Mortgage Concerns!

Facthunt

Just wondering how people who pay a mortgage are coping at the moment? What’s your monthly payment like …. And curious if there is anyone in their 30’s or 40’s who have actually paid off their mortgage?

L1011

Still on fixed until Feb; and it appears that the rates BOI are offering ex-KBC going off fixed are actually quite good.

If the rate comes out OK, and I do my planned overpayment, I will be paid off two days before my 40th birthday. Bought close to the most I could afford at the bottom of the market by chance, not skill.

People who got used to tracker rates in recent years are going to be suffering.

Facthunt

Can I ask how long you had mortgage and type of property you bought. I suppose location also is a big influence on cost.

Fair play on getting everything paid off by your 40th …. Mega impressive!

banie01

I'm mortgage free on our home since I was 28. We are mid-sale process on my wife's place, she has only a small bit on her mortgage to clear and CGT. We are selling to tenants that have been there since she 1st rented out the place.

I'm 43 now and after I cleared the mortgage I maxed out my pension AVCs and undertook some other investments, some tanked spectacularly and others trode water. I had to retire from work at 39 medical issues meant managing work and my health became impossible. So I've a state pension and was able to draw down my pension fund and it's allowed me undertake some work around the house, have a few extra holidays and to ensure that we are well insulated from financial shock.

L1011

https://www.boards.ie/discussion/comment/121288369#Comment_121288369

A bit over 11 years now, it was a 20 year but I've increased the payment a bit whenever I'd had the money / kept the monthly amount the same when interest cuts happened.

Bought a run down mid terrace in a fairly high cost area. Timing was luck not strategy, I could probably try convince people it was strategy but it wasn't!

rustynutz

I've been on a tracker mortgage since 2004, so I've had the benefits of the low interest rates for most of the mortgage, until the past 12 months obviously.. I decided to take 20k out of my savings recently and pay a lump off the remainder of the mortgage as I was earning zero interest on the 20k, but paying high interest on the mortgage. I'm mid forties now and should be mortgage free in two years.

Facthunt

I’m very impressed by you all …. I didn’t think it was possible! I’ll be nearer to 60 before I am done …. But could be longer!

mulbot

43,mortgage paid off that I took out in 2017.

ottolwinner

Just cleared mine in the summer that I took out in 2001. 43 also. Paid a lump sum to clear it early. Even though it was fixed.

Supercell

2028 is when ours is done. Bought late in life at 40 and will be 57 when its done. Got a 25 year mortgage and will have it paid in 17. Once thats done i am hopefully going part time and semi retired!

Facthunt

https://www.boards.ie/discussion/comment/121288852#Comment_121288852

That’s very impressive! Dare I ask what type of property and size of mortgage? I didn’t think it was possible to pay them off that quickly!

mulbot

Yea, just a 3 bed semi. Mortgage was low enough, I paid a little over a third in deposit (I had worked in Canada for a time to save that).

mulbot

Mortgage was just under 100g

banie01

https://www.boards.ie/discussion/comment/121291182#Comment_121291182

Similar enough to myself. 3 bed semi, over a ⅓ deposit down and €145k mortgage.

Facthunt

https://www.boards.ie/discussion/comment/121291313#Comment_121291313

You guys out in the country then? Must be a great feeling having it all paid off. Interest rate hikes not something to worry about then.

banie01

https://www.boards.ie/discussion/comment/121291445#Comment_121291445

I'm in a city, albeit Limerick. In a nice well settled estate originally built in the 80's, I did buy in 2005 and clear in 2009 so not as lately as Mulbot's 2017 purchase.

Facthunt

https://www.boards.ie/discussion/comment/121291560#Comment_121291560

Wait ….. 4 years to pay off mortgage! Respect!

ottolwinner

I suppose the situation has changed greatly since 2005. When restrictions weren’t as bad.

I took mine out in 2001 I was 21 and quit my job before giving them all the paper work. Bank still went ahead and approved the mortgage which seems bananas nowadays.

Cushtie

Mid 40's now, First mortgage was around 2004 I think. Small Semi D in nice settled area of Limerick, Sold that house in 2007, built another place out the country to be closer to family, then sold that in 2021 and built another and now Mortgage free. The equity in house two cleared the remaining mortgage and built house three. First house was too small, second was too big. This one is just right, I think. Was very lucky with some of my timings, pure luck. No strategy.

Its definitely a relief to not have a mortgage. Mortgage payments are diverted to pension now, So don't see it really in the pocket as such.

Fr Tod Umptious

Just over half way through a 30 year mortgage, will be mid 60s before it's paid off.

Bought at the height of the tiger, but got a great tracker which has served us well and will again in the future.

Facthunt

https://www.boards.ie/discussion/comment/121291813#Comment_121291813

Phew ….. I thought I was the only one for a while still paying a mortgage !!!

dee75

Late 40's, with 12 months left. Took out 20 year mortgage €200k in 2007, so with some overpayment we'll knock 3 years off. Just in time to put 3 kids through college....

Facthunt

https://www.boards.ie/discussion/comment/121292393#Comment_121292393

Nice one …. €195k myself to pay off but did do a €130k extension about 3 years ago which was a good idea while rates were low ….. but now it’s turning out dangerous!!

Fr Tod Umptious

https://www.boards.ie/discussion/comment/121292207#Comment_121292207

That's why I posted.

To see if I could add a bit of balance

A lot of people here with very little left it seems, fair play to them.

