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  • FIRST POST
    • Nichelette
    • By Nichelette 22nd Dec 18, 6:16 PM
    • 1,816Posts
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    Nichelette
    The first hurdle - Nichelette v the huge mortgage
    • #1
    • 22nd Dec 18, 6:16 PM
    The first hurdle - Nichelette v the huge mortgage 22nd Dec 18 at 6:16 PM
    I'm starting this diary in anticipation, so that I have focus for 2019.

    It's a bit of a long story, but to give the key facts I'm 32 and married. I graduated in 2008 into recession which wasn't the best, and live in the south east where house prices are absolutely insane. When I was younger I helped both of my parents a LOT financally which hasn't done me any favours. I won't go into detail as it's a very long story, but the outcome is I'm down a lot of cash. Rampant HPI made it harder to get a house, and I have to pay stamp duty as I'm sadly not legally a first time buyer as I was temporarily on my dad's mortgage to cover affordability after he was made redundant during the crash and took a lower paying job.

    Anyway, my dream since I was about 10 was to have my own home. I had this book I would cut and stick all the houses I liked in, then I'd plan how I'd decorate and furnish them. It has always been my main aim to make sure we have some security in housing terms as the insecurity of renting has always worried me.

    We have been saving hard and managed to reach 50k which has allowed us to buy what I'd call a 2 bed starter house. We're just on the verge of exchanging (hopefully!). My plan is to overpay as much as possible for many reasons. I've never liked being in debt and the amount we will owe is huge so I want to reduce it as quickly as possible.

    House is 320k. Deposit is 32k and stamp duty is 6k. Fees and survey are probably around another 4k or so, but I've lost track to be honest.

    The arrangement fee has been added to the mortgage, so we're looking at a starting figure of 289.5k .

    We both work full time and don't have kids, so we can chuck quite a lot at it. The rate is fixed for 2 years, then the plan is to see if we can remortgage to something better.

    The diary is to keep me focused as my DFW ones helped a lot in the past.

    Whilst we have been waiting for the legal stuff to go through we have continued to save. I budget meticulously and record everything, but have been slacking since our offer was accepted as my plan is to move, see how much is left and plan from there. I think we will already have an emergency fund so we can start overpayments immediately.

    I will do a proper SOA once we have moved and I have a proper idea of what bills will be, but I anticipate we're looking at around 2k. We take home about 4k so should be able to make some decent overpayments.

    If there is anyone else out there with a humongous mortgage please feel free to join me, or anyone else for that matter. I'm sure you all have some very good advice .

    Thanks for reading if you got to the end!
    Finally bought a home
    Starting mortgage 289,500 31.01.19 - Current outstanding 283,886.07
    MFW #86 - Aiming for 15k in 2019
    Overpayments so far: 3354.72
Page 2
    • SDLT Geek
    • By SDLT Geek 31st Dec 18, 6:46 AM
    • 519 Posts
    • 330 Thanks
    SDLT Geek
    SDLT first time buyers' relief
    Thank you all. Sadly haven't had any luck re the stamp duty. To be honest I wasn't in a very good mental state at the time and didn't really do anything to protect myself as I was so desperate to stay in the house because of the anxiety the thought of private renting created.
    Originally posted by Nichelette
    So did you establish that you were legally entitled to a half share of the net proceeds of sale of the property in 2010 and gave that up for nothing in September 2018?
    • Merchandiser2367
    • By Merchandiser2367 2nd Jan 19, 8:18 PM
    • 194 Posts
    • 1,131 Thanks
    Merchandiser2367
    Great work on your budget and savings!

    This long game is all in the mind, just keep strong and keep plugging away - those big numbers will get smaller and smaller
    Mortgage When Started Over Pay 01/11/2017- 146,500
    Current Total - 13/03/2019 - 99,650 (With Offset
    10k Savings)
    5 year fix - Aiming to overpay 1700 at least a month
    MFW by July 2021
    01/11/17 - 10k / 10k Emergency Savings
    • moneymagic
    • By moneymagic 2nd Jan 19, 8:50 PM
    • 54 Posts
    • 227 Thanks
    moneymagic
    Looking forward to reading your progress! Good luck with the exchange!!
    • Nichelette
    • By Nichelette 27th Mar 19, 7:26 PM
    • 1,816 Posts
    • 2,854 Thanks
    Nichelette
    Okay, so it has been a few months since I last posted.

