Author Topic: Mortgage Payoff Club!!  (Read 293825 times)

Faraday

  • Handlebar Stache
  • *****
  • Posts: 1201
  • Age: 55
  • Location: NC
  • Solar Powered Slice
Re: Mortgage Payoff Club!!
« Reply #500 on: October 05, 2015, 11:34:22 PM »
....stuff was here...
[I don't think you paid the full interest amount on principle payments. The interest plan should adjust after each payment or each extra principal payment. If you did a 30 year and then refinanced to another 30 year then yes, but each extra payment would reset the amortization schedule.]

Principal. And yes, you are correct, the loan re-amortizes with principal abatement. I take advantage of that principle regularly on the current 15 year mortgage. The next one will be 10 years.

I've avoided paying well over $100,000 in interest as-compared to the initial 30 year loan. I'm too lazy to look up the exact number right now but I think from my original documents it was somewhere around $163,000 if I had never refinanced nor prepaid.  I paid fees to refinance the first time, but I've gotten paid ever since.
FIRE in 2020.

Debts_of_Despair

  • Bristles
  • ***
  • Posts: 369
  • Location: NY
Re: Mortgage Payoff Club!!
« Reply #501 on: October 07, 2015, 09:04:51 AM »
38.2k.

Burgeoning school tax bill due this month.  Went up 6% from last year.  WTF?! This should be my last major expense that gets in my way of payoff.  Also, I just finished paying into my employer's pension plan so that effectively is a 3% raise.  I don't need to tell you guys where that money is now going...

rjbf65

  • 5 O'Clock Shadow
  • *
  • Posts: 75
Re: Mortgage Payoff Club!!
« Reply #502 on: October 07, 2015, 11:21:55 AM »
I'll join.

Started June 2014 at 71k.

It's currently $55k.  Goal is to finish it off by next June.   Have 20k in cash that would finish it off by then.  We are currently investing 15% as well.   Basically doing the Dave Ramsey plan.

Currently down to $51,500.  Hoping to get under $50K a month from today.

Down to $49660.  Was able to throw an extra $1555 at it this time.  Budgeting to be able to throw an extra $2500 next month.

$46,950 -- a $2,710 reduction this month.  October should be a little better with the magic of the 3 paychecks for me this month.  Should be under $40K by end of the year.

Faraday

  • Handlebar Stache
  • *****
  • Posts: 1201
  • Age: 55
  • Location: NC
  • Solar Powered Slice
Re: Mortgage Payoff Club!!
« Reply #503 on: October 07, 2015, 01:45:24 PM »
I never thought I'd be saying this... but...please don't beat me up too badly:

I'm vectoring a little bit of money toward the market that I would otherwise have put toward the mortgage. I've not maxed my Roth IRA and this seems to be the right time to do that. So I'm pulling money originally earmarked for principal abatement and pushing it toward the market. About $1k, this week.

As has been mentioned, we've got three paydays this month and my mortgage payment already drafted, so I'll have money later to continue with mortgage abatement. I just hope the market doesn't turn into an even better bargain then.....
FIRE in 2020.

Threshkin

  • Pencil Stache
  • ****
  • Posts: 774
  • Location: Colorado
    • My Journal
Re: Mortgage Payoff Club!!
« Reply #504 on: October 07, 2015, 02:05:10 PM »
No beating from me!

My sequence of priority for money is:
  • Current expenses (utilities, food, gas, regular mortgage payment, etc.)
  • Tax advantaged retirement accounts (401k, IRA, or equivalent - until maxed out!)
  • Additional mortgage payment
  • Ordinary savings

This presupposes you have a fully funded emergency fund.  Otherwise it is #2.

I never thought I'd be saying this... but...please don't beat me up too badly:

I'm vectoring a little bit of money toward the market that I would otherwise have put toward the mortgage. I've not maxed my Roth IRA and this seems to be the right time to do that. So I'm pulling money originally earmarked for principal abatement and pushing it toward the market. About $1k, this week.

As has been mentioned, we've got three paydays this month and my mortgage payment already drafted, so I'll have money later to continue with mortgage abatement. I just hope the market doesn't turn into an even better bargain then.....

Faraday

  • Handlebar Stache
  • *****
  • Posts: 1201
  • Age: 55
  • Location: NC
  • Solar Powered Slice
Re: Mortgage Payoff Club!!
« Reply #505 on: October 07, 2015, 02:57:11 PM »
(I'll top-comment since Threshkin did...)
I like your sequence, Threshkin. That's close to what I do, but where you have "Ordinary Savings", I have "Vanguard Roth IRA". Normally, any extra dough goes to the house but I also make sure I max out the Roth IRA to the yearly allowed maximum. I'm still under that, so I need to do something about that, and now's a great time. I was going to wait for December profit-taking, but I think now's not a bad time to kick some $$ that way.

