606 Posts
    Sixth Anniversary 500 Posts Combo Breaker Mortgage-free Glee!
    ✭✭
    £15883.83 - 2018
    £17885.75 - 2019
     £15361.11-2020
    Another month has flown by. I've had a set back in my quest for financial freedom so I've decided to take on another job. I'm hoping to expand my portfolio with one final BTL as I reckon this should enable me to go part time/semi retire. However, I don't meet the minimum income requirement for the BTL mortgage so I've applied for an additional job 12 hours a week to boost my income. 
    My personal pension account is now  just under £30,000 and I'm so pleased I decided to invest in this. I don't want all my eggs in the BTL basket. 

    HOME
    Original mortgage free date Nov 2037
    Mortgage free August 2018

    Additional properties
    Mortgage 1 £108,000
    Mortgage 2 £51,000
    Teacher pension - DB scheme
    LGPS pension - DB scheme
  • sarahevie1sarahevie1 Forumite
    606 Posts
    Sixth Anniversary 500 Posts Combo Breaker Mortgage-free Glee!
    ✭✭
    £15883.83 2018
    £17885.75 2019
    £16447.57 2020
    I'm thrilled to bit with my yearly spends as I've spent £4000 on home improvements this year.
     My personal pension is sitting at £29,000 with £2500 tax relief pending. I've got £16,000 in Isas. However, I'm now thinking I might try and clear my BTL mortgages on top of paying into my pension. As I'm pretty sure I could retire on the current rental income if I downsize.
    I can downsize my family home and buy two properties one for rental and one for me.This would leave me with an anticipated income £20040 after property expenses and tax. Having three would also limit the void risk. My figures are accurate as I've been landlording since 2007 so I have years of spending  diaries.

    This wouldn't be able to happen anytime soon as I couldn't downsize whilst I have the girls at home. We use all our rooms constantly even the spare bedroom. However, I'm thinking of a 10 year plan as my youngest turns 18 in 2031. I'd never want to have a really small house as I want to always have a spare room for the girls but equally I look at family members literally rattling round in homes way too big for them and think no thanks; it's not for me. My plans are based on me having a small 3 bed semi, 2 bed semi detached bungalow or perhaps a modern 2 bed town house. Something around 70sqm. We used to have a 1930s 3 bed end terrace and it was 75sqm and it was perfect when I had 2 under 4. 

    I'm not one for new years resolutions as I believe you can make a change anytime of the year but I want to be accountable to these goals moving forward.
    1) Re do my bedroom/fascias and soffits and then home is finished. 
    2) Donate one bag a month to charity. Can be clothes, food, toys.
    3) Continue to raise funds for charity. As a team we've managed £3000 since September so continue. DD2 does all the fundraising with me so it's something nice to do together. 
    4) Watch 52 films with the kids. 
    5) Read 100 books (I started with 20 for 2020 but I ended up reading 100 and I'd like to continue. )
    6) I've had a diagnosis for DD3 this year so I need to make sure I do at least 7 hours per week on DD3's stuff to help with her diagnosis. 
    7) Remember to compliment the kids more. I'm so lucky that two of them are very high achieving academically but they are complete slobs at home. They have started saying 'things are never good enough.' I'd be doing them an injustice if I didn't push a bit. It's a tightrope we're constantly teetering. Keep encouraging them to keep their rooms tidy as it's awful opening the door to the mess. 
    8) Keep up washing the sofa cushions monthly (it's cream and has made such a difference.)
    9) Plan in more easy teas (I always cook every night but it's getting where kids aren't eating until half 7 clubs doesn't help with this.)
    10) Keep up washing/tidying/cleaning during the week so the whole weekend isn't dedicated to housework. Keep up the moving the furniture (especially the beds) every week as it's so much nicer to pull out the furniture and there isn't so much mess. 
    11) Walk 28 miles per week.
    12) Lose two stone.
    13) Try new additional job but have the confidence to stop if it affects home life. 
    14) Be more understanding. I get so mad at people ranting on social media usually people who don't really have anything to moan about. These are obviously things upsetting them so try to be more understanding. 
    15) See friends and family more. I've had 5 close deaths in the past couple of years which has meant my kids have only got one set of grandparents. Covid 19 hasn't helped this year but onwards and upwards. 

    Think that's enough for now. 



    HOME
    Original mortgage free date Nov 2037
    Mortgage free August 2018

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    Mortgage 1 £108,000
    Mortgage 2 £51,000
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    LGPS pension - DB scheme
  • sarahevie1sarahevie1 Forumite
    606 Posts
    Sixth Anniversary 500 Posts Combo Breaker Mortgage-free Glee!
    ✭✭
    So been back reading the diaries and inspired to start overpayments on the BTLs. I had decided on a strategy of putting the profits into a personal pension and using the 25% lump sum at 60 to clear them. Along with my LISA.

    However, this seems a little risky what if the tax free lump sum isn't enough? What if interest payments rise and therefore my payments increase?

    So playing with my good friend the mortgage overpayment calculator I need to be making £300 pcm overpayments to Mortgage 1 which will clear it in 8 years. £300 pcm overpayments to Mortgage 2 will clear it in 22 years. (£500 would clear it in 8). 