    We finally moved 6 weeks ago, 5 whole months after our offer was accepted. The house was rented out and was empty for 3 months because the sellers solicitor was appalling! Anyway, we are finally in and mostly settled. We have done most of the bits which cost money in the immediate term, so I'm ready to knuckle down and try to hammer the overpayments.

    I will re-jig the SOA shortly as figures are slightly but not majorly out, and fortunately we're both getting a small lump sum and a slight payrise soon (we work at the same place). There is also a small possibility OH will get a more senior job shortly as he is being very much encouraged by work, but I'm not sure it's the right time as his mum is terminally ill and he has enough stress at the moment.

    I also have my own personal projection spreadsheet which I need to update to try and get a good idea of what I can expect. Ideally I'd like to have overpaid enough in 8 years to move to a forever home (I like to call it my 8 year plan ), but we will see how it goes.

    I'm the end there was no way of avoiding the stamp duty, but to be honest just the relief of having our own place and stability is worth its weight in gold.

    Anyway, I have switched the current account to the same bank as our mortgage for easy overpayments.

    First overpayment of 1553 made today
    Finally bought a home
    Starting mortgage 289,500 31.01.19 - Current outstanding 283,886.07
    MFW #86 - Aiming for 15k in 2019
    Overpayments so far: 3354.72
    • BachSoon
    • By BachSoon 28th Mar 19, 12:11 PM
    • 97 Posts
    • 148 Thanks
    BachSoon
    Congratulations on the move! Looking forward to reading your progress. I too have a large mortgage and take comfort from others being in the same position. That's one hell of an overpayment to start with... Well done!
    • Nichelette
    • By Nichelette 28th Mar 19, 7:58 PM
    • 1,816 Posts
    • 2,854 Thanks
    Nichelette
    Thank you!

    I've always been pretty risk averse and whilst we can afford the mortgage, owing such a large amount does make me feel a bit tetchy so I'm trying to make hay whilst the sun shines (read: two full time wages and no kids). We're very fortunate that our jobs are extremely secure so at least that isn't a worry.

    I'm also keen to see how people tackle their huge mortgages. I think overpaying is something I will enjoy and a good challenge!

    Anyway, had a bit of luck today and had 170 of cashback became payable, so that is an extra and has been overpaid today. We're paid on the 15th of each month so I'm hopeful that we will have a bit left on the 14th which will also be swept over before we start a new pay month.
    Last edited by Nichelette; 28-03-2019 at 8:00 PM.
    Finally bought a home
    Starting mortgage 289,500 31.01.19 - Current outstanding 283,886.07
    MFW #86 - Aiming for 15k in 2019
    Overpayments so far: 3354.72
    • Nichelette
    • By Nichelette 29th Mar 19, 5:32 PM
    • 1,816 Posts
    • 2,854 Thanks
    Nichelette
    Me again!

    By some sort of fluke more cashback has become payable today, so I have rounded that up to 75 and made the overpayment. I think that will probably be it until the 14th unless I get any more unexpected money (from cashback, receipt scanning sites and so on).

    That makes my overpayments so far 1798. If I had checked my total I'd have added the extra 2 but I'm done for now. Halifax probably think I'm mad the number I've made in the last few days .

    I still need to update my SOA, do a meal plan for next week, and also sort out our direct debits and their dates as they have got a bit messy.

    We're at a wedding tomorrow so won't achieve much then. Maybe Sunday jobs.
    Finally bought a home
    Starting mortgage 289,500 31.01.19 - Current outstanding 283,886.07
    MFW #86 - Aiming for 15k in 2019
    Overpayments so far: 3354.72
    • Nichelette
    • By Nichelette 31st Mar 19, 6:18 PM
    • 1,816 Posts
    • 2,854 Thanks
    Nichelette
    Another day, another overpayment...

