As part of our journey towards financial independence we are going to focus on paying off the mortgage. It is currently a medium sized expenditure but it adds a strain. This is because it increases the amount of money we require once we reach FI.
If i’m honest, we lost track last year of how many mortgage over payments we made. We made them as and when we had some spare cash and also used some savings. We were definitely motivated in paying off the mortgage even after some negativity around doing so in the media.
Whilst paying off the mortgage is in the forefront of our minds, we are also juggling a fair bit at the moment such as this new site (thank you siteground) , Mr Fire’s change in job role and some top secret projects as well all the normal things life throws at us.
This why its more more realistic (and possibly more interesting) if I provide quarterly updates opposed to last years monthly ones. I’ll be tracking any over payments this time (pinky promise!)
I will be starting off at ground zero since which may look rather scary.
Here’s our mortgage starting point:
It is pretty clear the amount we owe is red and the amount paid off is the green! We naturally pay off some of our mortgage with each months payments but there is that naughty interest in there too!
Paying off the mortgage with over payments
Yep looks rather dire but it is only January and we haven’t started paying off the mortgage with over payments yet.
There is always some debate around paying off the mortgage or just saving the money instead. Mr Fire has detailed our reasons for paying off the mortgage. What are your thoughts? Do you have a mortgage?