    I still really want to finish my house and I need to replace the kitchen in one of my rental properties as it was the original kitchen fitted in January 1995 so it's 25 years old and I think it would hugely improve the house. So I won't be putting my £16,000 ISA savings as an OP which I would have done previously I'm going to keep those.

    My aim is to overpay £600 pcm or £7200 this year.
    At a push £800 pcm or £9600. 
    HOME
    Original mortgage free date Nov 2037
    Mortgage free August 2018

    Additional properties
    Mortgage 1 £108,000
    Mortgage 2 £51,000
    Teacher pension - DB scheme
    LGPS pension - DB scheme
  • sarahevie1sarahevie1 Forumite
    606 Posts
    Sixth Anniversary 500 Posts Combo Breaker Mortgage-free Glee!
    ✭✭
    £15883.83 2018
    £17885.75 2019
    £16447.57 2020
    2021 £849.59
    Another cheap month for me! Have managed to spend £100 in the sales topping up my present stash. Also had to spend £100 on a dehumidifer as a short term fix whilst I sort a bit of pointing out. 

    Still procrastinating about paying off mortgages vs another BTL vs pension. I've paid £23,000 into a nest pension since March 2019 and it's currently worth £31,000 so it's a pretty good return. It has been seriously boosted by the tax relief.

    It's crazy to think that if I can find £800 a month to pay off the mortgages I could probably retire in 8 years at 43. I'm not sold on this as do feel it's an eggs in one basket approach but it's something I'm still debating (probably will procrastinate all year on this.) 

    2021 Goals
    1) Re do my bedroom/fascias and soffits and then home is finished. (Still waiting impatiently for this - snow hasn't helped.)
    2) Donate one bag a month to charity. Can be clothes, food, toys. (Doing good with this donated over 20 books, food and two bags of kids clothes already.)
    3) Continue to raise funds for charity. As a team we've managed £3000 since September so continue. DD2 does all the fundraising with me so it's something nice to do together. (None - must try harder.)
    4) Watch 52 films with the kids. (Four so far.)
    5) Read 100 books (I started with 20 for 2020 but I ended up reading 100 and I'd like to continue. ) (Yes read 8 already.)
    6) I've had a diagnosis for DD3 this year so I need to make sure I do at least 7 hours per week on DD3's stuff to help with her diagnosis. (Definitely not been doing this. Work has been manic but no excuses.)
    7) Remember to compliment the kids more. I'm so lucky that two of them are very high achieving academically but they are complete slobs at home. They have started saying 'things are never good enough.' I'd be doing them an injustice if I didn't push a bit. It's a tightrope we're constantly teetering. Keep encouraging them to keep their rooms tidy as it's awful opening the door to the mess. (Not great but not too bad, still spending a lot of time on a weekend deep cleaning the house - we're all so tired in the week.)
    8) Keep up washing the sofa cushions monthly (it's cream and has made such a difference.) (No - forgot in January)
    9) Plan in more easy teas (I always cook every night but it's getting where kids aren't eating until half 7 clubs doesn't help with this.) (Yep doing ok with this.)
    10) Keep up washing/tidying/cleaning during the week so the whole weekend isn't dedicated to housework. Keep up the moving the furniture (especially the beds) every week as it's so much nicer to pull out the furniture and there isn't so much mess. (Keeping up with it during the week - but still spending too much time on a weekend dedicated to the slobby bedrooms.)
    11) Walk 28 miles per week. (Probably not as much as that - but have started always walking to work so that helps.)
    12) Lose two stone. (Lost half a stone.)
    13) Try new additional job but have the confidence to stop if it affects home life. (Not enjoying new job - only been there two weeks will give it a bit longer. Feel it is tiring me out.)
    14) Be more understanding. I get so mad at people ranting on social media usually people who don't really have anything to moan about. These are obviously things upsetting them so try to be more understanding. (Definitely doing ok with this.)
    15) See friends and family more. I've had 5 close deaths in the past couple of years which has meant my kids have only got one set of grandparents. Covid 19 hasn't helped this year but onwards and upwards. (Not seen anyone - sticking to lockdown.)

    Think that's enough for now.

    HOME
    Original mortgage free date Nov 2037
    Mortgage free August 2018

    Additional properties
    Mortgage 1 £108,000
    Mortgage 2 £51,000
    Teacher pension - DB scheme
    LGPS pension - DB scheme
  • sarahevie1sarahevie1 Forumite
    606 Posts
    Sixth Anniversary 500 Posts Combo Breaker Mortgage-free Glee!
    ✭✭
    2021 £1552.62
    Had a very cheap month on the homefront less than £750. However, did end up spending £4520 on a new kitchen for my rental. I can't get the actual pictures of it to upload but this was the kitchen visualiser. 
    HOME
    Original mortgage free date Nov 2037
    Mortgage free August 2018

    Additional properties
    Mortgage 1 £108,000
    Mortgage 2 £51,000
    Teacher pension - DB scheme
    LGPS pension - DB scheme
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