We paid off our mortgage13 years earlier. We saved tons of money on interest. The best part is it gives us piece of mind. Because we have such a low cost of living. It took us 17 hears to pay off a 30 year mortgage
Paying off my mortgage early was a pivotal financial move for me. By strategically allocating extra payments, I saved thousands in interest and freed up cash for more investments. It's about optimizing your finances and making your money work for you. Financial freedom is within reach for anyone willing to take the right steps.I wasnt financial free until my 40’s and I’m still in my 40’s, bought my second house already, earn on a monthly through passive income and got 4 out of 5 goals, just hope it encourages someone that it doesn’t matter if you don’t have any of them right now, you can start TODAY regardless your age INVEST and change your future
speaking in general terms, investing requires a good amount of knowledge. That's why it's essential to have a solid support system like a financial counselor, especially when picking out assets. I've been working with Regina Louise Collaro, who is an investment advisor at a registered wealth management company. I can't recommend her enough; my financial journey has been fantastic thanks to her. She's quite well-known for her services, and she helped me achieve financial stability through investments. Now, I benefit from her passive income strategies every month. So, I'd strongly suggest finding a reliable investment advisor for yourself😊
I work with REGINA LOUISE COLLARO ,who is based in the United States. If you would like more information about her, you can conduct a search online,she can work with anyone no matter the location😊
personally, I'm blessed and realizing I'm not the only one working with Regina Louise Collaro. I will consider myself lucky. I've been able to feed and make a living through her advice and great work. For such a person as Regina, I owe her gratitude, support and endless prayers as it is not easy to gain access to such a competent and reliable adviser. Who isn't just wise but has all it takes to handle an investment and is good at what she does.
I have had the intentions of starting investing. But I always thought it was late and I think I need to stop procrastinating. I will definitely 🔍 Regina Louise Collaro and see what she can advise .Thanks a lot . This was of so much help to me.
Definitely would clear the mortgage, I couldn’t wait to be mortgage free, the knowledge that you own the roof over your head is such a stress relief. Being mortgage and debt free is such a great feeling.
We got a mortgage over a year ago, when the interest rate was still great. We are prioritising overpayments at the moment and hoping we can pay it off in 10 years. This obviously will compromise the investments that we make elsewhere, we are sacrificing holidays, have no plans of changing car etc. Mathematically we know a high interest savings or stocks and share ISA would give us a slightly higher return. But this slightly higher return wouldn’t be life changing money. So for us it makes more sense the peace of mind of being mortgage free as soon as possible. We’re still quite young and if we’re able to pay off the mortgage in 10 years, we still have over 10 years before retirement to put money towards other investments.
I overpay my mortgage monthly. Only an extra £30 a month but it all adds up. I’ve done this for the last 5 years when my fixed rate was lower, so even though I’m now on a higher rate, it hasn’t affected my monthly payments much, so even the smallest amount a month can help for the future.
Make extra payments in the early years of the mortgage, because they're front-end loaded with interest. Taper down after the first five years, and then for the last five years, direct all extra cash into investments.
I know it keeps coming back to being a heart over head decision. For me, seeing my parents get paid up and the relief and joy which came with it has always been an influence for me. In 2020 we renewed our fixed rate and it went down to 1.75% in that time we've paid a lump some (from inheritance) we kept the monthly payment the same afterwards, which has effectively meant we have been overpaying every month since. The rate will be going up 2025 so we will definitely be putting another lump sum on before we loose that awesome rate! I love seeing that statement coming down! I know it means our finances are trapped in a building, but that mortgage payment coming off our monthly budget earlier would be amazing.
Our plan is to complete our mortgage this Sept, 6 years and 6 months early. We have had to stop the take aways etc etc, but it shall be worth it in the end. Mortgage free, i cant wait ti save that money.
We plan to make small overpayments from next year. We bought the house less than a year ago on a 5 year fix. Having a holiday and starting investing this year
I’ve been paying £1045 each month since March 2010 and in March 2024 I will be mortgage free. I have been obsessed in paying off my mortgage since 2018 and now I am so close I can feel the pressure has lifted, I think more clearly regarding the future and I’m going to have £3k (I save £2K per month) spare each month. Anyone with a mortgage should aim to pay it off as quickly as possible.