And BTW: while I'm confessing, I DO have a "January Objective" I have to make - I need to get my principal to 50% of original in January so I can refi to a number I want. So while I'm pushing $1k toward the market right now, that doesn't change my January Objective - I still have to make that because I still believe interest rates will be AWESOME in January. And if interest rates AREN'T awesome in January, I'll just keep prepaying the current mortgage as-is until I reach a point where it makes sense to do something.

I always come down on the side of the mortgage prepayers in these discussions, in general.  Not because I'm a believer in vectoring after-tax cash toward the mortgage, but because I disbelieve it's an either-or proposition.  There's no law saying we can't take advantage of a market downturn to get a little more investment lovin'.

No beating from me!

My sequence of priority for money is:
  • Current expenses (utilities, food, gas, regular mortgage payment, etc.)
  • Tax advantaged retirement accounts (401k, IRA, or equivalent - until maxed out!)
  • Additional mortgage payment
  • Ordinary savings

This presupposes you have a fully funded emergency fund.  Otherwise it is #2.

I never thought I'd be saying this... but...please don't beat me up too badly:

I'm vectoring a little bit of money toward the market that I would otherwise have put toward the mortgage. I've not maxed my Roth IRA and this seems to be the right time to do that. So I'm pulling money originally earmarked for principal abatement and pushing it toward the market. About $1k, this week.

As has been mentioned, we've got three paydays this month and my mortgage payment already drafted, so I'll have money later to continue with mortgage abatement. I just hope the market doesn't turn into an even better bargain then.....
FIRE in 2020.

Threshkin

  • Pencil Stache
  • ****
  • Posts: 774
  • Location: Colorado
    • My Journal
Re: Mortgage Payoff Club!!
« Reply #506 on: October 07, 2015, 03:22:49 PM »
I consider Roth IRAs to be tax advantaged savings. and put them in #2. 

Full disclaimers 1) I joined the Mortgage Payoff club two years ago.  2) I have always maxed my 401k accounts since they were first available to me.  3) I did not always prioritize additional mortgage payments over ordinary savings on a monthly basis but instead would put some in each of the two.  Then, as the ordinary savings grew I would intermittently make a 5 figure payment on the mortgage from savings.

(I'll top-comment since Threshkin did...)
I like your sequence, Threshkin. That's close to what I do, but where you have "Ordinary Savings", I have "Vanguard Roth IRA". Normally, any extra dough goes to the house but I also make sure I max out the Roth IRA to the yearly allowed maximum. I'm still under that, so I need to do something about that, and now's a great time. I was going to wait for December profit-taking, but I think now's not a bad time to kick some $$ that way.

And BTW: while I'm confessing, I DO have a "January Objective" I have to make - I need to get my principal to 50% of original in January so I can refi to a number I want. So while I'm pushing $1k toward the market right now, that doesn't change my January Objective - I still have to make that because I still believe interest rates will be AWESOME in January. And if interest rates AREN'T awesome in January, I'll just keep prepaying the current mortgage as-is until I reach a point where it makes sense to do something.

I always come down on the side of the mortgage prepayers in these discussions, in general.  Not because I'm a believer in vectoring after-tax cash toward the mortgage, but because I disbelieve it's an either-or proposition.  There's no law saying we can't take advantage of a market downturn to get a little more investment lovin'.

No beating from me!

My sequence of priority for money is:
  • Current expenses (utilities, food, gas, regular mortgage payment, etc.)
  • Tax advantaged retirement accounts (401k, IRA, or equivalent - until maxed out!)
  • Additional mortgage payment
  • Ordinary savings

This presupposes you have a fully funded emergency fund.  Otherwise it is #2.

I never thought I'd be saying this... but...please don't beat me up too badly:

I'm vectoring a little bit of money toward the market that I would otherwise have put toward the mortgage. I've not maxed my Roth IRA and this seems to be the right time to do that. So I'm pulling money originally earmarked for principal abatement and pushing it toward the market. About $1k, this week.

As has been mentioned, we've got three paydays this month and my mortgage payment already drafted, so I'll have money later to continue with mortgage abatement. I just hope the market doesn't turn into an even better bargain then.....

mies

  • Bristles
  • ***
  • Posts: 252
Re: Mortgage Payoff Club!!
« Reply #507 on: October 07, 2015, 04:12:05 PM »
I'm joining too. My goal is to have it paid off by June of 2018

We just refinanced over the summer from a 30 year 6.24% loan to a 10 year 3.39% mortgage. We paid off enough on the old loan to make the monthly payment about the same on the new loan (Old loan: $821/month New loan: $816/month). We'll now be paying substantially more in principal than interest every month. The last old mortgage payment we paid $453 in interest. The first payment on the new loan we only paid $234.