Facthunt

https://www.boards.ie/discussion/comment/121292593#Comment_121292593

Deffo …. I thought a lot had got caught out with the property crash in 2008/09 and had to hand keys back etc! But looks like most have done well Fair Play 👏👏🏻👏🏿

jrosen

We bought late 2006 and like many others were in negative equity for years. We moved house 3 years ago so are still on a fixed rate, 22 year mortgage (the bank wouldnt agree to 20) and are already overpaying. The plan is to knock 5 years off. So hoping to be done by 57.

Daith

Interesting thread. I've a while to go. KBC to BOI. I plan to pay a lump sum when the fixed rate expires and then see.

I need to ring BOI anyway and see if I can overpay until the end of the fixed rate by about €100 too

L1011

https://www.boards.ie/discussion/comment/121299130#Comment_121299130

You can overpay 10% of the payment and can ask to do so via a webform

Daith

https://www.boards.ie/discussion/comment/121299198#Comment_121299198

I think as I transferred from KBC I can still pay 10% of the actual principal each year or over the term of the fixed. So hopefully can overpay a bit more than BOI standard until the KBC fixed ends.

Tow

https://www.boards.ie/discussion/comment/121299130#Comment_121299130

Don't make an agreement to increase your repayment rate with them, just make extra repayments yourself. If you ever need to drop back down or have extra expenses one month they will treat you like someone who cannot make their full mortgage repayment.

Daith

https://www.boards.ie/discussion/comment/121299302#Comment_121299302

How would I make extra payments myself? Is it just transferring money to my mortgage account via an account number?

I'd be surprised if banks treated cancelling an overpayment that way though?

Bargain_Hound

Jaysus, interesting thread. Impressive to see so many paid off so young and early. I am 4 years out of a 30 year fixed rate that I took out in 2019. 33 years old. Bought at the bottom end of Dublin market a 3 bed semi. up about 150k in equity going by current selling rates. But a long way off being financially free. Very curious to understand how so many paid off so early in their late 30’s/early 40’s. Current mortgage is sub 1000 so thankful for the affordability vs rental.

Tow

https://www.boards.ie/discussion/comment/121299430#Comment_121299430

Yes. It is just a matter of making a transfer into the mortgage account. At one stage AIB would not allow AIB to AIB, but you could transfer from other banks to an AIB mortgage account.

They will allow you to reduce the overpayment, but they are (legally?) required to go through the same process as someone who can no longer afford their full mortgage payment. In other words it is a lot of hassle with paperwork etc.

Facthunt

What are peoples rates like atm?

reggie3434

locked in a 3.0% for 5 years, blessed- last November.

Daith

On 2.5% until 2025 and then ahh...

miamee

https://www.boards.ie/discussion/comment/121304834#Comment_121304834

On the same until 2027.

Daith

I'm hoping to overpay a bit between now and end of fixed anyway. And trying to bump my BER rating to qualify for Green mortgage. Just hope the rates don't keep increasing over the next while.

Fr Tod Umptious

https://www.boards.ie/discussion/comment/121304218#Comment_121304218

I've had ECB +0.9 since 2007.

It's high now, but I suspect it will be back down and up again a few more times in the next 14 years.

Facthunt

https://www.boards.ie/discussion/comment/121305067#Comment_121305067

That’s very high atm then! 🫣

tommythecat

Managed to lock in 7 years at 1.95% last year. Feeling pretty smug about that!

Facthunt

https://www.boards.ie/discussion/comment/121305900#Comment_121305900

Bet you are …. Nice one! Who is that with?

Geuze

Previously, I had an ECB tracker at ECB + 0.50% (NIB / Danske Bank), very cheap finance.

I think my interest bill used to be something like 30 euro a month.

Now, I am 1.95% fixed for seven years, good deal.

highgiant1985

https://www.boards.ie/discussion/comment/121305900#Comment_121305900

nice rate! that'll help take some of the pressure off alright!

Aisling(",)

I'm 2 years into a 35 year term which will finish in my early 60's.

I'm fixed at 2.35% till June and dreading having to deal with it then. Hopefully it'll be a bit better then than it looks now because it looks to be at least an extra 215 a month and I'll really have to tighten my spending to afford that.

tommythecat

Avant. I was quite lucky. I was with KBC on a 2.65% 5 years(year 3). I had an inkling the rates were gonna rise so rang a few times about break fees. Eventually one day they were zero so I broke. Just at that time avant started offering 1,500 cashback for KBC and ulster Bank customers to switch using certain brokers. The broker covered the new valuation and the solicitor was a lot less that 1500 so I actually made some money on the switch! 😂

Apiarist

I am 15 years into a 30 years mortgage, bought a mid-terrace in Dublin in 2008 almost at peak. Currently on 2.6% fixed until 2026, so that's great. Many years to pay still after 2026, that's not so great ;)

brokenbad

7 years left on our mortgage - paying €1050 a month @ 3.50% Fixed Rate.

Was on a tracker for the previous 15 years but steadily increasing rates forced me to fix it for the next 3 years.

Will be aged 55 when Mortgage is paid off....but by then my kids will be in college but that's another story 😆

esker72

https://www.boards.ie/discussion/comment/121305067#Comment_121305067

I'm the same rate and rough timing as this. It's a bit nasty at the minute but I won't let the tracker go unless I absolutely have to. 18 years to go on a celtic tiger mortgage but am prioritising building pension rather than trying to pay the mortgage off early. To me it makes more sense to have the pension building rather than losing 52% in tax and then making top up payments. I might change my mind in 10 years.

ELM327

Fixed for 2 more years at 2.75%, hopefully rates will have calmed down by then. 205k or so remaining I believe. Repayment is only 850 or so so I don't pay that much attention to it. Just turned 37.

jethrothe2nd

11 years into a 25 year mortgage. Fixed at 3% for 5 years last year but all going well we will be finished in 3.5 years