    I started matched betting back at the end of November. I don't really do a great deal (should stop being lazy and do more), but I've made 27 today so I've sent that overpayment leaving me with a grand total of 1825 overpaid this month .

    I'm involved with several things that make me a bit of extra money. Matched betting is one of them, but I also do things like receipt scanning (3 apps), and sometimes odd surveys and things like that. We both work full time, so sometimes it is a bit of an effort to do these things and I don't always keep on top of them as much as I would like to. Life is just exhausting sometimes!

    I'm very nearly at 20 on one of the receipt apps so that will be an overpayment when I reach it.

    I've rejigged my personal tracking spreadsheet today. I like to call it forecast 2026 . 2026 is when I will turn 40 and am hoping we can afford to move somewhere bigger. My spreadsheet suggests we can have overpaid 150,000 by May 2026. I'm tracking the overpayments month by month to see if we can stick to the projection. If we can we'll be in good stead.

    I've included our current pay in the figures rather than the new one as of April, so it will actually be slightly more. We're quite lucky compared to some as we do at least get inflationary rises each year. I'm also hopeful that come the time we remortgage our LTV will be better, and we'll get a better rate as the default my husband has will be gone (one of his family members took out a catalogue in his name. We only found out once it had defaulted and he wouldn't challenge anyone. Don't get me started ).

    Other changes in the next 8 years should include my student loan being paid off (that's about 100 a month at the moment), and my husbands pay is likely to increase within his grade. I'm in the top pay band for my grade, so mine will only be inflationary rises unless I get a new job. We'll probably also go down to one car in the not too distant future.

    As an aside, I wake up every morning and am so grateful we have this little place. I'm very aware that getting a house in the south east is hard, and although we had no life whilst we were saving for the deposit, we are so lucky to be in this situation because a lot of people can't be. I watched a squirrel running about our garden this morning, and we have a family of wild bunnies living at the side of the house. It's so lovely .
    Finally bought a home
    Starting mortgage 289,500 31.01.19 - Current outstanding 283,886.07
    MFW #86 - Aiming for 15k in 2019
    Overpayments so far: 3354.72
    • Nichelette
    • By Nichelette 2nd Apr 19, 7:27 PM
    • 1,816 Posts
    • 2,854 Thanks
    Nichelette
    Another day, another dollar as my nan used to say.

    Mortgage payment went yesterday. Balance has updated today (I'm so impatient I hate that it isn't instant!) and now we're in the 285's.

    Daily mortgage interest averaged 22.29 in Feb and 20.72 in March which is encouraging. Bought fuel today but that's it so not too bad. I spent a lot on food last month which I am partly blaming on moving, but I'm going to try and have a low food spend month as I have so much at the moment, I really shouldn't need to buy more bar fresh things.

    I moved the current account bills come from to Halifax for ease of overpaying and am getting 2 a month for having the account. That was credited today so it has been overpaid. I'm going to keep track of the smaller overpayments but I'm only going to update my signature when they updated on the account.

    Anyway, we plough on!
    Finally bought a home
    Starting mortgage 289,500 31.01.19 - Current outstanding 283,886.07
    MFW #86 - Aiming for 15k in 2019
    Overpayments so far: 3354.72
    • BachSoon
    • By BachSoon 5th Apr 19, 6:01 AM
    • 97 Posts
    • 148 Thanks
    BachSoon
    You really are going great guns Nichelette. Your spreadsheet projections for the 150,000 by 2026 is very admirable

    In relation to your apps etc for money making, are you on prolific academic? The rewards per survey can be pretty good in comparison to some of the lower paid ones.
    • BachSoon
    • By BachSoon 5th Apr 19, 6:02 AM
    • 97 Posts
    • 148 Thanks
    BachSoon
    P.s. I know how you feel about mortgage balance updating. I'm with the same provider and I was logging on several times on the 1st to see if it had been updated yet!
    • Nichelette
    • By Nichelette 7th Apr 19, 8:39 AM
    • 1,816 Posts
    • 2,854 Thanks
    Nichelette
    Thanks Bach . It's a target rather than a done deal, but it's always best to have something to aim for as motivation.