We also just threw an extra $3500 at the principal on the new loan after making the first payment (The bank wouldn't let us make a principal payment before the first regular payment was due). I'm hoping to throw an extra $1000 a month at the principal for the next few years. About 6 months before I want the mortgage to be over, I will dip into my savings and make a large payment. I will stop making extra payments at that point and just make the regular payment. We'll barely be paying any interest at that point anyway. I will use that time to start replenishing my savings and prepare for any taxes we might owe.

I would like to throw a larger sum at the mortgage now, but I don't feel comfortable dipping too deeply in to my emergency funds. My wife and I have pretty stable jobs, but I don't take anything for granted. At least with our new loan, we will be making a nice dent in the principal each month even without an additional principal payment :)
Less is more.

Faraday

  • Handlebar Stache
  • *****
  • Posts: 1201
  • Age: 55
  • Location: NC
  • Solar Powered Slice
Re: Mortgage Payoff Club!!
« Reply #508 on: October 07, 2015, 04:32:48 PM »
I'm joining too. My goal is to have it paid off by June of 2018

We just refinanced over the summer from a 30 year 6.24% loan to a 10 year 3.39% mortgage. We paid off enough on the old loan to make the monthly payment about the same on the new loan (Old loan: $821/month New loan: $816/month). We'll now be paying substantially more in principal than interest every month. The last old mortgage payment we paid $453 in interest. The first payment on the new loan we only paid $234.

mies: congrats on your refinance and your mortgage progress! You are designating your payments for mortgage abatement only, right?

Quote
I will stop making extra payments at that point and just make the regular payment. We'll barely be paying any interest at that point anyway. I will use that time to start replenishing my savings and prepare for any taxes we might owe.

I would like to throw a larger sum at the mortgage now, but I don't feel comfortable dipping too deeply in to my emergency funds. My wife and I have pretty stable jobs, but I don't take anything for granted. At least with our new loan, we will be making a nice dent in the principal each month even without an additional principal payment :)

Good ideas, what you are talking about. I have sacrificed some from the emergency fund to make an early mortgage abatement payment, but only when I know I can replenish it within a month or so.

You talk about stopping making extra payments whenever you are barely paying any interest. Do you have any feel for what percentages you are looking for? I was thinking of doing that about the time I started paying 95% principal and 5% interest.

What say ye? Are there any others in this thread who have reached that far end of the compound interest curve and have STOPPED prepaying for that reason?

And: does anyone think I am asking the wrong question above? I've seen people get to a point where they pay it off in a lump sum just to close the books on it as quickly as possible. So asking "do you let it ride at any point" would be counter to that.
« Last Edit: October 07, 2015, 04:49:14 PM by mefla »
FIRE in 2020.

mies

  • Bristles
  • ***
  • Posts: 252
Re: Mortgage Payoff Club!!
« Reply #509 on: October 07, 2015, 04:56:46 PM »
I'm joining too. My goal is to have it paid off by June of 2018

We just refinanced over the summer from a 30 year 6.24% loan to a 10 year 3.39% mortgage. We paid off enough on the old loan to make the monthly payment about the same on the new loan (Old loan: $821/month New loan: $816/month). We'll now be paying substantially more in principal than interest every month. The last old mortgage payment we paid $453 in interest. The first payment on the new loan we only paid $234.

mies: congrats on your refinance and your mortgage progress! You are designating your payments for mortgage abatement only, right?

Quote
I will stop making extra payments at that point and just make the regular payment. We'll barely be paying any interest at that point anyway. I will use that time to start replenishing my savings and prepare for any taxes we might owe.

I would like to throw a larger sum at the mortgage now, but I don't feel comfortable dipping too deeply in to my emergency funds. My wife and I have pretty stable jobs, but I don't take anything for granted. At least with our new loan, we will be making a nice dent in the principal each month even without an additional principal payment :)

Good ideas, what you are talking about. I have sacrificed some from the emergency fund to make an early mortgage abatement payment, but only when I know I can replenish it within a month or so.

You talk about stopping making extra payments whenever you are barely paying any interest. Do you have any feel for what percentages you are looking for? I was thinking of doing that about the time I started paying 95% capital and 5% interest.

What say ye? Are there any others in this thread who have reached that "far end of the compound interest curve" and have STOPPED prepaying for that reason?

Thanks mefla! Yes. The extra payments we make are principal only. I can do the payments online and click the checkbox for principal only which is nice. I don't have to be at the mercy of whoever processes a check noticing that it is meant to be principal only.

I haven't actually looked at any percentages. After examining my amortization schedule, paying the large sum 6-7 months before I wanted to end the mortgage seemed like the safest way to get the mortgage paid off quickly without compromising my emergency fund. I never had principal vs. interest percentage in mind.
Less is more.

