The dream!

A question about : The dream!

Hi everyone,

Found this site a few months ago. I'm now addicted! I've decided to post to help achieve 'the dream'! Hopefully mortgage free in 10 years or less. Would like to set up a spreadsheet but not sure how.

Bit of info on me. I'm married with two kids. We originally planned to take out 120000 but made it with 90k over 25 years, though house not finished. Now currently mortgage is little over 68k with 18 and half years left. Have only being paying mortgage 3 and half years so OP have worked to bring term down. Plan on making another OP in jan of 6800 but that's all I can OP til sept.

Any advice or tips greatly appreciated!

Best answers:

• Hiya,
  You sound like you need a copy of Locoblades spreadsheet...
  https://forums.moneysavingexpert.com/...1157173&page=1
  Play around with the figures, and that should give you an idea of what your mortgage free journey could look like!
• Thanks, will check that out!
  Had a look at figures last night. If I reduce term to 10 years next sept when current deal is up and OP the 10% each year, mortgage will be paid in under 7 years!
  So to be proactive and get money where there isn't any, I phoned bt and changed my account to better suited to me which saves me nearly 100 pound a year
  Will also try to budget my shopping better... A hard one as food is one of life's simple pleasures!!
• Just an update:
  Phoned electric companies and changing to cheaper deal
  Also going on Monday to set up online banking with mortgage which will hopefully keep me focused.
  Down side is have overspent this month but hopefully new year will be fresh beginning
  Targets for Jan:
  1) pay 10% off mortgage
  2) save 200 pound
  3) have online banking sorted
  4) start paying for food out of allowance of 350 per month for all food/ toiletries etc.
• Hey was wondering if anyone could help me with a query? I went into the Halifax today changed my accounts to be with them so I am now on a better deal. Great! However, when I got home and looked at my mortgage online I was very disappointed. I'm on a fixed rate of 3.99 and paid interest of 195 last march. However, my interest payments jumped up to 250 in April?? No change was made to the mortgage, surely if I'm fixed interest rate the interest I pay shouldn't change, or certainly not go up? I made an overpayment of over 7000 last year in two different months. Again interest I paid remained around 250 a month? I phoned the bank and they said they would look at it and write out to me in the next 5-10 working days. So could be a two week wait. Grr. Just wondering if anyone on here could help? Thanks!
  Ps on upside I am up 200 by changing to be with Halifax and we both get 5 pound cash back a month
• Ok i did something a bit crazy...
  I phoned up the bank this evening and found out I could reduce my term(thought I couldn't until term was up in sept).. So I reduced it to 10 years!!!
  Payments are jumping from 441 to 690 Did this without DH's knowledge... He got a bit of a shock needless to say! Just waiting on some money coming in that we are owed and will then make overpayment of 10%. Feels great knowing there are now officially 10 years left!!
• Wow you're going great guns, keep up the good work but don't over commit yourself now, it is still a marathon not a sprint.
• Thanks for those wise words! DH thinks I'm a bit crazy... Must agree! But we can afford overpayments and life should be getting easier for us as I'm due a pay rise in next few months and DD will start nursery in sept cutting childcare.
  Now I've sorted all the big things I can sort, my focus will be food. Need to stop the waste, watching Jamie O last night. Need him round our house!
• So moved Ј200 into savings account just so I feel more productive. January is a looong month!! I have child care sorted and withdrew money for food to do to end of jan.
  Also when I've forgotten to make lunch, I've taken bread and made cheese on toast at work.
  Also have lit fire, closed doors and stayed within the kitchen/living room to stop sticking on oil!
  First new payment due 3rd jan. Actually can't wait to tick one month off!!
• Very good luck to you, I think you are right to reduce the term if you c an afford it. That way you just spend what you have left and when it is gone, it's gone!
• Congrats on paying off your mortgage. I'm sure you it's a great feeling. Good luck with the early retirement! Another great goal to have!
• Just stopping by to say hi and good luck with your MF journey! I agree with SSS that reducing the term is useful if you're sure you can hit the new payment without too much squeeze. Of course, Suze is right too, it's the constant slow and steady chipping away at the big numbers which is the surest method for success!
  I'm also making a goal of ditching and switching on utilities and insurance (particularly insurances) this year to help save a little more to add to the over payment pot. It's worth spending 30 mins with a calendar and your insurance paperwork and marking when things are due for renewal, to remind you to shop around rather than find it's renewed itself in a costly way without you!
  I have to say I did smile when you admitted to your crazy moment ~ and then admitted that you hadn't talked to OH first! Ours is a drop-down mortgage (huge overdraft jobby) and I also made a similar phone call to drop down our borrowing amount without speaking to OH first ... sometimes you just have to do these things almost as a declaration of intent (to the mortgage and finances, not OH necessarily) to show that you're really mean business where the mortgage monster's concerned!
  Good luck on your journey to MF!
• Only getting to post now, been a busy week!
  Thanks for your post Habibiboo, glad to hear I'm not the only one who has crazy moments!! Although I think it's all how you say it. I told him 'I've just saved us 14 thousand pound!!!!' Then he couldn't argue... thanks for tip on insurance, will check that out as I usually leave all that to OH.
  I can't afford my 10% as I was hoping so I op 110 instead. Unsure whether or not I'll be able to o so by end of feb as waiting on funds coming to me. But at least I OPed something!
  Roll on pay day next fri!!!
• Pay day at last! well I failed to meet my target of 10% by about 6450 pound... I did manage 350 though! I'm still waiting on the money coming to me but should be here by end of month so that's now February's target! Also never kept an eye on food bill. Just bought whenever so will try to keep close eye on that this month.
  So now we've reached feb, I'm looking forward to March. Wishing my life away!! But all good fun in the meanwhile
• 119 payments left!!!
  Mortgage officially under 68K
  Doing good on food this month, making use of freezer and using food in fridge and no take aways yet...
• Money arrived today!! Woo hoo! Overpayment of 10% made.
  Mortgage now down to Ј61 087.59
  Only trouble is I can't overpay or Tilly tidy til sept which really kept me going.
  Will have to Tilly tidy into my savings account... It's like mother hubbards cupboard!!
• Ok so it has been ages since I posted but I have been keeping up with all of your lovely diaries
  So here's the story now. Mortgage is nearly under the 60k (will be today two weeks ) I also reduced term to 8 years which has put payments up another Ј40 per month but can be afforded. This should drop again in sept with new deal.
  Now the down side my car is on her last legs and I need to save 4000 to put towards new one. I know this should be my priority but as she's still going I'm just saving what I can. Mum has promised she'll help out if she dies before I get money (that's the car dies, not my mum!!!)
  So still cracking away at it but think ops will have to slow down as I've pretty much run outta room to op!
• Hey,
  Just thought I'd check in and share this with you all. I phoned the bank earlier this week and just asked when on the phone if I'd reached my limit of opaying for this year ( which I was told on another phone all a few months ago that I was). And I was told I could op by 250!!! So just goes to show how they can get things wrong!! I just had a feeling that I could overpay by another bit but thought it was by another 20 pound or so!
  So drumroll..... I now owe Ј59895!! :-)
• Oh, 60k gone and smashed your target - well done
• Another month over, another mortgage payment! Balance now Ј58789 (or something close to that) interest has dropped from Ј268 last year to Ј200.28 this year
  Now I'm torn between continuing to overpay and get this thing cleared and doing up around the house, getting a decent car, and buying a nice new wardrobe....
  Some days I'm so mse others I'm slipping into materialism!!