    I haven't heard of that site, I will definitely have a look. I used to do loads of different ones when I was a student but now I'm only really doing consumer pulse, pinecone and yougov.

    I'm continuing with my flood of small overpayments . I've made several this weekend from my matched betting profits. It could have been a lot more because of grand national offers this weekend but I can't bring myself to bet on horses because I'm a massive animal lover and I feel a bit uneasy about it.

    Anyway, I'll have a look at my figures this evening and see what my overpayments for the weekend amount to as I'm likely to make some more today.
    Finally bought a home
    Starting mortgage 289,500 31.01.19 - Current outstanding 283,886.07
    MFW #86 - Aiming for 15k in 2019
    Overpayments so far: 3354.72
    • Nichelette
    • By Nichelette 8th Apr 19, 6:39 PM
    • 1,816 Posts
    • 2,854 Thanks
    Nichelette
    Okay, so since my last update on the 2nd I've overpaid 505.39. 384.56 was from clearing one of our current accounts as I know we won't need that money before we're paid again, and the rest is matched betting profit from the weekend. I made a bit more but some is in my 'bank' for the matched betting.

    I'm hoping to have a bit more left in the other current account which will be overpaid on the 14th.

    I got my car tax renewal so I'll pay that on the 15th, but we should also (fingers and toes crossed) be getting 2 weeks rent overpayment back from Clarion soon, though they did ignore us for 3 months before I wrote to our MP so I'm not holding my breath.

    My spreadsheet says I've overpaid 2332.39 since I started on the 27th March which I'm really happy with.

    I haven't looked at what the outstanding balance is yet as Halifax still hasn't updated, but I'll work it out and update my signature.
    Finally bought a home
    Starting mortgage 289,500 31.01.19 - Current outstanding 283,886.07
    MFW #86 - Aiming for 15k in 2019
    Overpayments so far: 3354.72
    • Nichelette
    • By Nichelette 11th Apr 19, 9:42 PM
    • 1,816 Posts
    • 2,854 Thanks
    Nichelette
    Bit more progress today. I've reached the threshold for 20 on shoppix (receipt scanning app), and I've had 19 something cashback become payable today. Once I get the cash in my account they will be overpayments. Have also made about 25 from matched betting, so that will also be overpaid.

    I do feel like overpaying is a bit addictive. I can't wait to see how quickly i can get rid of this mortgage .
    Finally bought a home
    Starting mortgage 289,500 31.01.19 - Current outstanding 283,886.07
    MFW #86 - Aiming for 15k in 2019
    Overpayments so far: 3354.72
    • Nichelette
    • By Nichelette 11th Apr 19, 9:44 PM
    • 1,816 Posts
    • 2,854 Thanks
    Nichelette
    Oh, and we're in the 284's now
    Finally bought a home
    Starting mortgage 289,500 31.01.19 - Current outstanding 283,886.07
    MFW #86 - Aiming for 15k in 2019
    Overpayments so far: 3354.72
    • Nichelette
    • By Nichelette 12th Apr 19, 10:48 PM
    • 1,816 Posts
    • 2,854 Thanks
    Nichelette
    I was reading another diary and saw onepoll mentioned. I remembered i had an account with them and it turns out there is 31.90 in there! Payout is at 40 so I will push myself to get to the 40. Must look at my other old survey accounts! Will sweep all leftover money into overpayment before we're paid on Monday.
    Finally bought a home
    Starting mortgage 289,500 31.01.19 - Current outstanding 283,886.07
    MFW #86 - Aiming for 15k in 2019
    Overpayments so far: 3354.72
    • Nichelette
    • By Nichelette 14th Apr 19, 8:17 AM
    • 1,816 Posts
    • 2,854 Thanks
    Nichelette
    Payday tomorrow . This is our first month with slight pay increase, then next month we'll get a small lump sum each.

    Sadly nothing left to sweep over as we got a couple of lights for outside the house which were very much needed. There are no streetlights here, and trying to open the door in the dark isn't fun.