Mrwannabemmm

  • 5 O'Clock Shadow
  • *
  • Posts: 9
Re: Mortgage Payoff Club!!
« Reply #510 on: October 07, 2015, 09:50:12 PM »
Hi i am still on the fence , i am bit of conservative side ..actully a lot on conservative side always.I have 330 k in mortgage now ( paid off 160 k recently as lump sum off the original 490 ). I have 270 k in cash which i can either invest in real estate or pay off mortgage ...but that will delay my investing by 3 more years I think to collect down payment on house again . please advice...

mortgage 330 k
cash saving 270 k
401 k maxing out
no other debt

ahoy

  • Stubble
  • **
  • Posts: 143
Re: Mortgage Payoff Club!!
« Reply #511 on: October 08, 2015, 02:36:35 AM »
So glad my DH and I got rid of our mortgage, we only had one for about 3 years.  We had a huge deposit, small mortgage.  It was a fantastic 4 bed house.  Sold it during the peak (2006) moved countries and downsized.   I hated our current house for about 5 years and about 2 yrs ago realized it was the best thing.  We would never go back to paying a mortgage every month on our principle residence. 

 

Nora

  • Stubble
  • **
  • Posts: 174
Re: Mortgage Payoff Club!!
« Reply #512 on: October 08, 2015, 05:21:16 AM »
Ours just dropped below 100000. Fantastic. I paid a bit extra to get it to 99997 or some such. Of course then the exchange rate changed (house is in NZ and we are in Oz)  and when I came to show the accounts to DH it was back over 100000! But I think we are on the home straight now, no pun intended.

K-ice

  • Pencil Stache
  • ****
  • Posts: 671
  • Location: Canada
Re: Mortgage Payoff Club!!
« Reply #513 on: October 08, 2015, 10:08:16 AM »
Hi i am still on the fence , i am bit of conservative side ..actully a lot on conservative side always.I have 330 k in mortgage now ( paid off 160 k recently as lump sum off the original 490 ). I have 270 k in cash which i can either invest in real estate or pay off mortgage ...but that will delay my investing by 3 more years I think to collect down payment on house again . please advice...

mortgage 330 k
cash saving 270 k
401 k maxing out
no other debt

What are your interest rates on the mortgage vs savings?

Congrats on the large chunk of cash!

You can find many debates on the pay mtg vs invest.
Obviously on this thread, most are focusing on mortgage payoff.
Mathamatically investing in balanced ETFs should pay off better in the long run than rushing to pay your mortgage.

But saving does not equal investing. It appears that you are saving not investing.

If you are too conservative to invest I would pay off the mortgage first.
For the ultra conservative investor that is what you should do.

That is what I did with my primary residence. Now I am starting to invest in Vanguard and plan to slowly pay the mtg on a rental property.

Since you have a large chunk of cash you may want to "invest" a bit.

1) keep a good emergency fund ~20K (3-6 months spending, this should be your only cash savings)
2) pay a large chunk of the mortgage ~150-240K (how much can you prepay without being hit with penalty fees?)
3) start investing with a comfortable amount, for you this may be 10-100K. Research your low fee options & Max out your tax advantaged accounts.

If you are not quite sure about how to split your money in 2 & 3 hang on to more cash and decide what to do with it in 3-6 months.

Don't listen to anyone who says invest it all today. That is mathamatically correct but you mentioned you are very conservative and probably need to learn a lot more before throwing all that cash into investments.



Faraday

  • Handlebar Stache
  • *****
  • Posts: 1201
  • Age: 55
  • Location: NC
  • Solar Powered Slice
Re: Mortgage Payoff Club!!
« Reply #514 on: October 08, 2015, 10:52:12 AM »
+1 to what K-ice said. Good advice.
FIRE in 2020.

ozbeach

  • Stubble
  • **
  • Posts: 190
  • Age: 53
  • Location: Australia
Re: Mortgage Payoff Club!!
« Reply #515 on: October 09, 2015, 01:19:00 PM »
Ours just dropped below 100000. Fantastic. I paid a bit extra to get it to 99997 or some such. Of course then the exchange rate changed (house is in NZ and we are in Oz)  and when I came to show the accounts to DH it was back over 100000! But I think we are on the home straight now, no pun intended.

I've had two mortgages, and both times it was when they dropped below $100K that I really started to see the payments making a difference. Above that, and it seems that most of your payment is going on interest; below $100K every payment seems to attack principal and it just seems to melt away. Keep hitting it hard and it will be gone before you know it!
Late to FI; but better late than never!

Bellatrix

  • 5 O'Clock Shadow
  • *
  • Posts: 27
Re: Mortgage Payoff Club!!
« Reply #516 on: October 09, 2015, 04:49:09 PM »
I can't wait to pay off my mortgage. It feels like it will take forever though.   

Started with 400k at 3.25%.
Now at about 285k. 
Goal payoff date: Dec 2018.