This is probably a really silly question but how do you go about making overpayments ? We brought our house December 2022 with 5 years fixed price and it just goes out via direct debit so not sure if I can change the amount to be slightly higher?x
One way is to leave your DD as it is but also set up your mortgage account in your online banking so you can make extra manual payments which can vary in amount. That way you only have pay your contractual amount if you have a tight month. But if you are on a fixed deal make sure you are allowed to do this first! X
It’s easy, call the lender and discuss with them there are two ways 1) reduce the term, note this does mean should you wish to remortgage later the payment term will have reduced and any new payment would initially be based on the shorter repayment period. Your account would show a reserve built up which is your overpayments which if you hit financial Struggles can be a bit of a safety net. 2) reduce the payments, here my bank only re calculates the DD once a year unless I pay off more than £500 in one go. Example I came off a fixed deal a year early to get a new 5 year deal, we had overpaid and instead on thinking we had 13 years left on original term we only had 9 years left. So repayments were calculated on the remaining 9 years which was expensive, we had to go back to original term end date to save the £370 we were wanting to reduce payments by. Crazily because of affordability rules my reduced wage meant I could not afford the new mortgage even though I was saving £370 a month on what I was paying! So all the safety net cash built up was used as well.
ALWAYS such a debate isn't it! This year I've paid off my car loan, credit card + overdraft (woo!) So 2024 I want to save at least £10,000 but as well as that I'd like for us to start overpaying our mortgage - we've still got over 3 years left at just 2.94% which would just be ridiculous to not use to our advantage wouldn't it, along side investing and saving :D x
We were lucky and opted for 5 year fixed when interest rates were low (now wish I’d taken out a longer term). We are putting savings into a higher interest savings account, at the end of the mortgage term depending on what the world is doing, will decide either to make an overpayment lump sum or invest it elsewhere. I think if mortgage rates are higher than savings just makes sense to overpay monthly.
I’m starting a new business to pay my mortgage off in next 12 months - then we intend to move in 3 years time. Forget the range rover or nice car my main aim is to buy the 600k house and move mortgage free - we’re 34 years old got our house at 27 - we done the house up and now we have 220k equity approx - we bought the worst house in best area and spent money doing it up what will pay dividends - we have no debt. Paid off our car Audi. I was very tempted to buy an new Audi but decided against it and to use money to start a new business that will pay the mortgage off
I did a mixture I got my mortgage when the interest rate was very high,13% per cent in the 80s when it went down I kept the higher rate for a year and then reduced it, as a result, a 25 year mortgage was paid off in 20 years. My wages increased but my monthly payments were static. after 10 years I could invest and go on some long-haul holidays. and choose my own retirement date .
General info that’s been around for years, but for peace of mind, for most pay off mortgage especially now with interest rates being so high. I don’t think you need a financial advisor, most are con men, basically sales men that aim to take a percentage of your pension pot. Think logically about it and decide for yourself what you need to do, that’s my advice :)
A good financial advisor can help in so many ways but because of FSA regs when they do a fact fund with you it will always show weaknesses in insurance or protection V what if scenarios so they will always offer income protection, life insurance etc but they can steer you to good pension, savings, investment and mortgage products
Hi Lara, I love your video's and watch them all the time. WOuld you be able to do one on buying a car and the best way to do it i.e. through bank loan, PCP, HCP? Thanks for the brilliant knowledge and advice
Pcp is not designed for you to buy the car, but the advantage is you do know how it’s been treated from new. Hire purchase you don’t own the car until a certain amount of payments have Ben made. A loan the car is yours so if hit trouble it can be sold to raise funds ( repay loan)
We originally took out a 2 year fixed for 25 years. After the 2 years we took out a 5 year fixed for 15 years. We are both now 27 and 31 years old with only 10 years left on our mortgage. Rather than overpaying we are cutting the term down each time we fix it :) glad we did it that way
Mortgage is french for death pledge.. If you have a variable rate and you pay £1 every day and still make your monthly payments, that one pound stops the compound interest building up over the month and can potentially pay a 25 year mortgage off in 8 to 10 years.. Apparently anyway.. I'm not qualified to give legal advice. Look into it
Lara, thank you for the video. I paid off my first mortgage a couple of years ago within very short time. It was a wonderful moment not to have any debt. Any extra cash was going to the mortgage I was very disciplined. I am generally a minimalist, so it wasn't such a big deal for me. These days, we just built a house and another mortgage is involved. After we stand back on our feet, we plan to pay off on a regular basis again. I am generally a minimalist, so it wasn't such a big deal for me. For people, however, who want to have material joys in life and a lot of fun, this might be a challenge.
