Thirty something dreaming of not paying mortgage

Mortgage_Minimiser wrote: »

You are really getting on top of this whole MF thing now... I love reading your diary!

Boo to the insurance payment, but yay to having cancelled now. Look forwards not backwards..... even lok at what that £28 per month would do to the mortgage

Keep it up!

MM
x

Aww thanks x

Yeh he got told off from me haha, I've helped him write a complaint in so we'll see whether anything comes of that. You're right though, at least its gone now. I found it incredible but I tried not to be too harsh on him. He was really helpful today and I explained the pensions and mortgage things to him and he was really onboard.

Update from me today
Spent £27 at the Butchers today - proper stocked up And got plenty of eggs for pancakes...yummy.

I've been working on my spreadsheet - taking it very slowly and making it all pretty and perfect.
I started with a tab that states our goals with target dates.
Then I moved on to the mortgage and working out all the payments and interests and loan remaining with overpayments etc. and did fancy things
And now I'm working out income/budget and whats left over before I do savings/pensions and final mortgage split.

This playing with spreadsheets is making me very happy. But now my tummy is grumbling and I must make dinner.

Firstly I have got £4.80 back from delay repay on the trains this week. Ooooh yes I cancelled Gym with my final payment being in April. And I'm at the lowest weight I've ever been in years. Yay

So a goodly weekend update from me. I've pretty much finished my new shiny spreadsheet which has budget, savings, mortgage and pension calculations in. And takes into account larger amounts needed for house improvements and other bits

:j
I haven't taken into account pay rises, house value increasing, being able to increase savings once mortgage has come off or even interest. Because I think if I don't take into account the increases in income then I'll be alright for the decreases caused by bills, kids etc. and they are harder to predict. There are of course unexpected events which is why I want to be paying off my main expense super early while sorting out retirement and savings.

We are on track to:

• Have a healthy pension income at 55 and an even healthier one at state pension age. With our increases up to 14% for me and 10% for other half. This does leave us short in larger expenditure months by about £205 each year. But I haven't taken into account the "cushion" amounts in our current accounts at the moment, frugality in these months and the fact that we do put away £850 savings every month between us so I think this will work out fine and not affect our savings goals if we dip into for this small amount.
• Be mortgage free by 40 I reckon. With currently planned over payments I'm about 3 years off with my continued £300 OP each month but I haven't taken into account pay rises or more savings diverted into here once all the improvements done or mortgage payments going down and OPs going up. So I'm sure we will be well within this.
• On track to overpay about £9000 this June to ensure we are sub 75% on LTV. Also on track for similar larger overpayments over next few years. This will be the largest one required though.
• On track to have dream kitchen 2020
• On track for loft conversion in 2025
• Taking into account all the above, if we stay with current saving amount we're on track to have almost £250k by the age of 50 as well. So we could easily thrive on that until 55 and have enough for decrease in pension if we stop working early. But that doesn't take into account that as soon as that mortgage is paid we'll be throwing everything at our savings and pensions. With it coming out so high, I think we should be okay to dip into this of course over the years for any larger holidays.

In the next couple of years I'll keep savings in highest interest regular savers, the ones that are like 3%-5% while we have the smaller kitchen goal. And then I think once we remortgage in 2021 which I think we will move up to 5 years if interest good (as that might be period when we think kids) I'll start introducing ISAs for the larger amounts building up.

Naturally I'll be doing a lot of staring at my spreadsheet but I think the only times I'll need to rejig it is:
- Any major income changes
- If we ever move anything unexpected out of our savings
- Each time we remortgage, to put in new amounts
- When we have kids
- When we pay off mortgage (see if we can get that retirement age below 50 even ) :T

Thank you all I'm really glad I started being active on here to talk to like minded people as none of my friends are on the same page. it's been a good couple of weeks of financial planning during these rainy weekends.

I've had a good day. Made many many flapjacks from odds and ends in the cupboards. Felt good and they are so tasty.

Also cleaned the house from top to bottom. But I think my husband is planning some big diy tomorrow and I have a feeling our home might be about to turn to chaos. For the better...but I think this might be the last night of tidy in a while. I have a feeling we might get carried away with diy tomorrow...
Going to wash and then have a beer from free load of beer we got a couple of weeks ago and finally relax a bit.