I have an amortization schedule hanging on my fridge.  I look at it all the time and just need this mortgage to go away. 








mies

  • Bristles
  • ***
  • Posts: 252
Re: Mortgage Payoff Club!!
« Reply #517 on: October 09, 2015, 05:51:53 PM »
Nice work Bellatrix! I constantly check my amortization schedule too. I'm always calculating the numbers in my head :) If I can do a little extra principal this month, next month's regular payment will be that much more productive.
Less is more.

Bellatrix

  • 5 O'Clock Shadow
  • *
  • Posts: 27
Re: Mortgage Payoff Club!!
« Reply #518 on: October 09, 2015, 06:59:52 PM »
Nice work Bellatrix! I constantly check my amortization schedule too. I'm always calculating the numbers in my head :) If I can do a little extra principal this month, next month's regular payment will be that much more productive.

Thanks!  I get so excited when my paycheck is higher than expected... it means I get to tackle more of my mortgage.  I get so mad when I see how much I am paying in interest every month (down to about $800 now). 

Looks like 2018 will be a good year for both of us. 

Faraday

  • Handlebar Stache
  • *****
  • Posts: 1201
  • Age: 55
  • Location: NC
  • Solar Powered Slice
Re: Mortgage Payoff Club!!
« Reply #519 on: October 09, 2015, 07:38:42 PM »
Nice work Bellatrix! I constantly check my amortization schedule too. I'm always calculating the numbers in my head :) If I can do a little extra principal this month, next month's regular payment will be that much more productive.

Thanks!  I get so excited when my paycheck is higher than expected... it means I get to tackle more of my mortgage.  I get so mad when I see how much I am paying in interest every month (down to about $800 now). 

Looks like 2018 will be a good year for both of us.

Dec. 2018 will be here before you know it, awesome that you have a goal date for payoff!
FIRE in 2020.

Mrwannabemmm

  • 5 O'Clock Shadow
  • *
  • Posts: 9
Re: Mortgage Payoff Club!!
« Reply #520 on: October 09, 2015, 11:56:46 PM »
Thanks k ice . I resonate with your advice too. I am planning to pay off mortgage down too till I have 100 k left. Planning to keep  100 k for getting another mortgage on a rental income. Then work on paying rest of mortgage and then the rental mortgage .

This was I will pay of one mortgage and then have another one to motivate me even more since that will create passive cash flow .

Mrwannabemmm

  • 5 O'Clock Shadow
  • *
  • Posts: 9
Re: Mortgage Payoff Club!!
« Reply #521 on: October 10, 2015, 12:02:26 AM »
My saving account almost pays nothing , mortgage is 3.87 percent .
Maxing out my 401k but do not have any 529 for kids yet .



manonfire1007

  • 5 O'Clock Shadow
  • *
  • Posts: 40
  • Age: 40
Re: Mortgage Payoff Club!!
« Reply #522 on: October 10, 2015, 08:26:11 PM »
I bought mine last year for 271k at 5% fixed with no points (long story). Have it on a 15 year. Should have it done in 58 months as I have a similar amount in student loans to kill first.

Faraday

  • Handlebar Stache
  • *****
  • Posts: 1201
  • Age: 55
  • Location: NC
  • Solar Powered Slice
Re: Mortgage Payoff Club!!
« Reply #523 on: October 11, 2015, 11:36:37 AM »
I bought mine last year for 271k at 5% fixed with no points (long story). Have it on a 15 year. Should have it done in 58 months as I have a similar amount in student loans to kill first.

ON FIRE is right! Excellent, excellent, excellent.
FIRE in 2020.

manonfire1007

  • 5 O'Clock Shadow
  • *
  • Posts: 40
  • Age: 40
Re: Mortgage Payoff Club!!
« Reply #524 on: October 11, 2015, 07:05:10 PM »
If I could burn it down faster, I would. That said, I would then have to add alimony to the expenses. Probably an unwise choice.

allsummerlong

  • Bristles
  • ***
  • Posts: 346
  • Location: BC, Canada
Re: Mortgage Payoff Club!!
« Reply #525 on: October 15, 2015, 02:03:53 PM »
Down to $139k (!!!)

Goal for 2015 is to have it down to $105k by year's end. I feel we can do this, while still stashing in other accounts as well. Like to keep it balanced.
Down to $131,600
:)
Adjusting our year-end goal to <$110,000. Decided to put a little extra into the RRSPs this year.

We're down to $126,000. We're both teachers & have some cash saved up for over the summer (neither of us will get paid again until Sept 15th). I think we saved too much, so will put the surplus on the mortgage in Sept. That should be a good chunk. Still on track to be <$110,000 by Dec 31.

Haven't updated in a while...

Balance just dropped to $119,200 !!

Very excited to be below 120k. On track to meet our Dec 31/15 goal of <$110,000.

