Just sent in (first) a payment bigger than the requested mortgage payment.

[SunnyD]

/blog.atot

It's a "happy day" for me. For the first time since buying my house a couple years ago, I was able to actually send in a payment for more than the requested monthly balance. It's not terribly much bigger, but still, it's greater than what's requested, and that's what counts, right? "Apply overpayment to principle." Yes please!

It's been a long road in shoring up finances over the last 10 years or so from years of stupid financial decisions, or rather inexperience and typical being dumb from youth. I'm definitely not done making stupid mistakes, nor done paying for them. But things have gotten a lot better.

Now, 2 more months of car payments and that's paid off. That frees up a good chunk of income for other things. The snowball is at the top of the hill my friends... and it's the hill of my choosing for once!

 

[waggy]

/blog.atot

It's a "happy day" for me. For the first time since buying my house a couple years ago, I was able to actually send in a payment for more than the requested monthly balance. It's not terribly much bigger, but still, it's greater than what's requested, and that's what counts, right? "Apply overpayment to principle." Yes please!

It's been a long road in shoring up finances over the last 10 years or so from years of stupid financial decisions, or rather inexperience and typical being dumb from youth. I'm definitely not done making stupid mistakes, nor done paying for them. But things have gotten a lot better.

Now, 2 more months of car payments and that's paid off. That frees up a good chunk of income for other things. The snowball is at the top of the hill my friends... and it's the hill of my choosing for once!

grats!

I try to pay extra on mine too. It's nice to knock that down.

 

[Tweak155]

I round my 11xx payment up to $1300 even for the time being.

 

[Jeffg010]

Now hopefully you can sustain that for few years and make it really pay off.

 

[Jimzz]

Yep we pay double or more. Down to 180k right now. Should be done in 2 1/2 years. Then no more major debt.

 

[SunnyD]

Yep we pay double or more. Down to 180k right now. Should be done in 2 1/2 years. Then no more major debt.

I wish I could do that. Well, I could, but it would be rough. I'm also trying to ensure I build up enough padding up top of paying off stuff too for "just in case". We've been through too many "just in case" moments over the years.

We're a family of 7, so we made our bed in some regards (grocery/gas budget, healthcare, etc). But I'm still paying off old debt, cleaning up credit history, etc. Always trying to make headway where we can.

Hopefully, barring the unexpected (which always happens), we can stay the course for the most part this year and "most" of the old debt issues as well as the current fluid debt will be gone. Unfortunately, it's looking like we'll need a second car sooner rather than later, so that'll be extra money going out. But we make it work.

 

[BlahBlahYouToo]

3.25%. I'll keep paying the minimum.

 

[spidey07]

Why don't you take that money and invest it and make yourself richer? With rates this low one would be an absolute fool to pay off a mortgage early or do anything besides a 30 year fixed. Do the math. A mortgage is "good" debt.

Fool and his money you know....

 

[SunnyD]

Why don't you take that money and invest it and make yourself richer? With rates this low one would be an absolute fool to pay off a mortgage early or do anything besides a 30 year fixed. Do the math. A mortgage is "good" debt.

Fool and his money you know....

Out of my last 5 investments, 1 has been liquidated, 1 is about to be liquidated, and 1 lost about 80% of value.

Sure I hit it out of the park with one (approximately 200% growth) and the other is mostly just earning dividends slowly, which I picked up on purpose for that.

So basically, I am not very good at making money with money yet. Otherwise I would never have been in debt to begin with.

But as I said, my overpayment was rather modest to begin with, which makes this moot.

 

[waggy]

3.25%. I'll keep paying the minimum.

and that is why i am not in a hurry. a low rate is nice. My dad was telling me of when the avarage was 10% or more. wow

 

[JEDI]

/blog.atot

It's a "happy day" for me. For the first time since buying my house a couple years ago, I was able to actually send in a payment for more than the requested monthly balance. It's not terribly much bigger, but still, it's greater than what's requested, and that's what counts, right? "Apply overpayment to principle." Yes please!

It's been a long road in shoring up finances over the last 10 years or so from years of stupid financial decisions, or rather inexperience and typical being dumb from youth. I'm definitely not done making stupid mistakes, nor done paying for them. But things have gotten a lot better.