Thank you so much Lara! Great video-you have given me some points to really think about that I hadn't considered. Like you said, it is really tricky to know whether overpaying on the mortgage or investing is the best thing long term. I think for us, the scales are tipping towards overpaying as this would bring a level of peace and security to our lives (especially at the high interest rate we are now on!). Xx
Head says invest money in stocks and shares isa, heart says pay off mortgage. Probably invest for 5 years then use cash to pay off lump sum at the end of the fix.
We made as many overpayments as we could and once we realised we had enough emergency fund, we paid it off last year and know that any interest rate rises will benefit us and our savings.
If you had the opportunity to buy a house completely outright would you? Or would you pay a very large deposit and have a small mortgage and then pay off all other debts as well (currently renters). TIA love you videos.
Oh Lara…. You’re cute, you’re sweet, you have a lovely accent, and you try so hard, but you really know nothing about this other than Captain Obvious information. This really is the blind leading the blind. Go find something you’re good at that will actually help other people.
We paid off our mortgage13 years earlier. We saved tons of money on interest. The best part is it gives us piece of mind. Because we have such a low cost of living. It took us 17 hears to pay off a 30 year mortgage
Paying off my mortgage early was a pivotal financial move for me. By strategically allocating extra payments, I saved thousands in interest and freed up cash for more investments. It's about optimizing your finances and making your money work for you. Financial freedom is within reach for anyone willing to take the right steps.I wasnt financial free until my 40’s and I’m still in my 40’s, bought my second house already, earn on a monthly through passive income and got 4 out of 5 goals, just hope it encourages someone that it doesn’t matter if you don’t have any of them right now, you can start TODAY regardless your age INVEST and change your future
speaking in general terms, investing requires a good amount of knowledge. That's why it's essential to have a solid support system like a financial counselor, especially when picking out assets. I've been working with Regina Louise Collaro, who is an investment advisor at a registered wealth management company. I can't recommend her enough; my financial journey has been fantastic thanks to her. She's quite well-known for her services, and she helped me achieve financial stability through investments. Now, I benefit from her passive income strategies every month. So, I'd strongly suggest finding a reliable investment advisor for yourself😊
I work with REGINA LOUISE COLLARO ,who is based in the United States. If you would like more information about her, you can conduct a search online,she can work with anyone no matter the location😊
personally, I'm blessed and realizing I'm not the only one working with Regina Louise Collaro. I will consider myself lucky. I've been able to feed and make a living through her advice and great work. For such a person as Regina, I owe her gratitude, support and endless prayers as it is not easy to gain access to such a competent and reliable adviser. Who isn't just wise but has all it takes to handle an investment and is good at what she does.
I have had the intentions of starting investing. But I always thought it was late and I think I need to stop procrastinating. I will definitely 🔍 Regina Louise Collaro and see what she can advise .Thanks a lot .
This was of so much help to me.
Definitely would clear the mortgage, I couldn’t wait to be mortgage free, the knowledge that you own the roof over your head is such a stress relief. Being mortgage and debt free is such a great feeling.
That's great to hear! The financial pressure of a mortgage is a lot so I bet you feel so much freedom now! x
Until that roof needs to be replaced...
We got a mortgage over a year ago, when the interest rate was still great. We are prioritising overpayments at the moment and hoping we can pay it off in 10 years. This obviously will compromise the investments that we make elsewhere, we are sacrificing holidays, have no plans of changing car etc. Mathematically we know a high interest savings or stocks and share ISA would give us a slightly higher return. But this slightly higher return wouldn’t be life changing money. So for us it makes more sense the peace of mind of being mortgage free as soon as possible. We’re still quite young and if we’re able to pay off the mortgage in 10 years, we still have over 10 years before retirement to put money towards other investments.
That’s such a balanced and thoughtful approach! Well done. Seems like a really good idea and like you say, means you can pay it off so much quicker 🙌🏼
I overpay my mortgage monthly. Only an extra £30 a month but it all adds up. I’ve done this for the last 5 years when my fixed rate was lower, so even though I’m now on a higher rate, it hasn’t affected my monthly payments much, so even the smallest amount a month can help for the future.
Great job. I'm looking into doing this. Did you do this online or speak to your bank?
Make extra payments in the early years of the mortgage, because they're front-end loaded with interest. Taper down after the first five years, and then for the last five years, direct all extra cash into investments.
That's a great advice thank you
I agree, I’m working to the point where the majority of my monthly payment is going towards the principle instead of interest.