RNwastash

  • 5 O'Clock Shadow
  • *
  • Posts: 84
  • Location: Fresno, CA
Re: Mortgage Payoff Club!!
« Reply #526 on: October 15, 2015, 08:27:29 PM »
Made a small $500 extra payment.  Down to $123,536.82!!

cdub

  • Stubble
  • **
  • Posts: 166
    • Mortgage Payoff Club
Re: Mortgage Payoff Club!!
« Reply #527 on: October 16, 2015, 12:55:56 AM »
I moved the Mortage Payoff Club blog from WordPress (which I hated) to a XenForo community which I know and love.

I also got it a much better domain.

Here it is:

http://mortgagepayoff.club/

I hope you like it.

Congrats to everyone on their progress!

Join the Mortgage Payoff Club:
http://mortgagepayoff.club/

mom22boys

  • Stubble
  • **
  • Posts: 180
Re: Mortgage Payoff Club!!
« Reply #528 on: October 16, 2015, 09:49:04 AM »
My mortgage is still sitting around 156k, but I did sign on my refinance this morning, which was a good feeling.  Of course I'm not planning to pay off over 15 years but more like 5-7 years. :-) 

One victory is that last week I put an additional 10K against the special assessments on my house.  I didn't include that in my original post.  After that pay off, I'll be down to around 20K for the specials.  About half of that is at a pretty low interest rate (similar to mortgage) so I won't pay that off early.  I'm even thinking about just letting the full 20K ride, and instead move over to paying down the mortgage instead.  While I plan to be in this house for at least 10 years, I don't really see me recouping the specials when I sell. Plus, the new lucky owner would assume what's remaining of that debt.  What do others here do with specials?  Do you treat specials just like other debt and pay it off based on the interest rates?

Faraday

  • Handlebar Stache
  • *****
  • Posts: 1201
  • Age: 55
  • Location: NC
  • Solar Powered Slice
Re: Mortgage Payoff Club!!
« Reply #529 on: October 16, 2015, 11:05:15 AM »
My mortgage is still sitting around 156k, but I did sign on my refinance this morning, which was a good feeling.  Of course I'm not planning to pay off over 15 years but more like 5-7 years. :-) 
...

hey mom22 - anything particular you can share about your refi? What interest rate, points, closing costs? Did you do anything like get quotes through lendingtree.com? Thanks for any info you can share!
FIRE in 2020.

mom22boys

  • Stubble
  • **
  • Posts: 180
Re: Mortgage Payoff Club!!
« Reply #530 on: October 16, 2015, 11:19:07 AM »
mefla - No prob on the info.  I moved to a 15 year at 3.375.  No points, and $245 closing costs, most of which was the daily interest until the end of the month.  I could have gotten a lower interest rate, but didn't want to pay for points or high closing costs. The refi was through AimLoan.com.  Originally I went through LendingTree and I wish I hadn't.  Phone calls and email NON-STOP.  It was super annoying.  I had posted some questions on another thread and someone recommended AimLoan. They were really good to work with and came in at the lower rates/closing costs. The refi was completely done in less than 3 weeks.

Uncle Scrooge

  • 5 O'Clock Shadow
  • *
  • Posts: 51
  • Age: 33
  • Location: USA
Re: Mortgage Payoff Club!!
« Reply #531 on: October 16, 2015, 01:08:03 PM »
Can confirm. Lending Tree was awful. Non stop calls for the first week or two.....and some are super aggressive salesmen.

I also looked into AIM Loans about a week to 10 days ago. We just had the appraiser at our house yesterday and I'm well on my way to refinancing. So far so good...

Faraday

  • Handlebar Stache
  • *****
  • Posts: 1201
  • Age: 55
  • Location: NC
  • Solar Powered Slice
Re: Mortgage Payoff Club!!
« Reply #532 on: October 16, 2015, 01:13:57 PM »
re: AimLoans - INTERESTING! THANK YOU for the info, I'll check 'em out!
FIRE in 2020.

peoria

  • 5 O'Clock Shadow
  • *
  • Posts: 37
Re: Mortgage Payoff Club!!
« Reply #533 on: October 16, 2015, 01:59:40 PM »
Refi in march of 2015 with first payment due on May 1, 2015.
$317,000 at 3.125%

We arw maxing out our Simple Iras and Roth Iras, then throwing everything extra at the mortgage.

We are down to $271,250 as of now.  We are trying to pay off another $15k by year end ( Christmas bonuses). Goal by 12/31 is 256,250.


birdman2003

  • Stubble
  • **
  • Posts: 217
  • Location: Iowa
Re: Mortgage Payoff Club!!
« Reply #534 on: October 16, 2015, 03:10:57 PM »
My original mortgage was for $70k in 2012 (15 years @ fixed 3%) and now I think the principal balance is somewhere around $65k.  Obviously I have never made extra payments.  I think I will do that next year as I have extra monies not spoken for!

Thanks for the jumpstart to do this!

