Yep, how you get there is more important than the result. Normally because it takes so blooming long!
I got my final annual mortgage statement and I'm like this...
- Thread starter Angilion
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I actually regret paying down my mortgage. It's hardly a first world problem but had I been more knowledgeable about pensions, investments and taxation I would have forgone some of the over payment and paid into a SIPP or ISA. It would have brought me ,much closer to being able to retire early than merely clearing the debt which was on a pitifully low rate (from the lenders pov). Higher rate tax payers in secure employment would be well advised to consider the 40% credit you get on pension savings up to £40k/year vs savings in interest. As it stands my mortgage is due to expire in 14 years (65) and I've kept it open albeit with a negligible balance. It's there if I need to borrow money at a cheap rate to help my kids through further education which looks expensive! I agree that being debt free has a certain appeal but it's financially not the most logical position in some circumstances. That said - congrats to the OP and enjoy the element of freedom.
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I didn't think you could get mortgages for 30+ years 
I didn't think you could get mortgages for 30+ years
30+ years is pretty standard these days as long as you are young enough. How else are people going to be able to afford the ridiculous price of a house.
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Totally get that, it's a very emotive and personal thing
I guess I just look at the numbers and think longer term - as long as the capital is being paid off and my pension pot / retirement affordability goes up then it's good enough for me!Kensington does one for 40 years...I didn't think you could get mortgages for 30+ years
Soldato
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Well done, in 25 short years I'll hopefully be in the same position.
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I think you can take private pensions at 57 so most people should get to that age....I hope anyway!
Until they change it
I'm 28, mine's 65.Until they change it
Soldato
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Yeas on the mortgage
. I think it's cheeky telling you what age you can draw a private pension at (fair enough with the state one). I suppose the plus side is that it gets so much more in it with less penalties the longer you leave it.My mortgage only has £36k left, because I got an inheritance that helped. I also live in the north, so my house was £115k. I hope to have my mortgage paid off in the next 4 years or so.Yeas on the mortgage
Soldato
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I'm also up norf (near hull), I'm loving cheap housing and people that actually say hello
. I know its very cheap to live up here, I honestly can't see how people afford houses down south, wages are better but not that much better (on average).
Soldato
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Congrats Still got 15 years to go on ours, but it's only 63k, will probably have it paid off within 6 hopefully.
Still got 15 years to go on ours, but it's only 63k, will probably have it paid off within 6 hopefully.It make sense not to overpay while rates are low, but i always worry - lose job, partner loses job, rate go back to ridiculous highs etc. So we have decided to overpay and clear the mortgage asap - approx £175 in 11 years.
By this point kids will need £££ for Uni so those overpayments will have gone and we will have the capacity to assist, once Uni is done, any spare cash will be going into pensions.
It's whatever mindset you have, clearing the mortgage for us will be a weight off and no matter what happens in the future, we will always have a roof over our heads.
By this point kids will need £££ for Uni so those overpayments will have gone and we will have the capacity to assist, once Uni is done, any spare cash will be going into pensions.
It's whatever mindset you have, clearing the mortgage for us will be a weight off and no matter what happens in the future, we will always have a roof over our heads.
When my wife and I bought our house (in the USA) last year, as far as I'm aware, we were never able to find a sub 2% APR mortgage, even with the best credit rating that we could have at the time. We were, however, able to fix our reasonably small mortgage at 2.5% APR for 30 years. We put down a big deposit and have a very modest monthly required payment, so if we want to overpay, we certainly can. However, even with an investment portfolio that is well diversified, we've been making far more on our investments than 2.5%, so I'm not concerned that we're not currently overpaying on our mortgage.