    Made another 10 from one of my matched betting things this morning which will be lumped in with the overpayment.

    Today were going to pay for our new kitchen. Well, minus the sink and dishwasher which I'm get to from elsewhere. We hadn't originally planned to replace it because it doesn't look terrible, but it's so impractical it drives me mad. It is costing 3300 (12% off on gift card through work, paid for on card that is 0% for 28 months to spread the cost and avoid using emergency fund). It's not a big kitchen and nothing is moving appliance wise so we're fitting it ourselves. My dad did his so I figure it can't be that hard . We will have help, so only thing we will need to pay for is a tiler so it doesn't look terrible!
    Finally bought a home
    Starting mortgage 289,500 31.01.19 - Current outstanding 283,886.07
    MFW #86 - Aiming for 15k in 2019
    Overpayments so far: 3354.72
    • Brindlebabe
    • By Brindlebabe 14th Apr 19, 9:28 AM
    • 8 Posts
    • 3 Thanks
    Brindlebabe
    Hello,
    I've just posted my first post in my mortgage free 'adventure'.
    I'm the same age as you and also have a >200000 mortgage, so feel as though you could be an ally in this, seems like we're in it for the long haul.
    Have been following your thread for a little bit before getting it together to start mine.
    So just wanted to say hello really and give a bit of encouragement/comraderie. Aiming for 15000 this year is fab. I'm currently aiming for 200 per month but will have to see whether that turns out to be a realistic target. Hopefully I'll smash that and can be more ambitious, but feels unlikely just now - moving in hasn't been cheap!

    Anyway,
    BW
    BB
    Starting mortgage Jan 2019: 211,500
    Current mortgage Apr 2019: 209,339
    Target: mortgage free by 2032
    • Nichelette
    • By Nichelette 14th Apr 19, 11:28 AM
    • 1,816 Posts
    • 2,854 Thanks
    Nichelette
    Hi Brindle, I'm definitely going to be here for many years to come, so it would be nice to follow your journey too . It's nice to see people who are in a similar situation to us. Sometimes I see people with bigger houses and far smaller mortgages and wish it was me. I think the hardest thing is that this is only a small 2 bed so eventually we'll probably be starting again with a similar sized mortgage .

    Moving hasn't been cheap for us either, but I think we are on a more even keel now things have settled. Any overpayment is a good thing, just need to keep plugging away! I love seeing the difference it makes on the overpayment calculator .

    Anyway, in better news we got our payslips the other day but I hadn't paid too much attention as we seldom get overtime or anything so our pay is generally the same from month to month. I thought the pay rise might have resulted in an extra 20 or so each, but it's actually an extra 130 a month between us which I'm really happy with. In my glee I've jumped on the PC to update forecast 2026 which is now showing a potential total overpayment of 154.5k. Sadly I noticed my formula didn't account for costs in two of my rows, so it was a bit win some, lose some!

    I've decided I'm going to open a regular saver tomorrow with 1st direct like I had when we were saving our deposit. I'll stick 200 a month in that which will then be used to pay off anything still owing on the card we've paid for the kitchen on. I've set up a DD for the minimum which I think is about 70 or so if I recall correctly. I'll end up with 3600 in the regular saver plus about 100 in interest, so in 12 months whatever extra I have saved will be an overpayment too.

    The limit on the card is 8k. I'm in two minds about putting some of our day to day expenses on it for stoozing as it has such a long 0% period. Either way We'll look to remortgage to a better rate (hopefully) in Jan 2019 when we'd go on to SVR so it will all be paid back by then anyway.

    April overpayments so far have been 529.72.
    Finally bought a home
    Starting mortgage 289,500 31.01.19 - Current outstanding 283,886.07
    MFW #86 - Aiming for 15k in 2019
    Overpayments so far: 3354.72
    • BachSoon
    • By BachSoon 15th Apr 19, 6:23 PM
    • 97 Posts
    • 148 Thanks
    BachSoon
    Congratulations on the April overpayments! That's an excellent amount given your other obligations at the moment
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