Still haven't made additional payments, but I do have a 15 year mortgage so it's like fixed double payments on a 30 year mortgage.  Remaining balance is now at $58k

PFHC

  • Pencil Stache
  • ****
  • Posts: 653
  • Age: 37
  • Location: Midcoast Maine
  • Busy doing.
Re: Mortgage Payoff Club!!
« Reply #535 on: October 16, 2015, 05:30:51 PM »
Initial mortgage was for $150k, 30 years at 3.5%.
Currently at $134k.
Just ran the numbers and shooting for an end date of Sep, 2018. Here we go!

cdub

  • Stubble
  • **
  • Posts: 166
    • Mortgage Payoff Club
Re: Mortgage Payoff Club!!
« Reply #536 on: October 17, 2015, 12:17:17 AM »
Can confirm. Lending Tree was awful. Non stop calls for the first week or two.....and some are super aggressive salesmen.

I also looked into AIM Loans about a week to 10 days ago. We just had the appraiser at our house yesterday and I'm well on my way to refinancing. So far so good...

I had a good experience with Quicken Loans. I refinance with them 2 years ago.

(be sure to check out my site that is perfect for people on this thread http://mortgagepayoff.club/)

I'm working on around $260k 30 year fixed at 3.99 right now.
Join the Mortgage Payoff Club:
http://mortgagepayoff.club/

Faraday

  • Handlebar Stache
  • *****
  • Posts: 1201
  • Age: 55
  • Location: NC
  • Solar Powered Slice
Re: Mortgage Payoff Club!!
« Reply #537 on: October 17, 2015, 07:14:19 PM »
Initial mortgage was for $150k, 30 years at 3.5%.
Currently at $134k.
Just ran the numbers and shooting for an end date of Sep, 2018. Here we go!

Hey PFHC: I am aiming to have mine done in that timeframe. Maybe we set a Dec. 2018 Goal Date and move it around if needed?
FIRE in 2020.

cdub

  • Stubble
  • **
  • Posts: 166
    • Mortgage Payoff Club
Re: Mortgage Payoff Club!!
« Reply #538 on: October 18, 2015, 11:25:34 PM »
Initial mortgage was for $150k, 30 years at 3.5%.
Currently at $134k.
Just ran the numbers and shooting for an end date of Sep, 2018. Here we go!

Hey PFHC: I am aiming to have mine done in that timeframe. Maybe we set a Dec. 2018 Goal Date and move it around if needed?

Wow that's pretty good. How much extra per month are you throwing at it?
Join the Mortgage Payoff Club:
http://mortgagepayoff.club/

indentured4now

  • Stubble
  • **
  • Posts: 228
Re: Mortgage Payoff Club!!
« Reply #539 on: October 19, 2015, 06:47:48 AM »
I'm going to put a chunk towards my mortgage beast and would appreciate some advice...   Anyone have experience with Third Federal for HELOC, fixed equity loan or a first mortgage?    If my current first mortgage holder won't allow a recast, I saw these guys on bankrate site and their rates are a full percent lower with fixed equity loan and shorter amortization.    What's the catch?   Their reviews on BBB and other sites are mixed...  If they stink, pls keep the cursing to less than 10 F-bombs a sentence please!  ;-)

Faraday

  • Handlebar Stache
  • *****
  • Posts: 1201
  • Age: 55
  • Location: NC
  • Solar Powered Slice
Re: Mortgage Payoff Club!!
« Reply #540 on: October 19, 2015, 08:07:22 AM »
Initial mortgage was for $150k, 30 years at 3.5%.
Currently at $134k.
Just ran the numbers and shooting for an end date of Sep, 2018. Here we go!

Hey PFHC: I am aiming to have mine done in that timeframe. Maybe we set a Dec. 2018 Goal Date and move it around if needed?
Wow that's pretty good. How much extra per month are you throwing at it?

Hey cdub: my income is "lumpy" so I don't do a set amount per month, but I'm reaching $30k in 2015. I'd like to go even more in 2016, but I'd have to cut into my Roth IRA, not sure I wanna do that. Both the wife and I are working right now and I've got our expenses trimmed out enough that we can throw a lot of our income at it.
FIRE in 2020.

K-ice

  • Pencil Stache
  • ****
  • Posts: 671
  • Location: Canada
Re: Mortgage Payoff Club!!
« Reply #541 on: October 19, 2015, 11:27:30 AM »
I'm going to put a chunk towards my mortgage beast and would appreciate some advice...   Anyone have experience with Third Federal for HELOC, fixed equity loan or a first mortgage?    If my current first mortgage holder won't allow a recast, I saw these guys on bankrate site and their rates are a full percent lower with fixed equity loan and shorter amortization.    What's the catch?   Their reviews on BBB and other sites are mixed...  If they stink, pls keep the cursing to less than 10 F-bombs a sentence please!  ;-)

I do not know about them in particular. But I had a mixed mortgage HELOC from my bank and it gave me the added confidence that I could throw big chunks at the mortgage but still have access to a squishy emergency fund. Luckily, I never needed the HELOC, but I would highly recommend it. 

mies

  • Bristles
  • ***
  • Posts: 252
Re: Mortgage Payoff Club!!
« Reply #542 on: October 19, 2015, 04:34:56 PM »
I'll be throwing another $2500 at my mortgage principal this week. That will get the principal portion of our regular monthly payment ($816) over $600.