Now, 2 more months of car payments and that's paid off. That frees up a good chunk of income for other things. The snowball is at the top of the hill my friends... and it's the hill of my choosing for once!

congrats but why didnt u send in more $ for your car note instead?

or is your mortgage interest higher than car?

 

[dave_the_nerd]

w@@t.

Good for you.

 

[halik]

3.25%. I'll keep paying the minimum.

This. Plus it's really 3.25% * 0.70 if you itemize.

It does make sense if your rate is significantly higher or if you're paying PMI though.

 

[highland145]

Good job. Half of the car payment in savings until it's sufficient, half on the mortgage.


I understand where spidey and the others are coming from about the investing but I'm happy as a pig in mud with no mortgage or car payments.

 

[crunkzilla]

One of my goals in life was to pay off the mortgage as soon as possible. Now that is complete, I went from making 1100/month payments to having more money than I know what to do with. My next goal I setup for myself is to spread thru the countryside like a locust to buy more properties and rent them out. If all goes well ill be able to buy additional properties every 5 yrs cash to keep renting out.

 

[highland145]

One of my goals in life was to pay off the mortgage as soon as possible. Now that is complete, I went from making 1100/month payments to having more money than I know what to do with. My next goal I setup for myself is to spread thru the countryside like a locust to buy more properties and rent them out. If all goes well ill be able to buy additional properties every 5 yrs cash to keep renting out.

This but I want businesses. I hated my rentals.

 

[Blackjack200]

This but I want businesses. I hated my rentals.

Did you ever try commercial real estate? I'm thinking about it, cost of entry seems high though. :\

 

[highland145]

Did you ever try commercial real estate? I'm thinking about it, cost of entry seems high though. :\

Bro and I made an offer on the building I'm in, 4 offices, $280K. 30% down, the rents cover the mortgage/ins/taxes, barely. The lady that handles the estate said that was so low that she'd not counteroffer. Wanted $375K. Find out ~6 months later, the appraisal was $275K.:\

Worked out. 2 ACs have had to be replaced and they're about to spend $19K on a new roof. If I had the $$, maybe I should offer her the $280K again, after the roof.

 

[Blackjack200]

Bro and I made an offer on the building I'm in, 4 offices, $280K. 30% down, the rents cover the mortgage/ins/taxes, barely. The lady that handles the estate said that was so low that she'd not counteroffer. Wanted $375K. Find out ~6 months later, the appraisal was $275K.:\

Worked out. 2 ACs have had to be replaced and they're about to spend $19K on a new roof. If I had the $$, maybe I should offer her the $280K again, after the roof.

So you weren't looking for cash flow on this? Or am I missing something?

 

[highland145]

So you weren't looking for cash flow on this? Or am I missing something?

Long term income after it's paid for by the tenants. $280 worked, $375...heck no.

 

[Red Squirrel]

I pay more too, its a good feeling knowing you are paying it down faster. I pay around 200 extra per month. Though I did dip into my home equity this summer, so at this point it's mostly just offsetting that.

 

[Corporate Thug]

3.25%. I'll keep paying the minimum.

This.

Plus my car loan is sitting at 1.9%

My god damn school loans on the other hand...125k @ 6%

 

[Jimzz]

Long term income after it's paid for by the tenants. $280 worked, $375...heck no.

Yep rentals are good long term, steady cash when paid for, and also if you have other income and need tax help with dedications.

 

[Tweak155]

3.25%. I'll keep paying the minimum.

Mine is 2.75% which is why I only put in another ~$130. Keeps me from wasting it on something else, and I get a little money back from it.

My original goal was to overpay by $1000+/mo, but when I got approved for 2.75% I said eff that.

 

[JTsyo]

Nice. When I first saw my mortgage statement, I was sad that only $500 went to the principle and rest was interest. I started putting in another $500 figuring that should half the mortgage (yes I'm aware that's not how it'll work once the principle/interest ratio changes). Then I refinanced to 15 yr at a lower rate and the payments went up by $500 so I stopped putting in anything extra, 15 yrs is good enough.