House Mortgage -- Countdown

[Randomsaver]

Mortgage Principal : $127K

Been tapping to the college savings fund (CSF) that before the year is over, I see my CSF dwindling to just $2K. I made the right move since starting last year, the stock market has gone down. Instead of the fund getting depleted, I have used it to deplete the interest payments on my mortgage.

Mortgage Principal : $125K

With Brexit, Dow tumbled 3.4%. Glad I have limited my exposure from $28K to just $2K ( which is now just $2K/1.034).

Mini celebration for enduring the first 6 months of the year guys. I bought me some fancy beers to enjoy. I got Blackstone Nut Brown Ale and Nitro Coffee Stout.

I was looking also for my favorite Crabbie's Ginger Orange but the one the only have in store is Ginger Lime.

Also found out wine is now being sold in my Kroger though I did not see my favorite -- Germany's 2013 Peter Mertes Platinum Dornfelder.

[disneysteve]

I just realized that our last payment dropped our balance below the 40K mark.

It now stands at $39,694.03 .

[DaveInPgh]

I just realized that our last payment dropped our balance below the 40K mark.

It now stands at $39,694.03 .

I always got excited when ours dropped below a new threshold.

Congrats

[Randomsaver]

I just realized that our last payment dropped our balance below the 40K mark.

It now stands at $39,694.03 .

Happy for you disneysteve!

[Randomsaver]

Speaking of threshold, I got 2.

1) Monthly interest payment is now below $300.
2) Emergency fund is now above $10,000. Remember last year this got decimated as I had to use all of it to buy a car as my trusty 1995 Corolla finally breathed it's last roar after 20 years in the middle of I-64 West.

[Jluke]

Mortgage Principal : $125K

.

nice work!

what is your targeted pay off date?

do you plan to go to $0 or just get it to a point where your interest is "minimal"?

I noticed in another thread your first kid will be college-age in 7 years so curious what your game plan is, if you don't mind sharing.

[Randomsaver]

nice work!

what is your targeted pay off date?

do you plan to go to $0 or just get it to a point where your interest is "minimal"?

I noticed in another thread your first kid will be college-age in 7 years so curious what your game plan is, if you don't mind sharing.

Thanks!

If I can hang on to job (which is really scary in this economy right now), I'd go for 0 in 4 years. That is my aggressive scenario Jluke. Then I'll have 2.5 to 3 years to save for college, hopefully enough to get $100K. It helps if he gets a scholarship, even at 50% subsidy. That's my best plan scenario.

If I lose job or have to get something of less salary, then no college savings, just hopefully being able to finish paying for the house in 7.5 years from now. For college, he has to get a scholarship -- either full academic scholarship or a mix of 50% academic scholarship + poor but deserving grant. I am preparing him to a scholarship ever since Grade 1. I had gone that path for myself in college and I just know it can be done so I am being hopeful.

If he doesn't get a scholarship, he'll go to a mix of what little I had saved + what I could add to it on my current salary that year + him working and we'll just get the best we could afford based on those. This might also include selling house/downsizing/relocating to get more money.

[Randomsaver]

Focused Debt : $7K

Focused Debt : $4K

[Randomsaver]

Focused Debt : $4K

Focused Debt : $3K

[Jluke]

Thanks!

If I can hang on to job (which is really scary in this economy right now), I'd go for 0 in 4 years. That is my aggressive scenario Jluke.

I'm coming up on 3 months since I made my last payment.

Something that I didn't seriously account for was the impact of changing my 401k from my typical 10-12% to a much higher percent so I can get to the 18k max this year. My take home pay is much less than before so basically the required mortgage payment is now going to the 401k, as it should. I'm still banking the extra principal payment but now I need to be sure that half goes to escrow and stays there.

It just leads to a slower accumulation of cash savings and I'm finding I need to be more disciplined with the money I do bring home since I don't have that really large cash pile.

It's a good problem to have, but don't burn through your cash pile too quickly if you plan to accelerate retirement savings, pay for college, etc after the mortgage is paid off.

Just want to note that my liquid EF is good for 8 months; worst case my EF in taxable stock account is good for another 15 months.

[JoeP]

$25k here. The last payment will be in about 16 months!

[Randomsaver]

$25k here. The last payment will be in about 16 months!

JoeP, congrats for reaching that 25K Milestone!

[Randomsaver]

It's a good problem to have, but don't burn through your cash pile too quickly if you plan to accelerate retirement savings, pay for college, etc after the mortgage is paid off.

Just want to note that my liquid EF is good for 8 months; worst case my EF in taxable stock account is good for another 15 months.

JLuke, that's a tremendous EF you have...8 months.

You're right, I should build my EF also. I'm quite cash strapped right now, it's like walking the tight rope. I'd start slowly building it up to $10K in 10 months.

[tqf258]

$84,320

[Randomsaver]

Focused Debt : $3K

Focused Debt : $2K