I know it keeps coming back to being a heart over head decision.
For me, seeing my parents get paid up and the relief and joy which came with it has always been an influence for me.
In 2020 we renewed our fixed rate and it went down to 1.75% in that time we've paid a lump some (from inheritance) we kept the monthly payment the same afterwards, which has effectively meant we have been overpaying every month since. The rate will be going up 2025 so we will definitely be putting another lump sum on before we loose that awesome rate!
I love seeing that statement coming down! I know it means our finances are trapped in a building, but that mortgage payment coming off our monthly budget earlier would be amazing.
Our plan is to complete our mortgage this Sept, 6 years and 6 months early. We have had to stop the take aways etc etc, but it shall be worth it in the end. Mortgage free, i cant wait ti save that money.
Hi Lara, i have £180k left, my 7 year 1.99% fixed ends in 2 weeks. I have the £180k to pay it off, renewal offers areabout 4.8%. What would you do?
We plan to make small overpayments from next year. We bought the house less than a year ago on a 5 year fix. Having a holiday and starting investing this year
I’ve been paying £1045 each month since March 2010 and in March 2024 I will be mortgage free. I have been obsessed in paying off my mortgage since 2018 and now I am so close I can feel the pressure has lifted, I think more clearly regarding the future and I’m going to have £3k (I save £2K per month) spare each month. Anyone with a mortgage should aim to pay it off as quickly as possible.
Where the links for the share please
This is the one I use but I’m not a financial advisor, do your research, capital is at risk :) www.trading212.com/invite/FffeVRq9
Hi Lara, after all changes on mortgage market maybe is a good time to open question, when is better to keep rent or buy own property. Thank you
This is probably a really silly question but how do you go about making overpayments ?
We brought our house December 2022 with 5 years fixed price and it just goes out via direct debit so not sure if I can change the amount to be slightly higher?x
One way is to leave your DD as it is but also set up your mortgage account in your online banking so you can make extra manual payments which can vary in amount. That way you only have pay your contractual amount if you have a tight month. But if you are on a fixed deal make sure you are allowed to do this first! X
I just rang my mortgage company and paid money off over the phone with a debit card! The we’re super helpful and explained all my options 😀
It’s easy, call the lender and discuss with them there are two ways
1) reduce the term, note this does mean should you wish to remortgage later the payment term will have reduced and any new payment would initially be based on the shorter repayment period. Your account would show a reserve built up which is your overpayments which if you hit financial Struggles can be a bit of a safety net.
2) reduce the payments, here my bank only re calculates the DD once a year unless I pay off more than £500 in one go.
Example I came off a fixed deal a year early to get a new 5 year deal, we had overpaid and instead on thinking we had 13 years left on original term we only had 9 years left. So repayments were calculated on the remaining 9 years which was expensive, we had to go back to original term end date to save the £370 we were wanting to reduce payments by.
Crazily because of affordability rules my reduced wage meant I could not afford the new mortgage even though I was saving £370 a month on what I was paying! So all the safety net cash built up was used as well.
Would it be best to go to a branch to oay a mortgage off or online .
I've just remortgaged for the next 3 years then done! I will be 48 years old then save and enjoy life fingers 🤞
Ahh amazing! Well done xx
No Cons
Your Friggen DEBT 💸 FREE ‼️🔥🥃
I love your necklace where is it from?
ALWAYS such a debate isn't it! This year I've paid off my car loan, credit card + overdraft (woo!) So 2024 I want to save at least £10,000 but as well as that I'd like for us to start overpaying our mortgage - we've still got over 3 years left at just 2.94% which would just be ridiculous to not use to our advantage wouldn't it, along side investing and saving :D x
We were lucky and opted for 5 year fixed when interest rates were low (now wish I’d taken out a longer term). We are putting savings into a higher interest savings account, at the end of the mortgage term depending on what the world is doing, will decide either to make an overpayment lump sum or invest it elsewhere. I think if mortgage rates are higher than savings just makes sense to overpay monthly.
I’m starting a new business to pay my mortgage off in next 12 months - then we intend to move in 3 years time. Forget the range rover or nice car my main aim is to buy the 600k house and move mortgage free - we’re 34 years old got our house at 27 - we done the house up and now we have 220k equity approx - we bought the worst house in best area and spent money doing it up what will pay dividends - we have no debt. Paid off our car Audi. I was very tempted to buy an new Audi but decided against it and to use money to start a new business that will pay the mortgage off
I did a mixture I got my mortgage when the interest rate was very high,13% per cent in the 80s when it went down I kept the higher rate for a year and then reduced it, as a result, a 25 year mortgage was paid off in 20 years. My wages increased but my monthly payments were static. after 10 years I could invest and go on some long-haul holidays. and choose my own retirement date .