The next short term goal on the mortgage is getting the monthly interest under $200. I want to get these monthly payments as productive as possible :)
Less is more.

Neustache

  • Handlebar Stache
  • *****
  • Posts: 1079
Re: Mortgage Payoff Club!!
« Reply #543 on: October 19, 2015, 06:16:50 PM »
^nice, mies!  I will be happy when my principal payment is more than my interest payment, but you are doing great!

pdxmonkey

  • Stubble
  • **
  • Posts: 246
Re: Mortgage Payoff Club!!
« Reply #544 on: October 19, 2015, 07:32:00 PM »
I've been working at my mortgage for a while now. I originally had a 30 yr $146000 loan. In 2012 I refinanced into a 15 yr @ 2.875%. As of today I have about $67,500 remaining.

I flip flop between investing more and paying off the mortgage. I have been maxing out my contributions to a Roth IRA since my mid 20's and last year I maxed out my 401k (Roth) for the first time and will be doing so again this year. I had always considered retiring early, but have only recently considered retiring extremely early and finally about 2 months ago opened up a taxable investment account in addition to my 401k and IRA accounts as I'll need money outside those accounts to live on. I've put some money into this and started paying the mortgage down less aggressively although still more than the minimum payment. I really want to get it paid off even though mathematically it is not necessarily the best idea. If P/E ratio goes lower on the market I will probably not pay any extra on the mortgage.

cdub

  • Stubble
  • **
  • Posts: 166
    • Mortgage Payoff Club
Re: Mortgage Payoff Club!!
« Reply #545 on: October 20, 2015, 10:39:07 PM »
I'll be throwing another $2500 at my mortgage principal this week. That will get the principal portion of our regular monthly payment ($816) over $600.

The next short term goal on the mortgage is getting the monthly interest under $200. I want to get these monthly payments as productive as possible :)

That's awesome. I'm hoping to be able to start sending that much $$$ at my mortgage soon enough.
Join the Mortgage Payoff Club:
http://mortgagepayoff.club/

mies

  • Bristles
  • ***
  • Posts: 252
Re: Mortgage Payoff Club!!
« Reply #546 on: October 21, 2015, 02:05:02 AM »
Thanks cdub and neustache! October has been a fairly inexpensive month so far which has helped. I may or may not be able to do an extra a principal payment in November because of this one. I'm ok with that.
Less is more.

Faraday

  • Handlebar Stache
  • *****
  • Posts: 1201
  • Age: 55
  • Location: NC
  • Solar Powered Slice
Re: Mortgage Payoff Club!!
« Reply #547 on: October 21, 2015, 01:11:22 PM »
On track for a nice little principal abatement payment for that third paycheck in October. Been accumulating post-tax savings the entire month of STOCKTOBER. Looking forward to getting much closer to the Sacred Refinance Objective for January, 2016!

The plan is to refinance in January to a 10 or 8 year mortgage under 2.875%.  It's possible interest rates won't go down in January 2016. If not, then we don't refi, we just keep pushing hard as we can go.

« Last Edit: October 21, 2015, 11:37:13 PM by mefla »
FIRE in 2020.

Jon_Snow

  • Magnum Stache
  • ******
  • Posts: 3472
  • Location: An Island in the Salish Sea (with necessary stints in Vancouver)
Re: Mortgage Payoff Club!!
« Reply #548 on: October 21, 2015, 02:58:53 PM »
Never looked at this thread before. Just want to say to everyone that you are kicking all sorts of mortgage-ass!

We killed our mortgage about 5 years before I FIRE'd...really, that was the point at which it was "all systems go" to FI...and beyond. This thread provides wonderful nostalgia and a nice reminder about the excitement created by watching a mortgage balance dwindle until it is GONE.

cdub

  • Stubble
  • **
  • Posts: 166
    • Mortgage Payoff Club
Re: Mortgage Payoff Club!!
« Reply #549 on: October 21, 2015, 11:05:44 PM »
Never looked at this thread before. Just want to say to everyone that you are kicking all sorts of mortgage-ass!

We killed our mortgage about 5 years before I FIRE'd...really, that was the point at which it was "all systems go" to FI...and beyond. This thread provides wonderful nostalgia and a nice reminder about the excitement created by watching a mortgage balance dwindle until it is GONE.

Yes that's my goal too. I want to kick the mortgage payoff into high gear asap. I'm hoping to have that same joy and excitement too. :)
Join the Mortgage Payoff Club:
http://mortgagepayoff.club/