Amazing it gave you that freedom! Great idea to keep up the higher payments when the rates go down 👏🏼👏🏼
General info that’s been around for years, but for peace of mind, for most pay off mortgage especially now with interest rates being so high. I don’t think you need a financial advisor, most are con men, basically sales men that aim to take a percentage of your pension pot. Think logically about it and decide for yourself what you need to do, that’s my advice :)
Thanks so much for your comment, James 🙏🏻
A good financial advisor can help in so many ways but because of FSA regs when they do a fact fund with you it will always show weaknesses in insurance or protection V what if scenarios so they will always offer income protection, life insurance etc but they can steer you to good pension, savings, investment and mortgage products
Ask your mortgage company who created the credit for the mortgage??
Hi Lara, I love your video's and watch them all the time. WOuld you be able to do one on buying a car and the best way to do it i.e. through bank loan, PCP, HCP? Thanks for the brilliant knowledge and advice
Save and buy outright is massively cheaper
Pcp is not designed for you to buy the car, but the advantage is you do know how it’s been treated from new.
Hire purchase you don’t own the car until a certain amount of payments have Ben made.
A loan the car is yours so if hit trouble it can be sold to raise funds ( repay loan)
We originally took out a 2 year fixed for 25 years. After the 2 years we took out a 5 year fixed for 15 years. We are both now 27 and 31 years old with only 10 years left on our mortgage. Rather than overpaying we are cutting the term down each time we fix it :) glad we did it that way
Mortgage is french for death pledge..
If you have a variable rate and you pay £1 every day and still make your monthly payments, that one pound stops the compound interest building up over the month and can potentially pay a 25 year mortgage off in 8 to 10 years..
Apparently anyway.. I'm not qualified to give legal advice. Look into it
My mortage will be paid off early by almost 14 years as I pay no-weekly so I make an extra 2 payments per year. Aug 2024 is my date !
That's great, fingers crossed!
I paid off a mortgage at 1.89 percent regret it now And will be paying off another mortgage in Nov at 3.05 which I won't regret then debt free
Lara, thank you for the video. I paid off my first mortgage a couple of years ago within very short time. It was a wonderful moment not to have any debt. Any extra cash was going to the mortgage I was very disciplined. I am generally a minimalist, so it wasn't such a big deal for me. These days, we just built a house and another mortgage is involved. After we stand back on our feet, we plan to pay off on a regular basis again. I am generally a minimalist, so it wasn't such a big deal for me. For people, however, who want to have material joys in life and a lot of fun, this might be a challenge.
Mortgage rate is 3.3% stock market been running above 8%. Mortgage is 12% of of gross income.
Not paying off early it’s good equity I only have 100000 left on it. I and paying it off when I retire.
Ask your mortgage company to have a true certified copy of the original credit agreement..
The idea of being mortgage free just sounds like pure bliss
Thank you so much Lara! Great video-you have given me some points to really think about that I hadn't considered. Like you said, it is really tricky to know whether overpaying on the mortgage or investing is the best thing long term. I think for us, the scales are tipping towards overpaying as this would bring a level of peace and security to our lives (especially at the high interest rate we are now on!). Xx
great info
Thank you! 🤗
I owe about 15000 would it make sense just to pay it off .
Head says invest money in stocks and shares isa, heart says pay off mortgage. Probably invest for 5 years then use cash to pay off lump sum at the end of the fix.
We made as many overpayments as we could and once we realised we had enough emergency fund, we paid it off last year and know that any interest rate rises will benefit us and our savings.
❤
If you had the opportunity to buy a house completely outright would you? Or would you pay a very large deposit and have a small mortgage and then pay off all other debts as well (currently renters). TIA love you videos.
It only 10% left.
Well done!
Mortgage aka death pledge
Mortgages is the world's biggest con .
Oh Lara…. You’re cute, you’re sweet, you have a lovely accent, and you try so hard, but you really know nothing about this other than Captain Obvious information. This really is the blind leading the blind. Go find something you’re good at that will actually help other people.
Says the patronising and ill informed who has no knowledge to share