📢WE WROTE A BOOK 📢. Order Our NEW Book, Financial Joy, on Amazon today - geni.us/financialjoy. It's a 10-week plan to help you Banish Debt, Grow Your Money and Unlock Financial Freedom. It's published by Hachette UK + Quercus. One VERY IMPORTANT point to add to this video is that where you choose to live matters. We chose to live just outside London, and as such bought a house without a huge mortgage (relative to London prices) on it. This was a deliberate decision as we could have afforded living in a major City like London but chose not to. Hopefully, those who are still to buy a property will find this point useful. LESS DEBT = LESS TIME TO FREEDOM :) . *MORTGAGE OVERPAY CALCULATOR UPDATED FOR 2022* - thehumblepenny.com/MortgageCalculator Plus the *INSTRUCTIONS for using the Mortgage Payoff Calculator* is here - thehumblepenny.com/early-mortgage-payoff-calculator *FINAL POINT - You can get mortgages WITHOUT Early Repayment Charges (ERC)!* This is one way to pay more than 10% (if you can afford it). I know for certain that providers such as Nationwide offer this. This is not Financial Advice 😀. Please use a broker and make the decision based on your personal circumstances.
@TheHumblePenny
5 жыл бұрын
Hey John, thank you! Absolutely! Yes some banks do exactly for that reason.
@gittin_funky
4 жыл бұрын
The Humble Penny great video. Say you had a side hustle and made £200 a month which you wanted to put to your mortgage. Would you first have to pay income tax on that side hustle or is there some tax benefit to overpaying mortgage whereby you do not have to pay tax (or reduced amount) in this money if it’s going to overpayments
@TheHumblePenny
4 жыл бұрын
It really depends on the type of income. The general rule is that you pay tax on side hustles but at varying rates depending on the type of income e.g. Salary, dividends, interest, profits, etc. However, the one thing (that most people can rate to) that you don't pay tax on is renting a room to a lodger if you make £7,500 per year or less.
@Themystergamerr
4 жыл бұрын
Hi mr penny 😊 I’ve watched some American videos that talk about creating family banks. Have you heard of that and is it possible in the UK?
@TheHumblePenny
4 жыл бұрын
Hi Candy Cat, I haven't come across those here. Thanks for checking out the channel 😀
@bengunns9500
3 жыл бұрын
i worked all the way through Covid as a Lorry Driver in the UK and i couldnt travel anywhere on Holiday, and i have now payed off my Morgage, thankyou for your inspiration both.
@tendo102
2 жыл бұрын
Me and my husband are hoping to be mortgage free at this stage at around 40-41 years old. We’re both 30-31 now. I wish I had found you and this incredible advice 5 years ago! But no time like the present, thank you so much for making this information accessible
@TheHumblePenny
2 жыл бұрын
Laura, you're so welcome. Great point too!
@chinonye2
4 жыл бұрын
Just received a recommendation of this channel now! So refreshing to see a UK based( and not US as usual) information on this. Subscribed 👍🏽
@TheHumblePenny
4 жыл бұрын
Welcome aboard, Chinonye 😊. Glad you're getting value from the content. Also interesting to see KZitem recommending our channel.
@journey2debtfreedom936
5 жыл бұрын
Just came across this channel. Good to see a UK channel on this topic.
@TheHumblePenny
5 жыл бұрын
We appreciate you watching 😊
@tolufrimpong
4 жыл бұрын
There really are few and far between, which is why I summoned up the courage to start my own personal finance channel. I love their content, so helpful, clear and easy to digest!
@golternator333
4 жыл бұрын
UK channels typically has a lot less drama then e.g. American channels. Regards from a Dane :)
@journey2debtfreedom936
4 жыл бұрын
Tolu Frimpong Frimpong your Ghanaian and you talk finance. Your my girl, I’m subscribing now xx
@itallturnstodust1216
4 жыл бұрын
About time. tired of hearing Americans blabbing all over KZitem. Salute
@Zen_Power
5 жыл бұрын
Great video. I took out a 25 year mortgage in 2009 and made overpayments. It will be paid off by next year. FREEEEEDOM!!!!!!!!!!!
@TheHumblePenny
5 жыл бұрын
That is EPIC! 🙌🏾😊
@leonhenry4861
4 жыл бұрын
Can you keep us updated, please.
@amzzzc6700
4 жыл бұрын
Happy New Year too you!
@chiniquewalters4994
4 жыл бұрын
Did u get charged for making overpayments ?
@sherylchapman7809
4 жыл бұрын
The Power of Zen awesomeness ‼️
@troopersemakula
Жыл бұрын
Thanks to this guy, I now only have 8 years left to pay, I cannot thank this man enough, he first came by his stuff during lockdown, but what this has done for me is crazy, I now have my job and 3 side hustles which are not stressful, all stewarding work which allows me to watch football sometimes and get paid for it. KZitem does have gems if you want to find them, and the best part all this education is for free. Thank you.
@thewealthwarren6940
4 жыл бұрын
Great to see a UK channel doing this. Inspired me to set up my own too- we definitely need more in the UK. Great content as always!
@TheHumblePenny
4 жыл бұрын
👊🏼
@stevesaysso
4 жыл бұрын
Good stuff. I've literally just got my first mortgage. My payments are relatively low and very manageable. Doing some quick calculations and I'm certain I can take several years off already! God bless bro
@TheHumblePenny
4 жыл бұрын
Steve, AWESOME stuff!! 😀. Thanks for stopping by and God bless!
@MarliVentures
5 жыл бұрын
Love Ken’s enthusiasm in this video. You can see he is really passionate about FI. I am at the very beggining of my FI journey and Humble Penny has been a game changer for me!
@TheHumblePenny
5 жыл бұрын
Hey Leanne Thanks a lot for watching! 😊. You're at the start of an exciting journey and I'm super pleased to hear that FI is something you want to explore. I tell everyone I meet that it's an aspirational journey and one that becomes more REAL as time passes. Do please invite friends to check out the channel. Much appreciated 😁
@coolco1619
21 күн бұрын
This was exactly what i did eg cancel gym membership and do jogging or walking instead, cancel cable tv, Netflix etc, chose a cheaper mobile phone package, upgrade on SIM only n use same phone for over 10 years, chose to buy my food from cheaper supermarkets, i buy my clothes from charity shops etc etc, and I'm mortgage free for over 10 years now, no worries about interest rates go up or down.
@daniellejoseph4007
Жыл бұрын
Questions 1. Can I pay one lump sum of 10% . of my mortgage. 2. What is the difference between monthly payment and one-off payment a year. I'm waiting for your reply. Thanks
@AniDormi
4 жыл бұрын
Nissan Leaf out on the front too, this brother be saving all over the place
@TheHumblePenny
4 жыл бұрын
😂🤫
@markgalloway735
4 жыл бұрын
Great video so I've subscribed, I have just recently taken out a mortgage at the age of 56, I have it over 13yrs but I over pay a further £1200, should have it done in 6.5years😁
@TheHumblePenny
4 жыл бұрын
Hi Mark 6.5 years would be amazing! Sounds like the kind of result you'd get with that level of overpayments.
@taylamae3421
3 жыл бұрын
You are BRILLIANT at speaking and explaining! What a gift! Haha loved this! So inspiring!
@TheHumblePenny
3 жыл бұрын
Hey Tayla, thanks so much! 😀. It means a lot to hear that because I grew up very shy and lacked confidence with articulating my ideas. KZitem is helping me to communicate better by making these videos :). By the way, love you singing!
@taylamae3421
3 жыл бұрын
@@TheHumblePenny aw I love that!!!! You make it easy to understand and connect. Please don’t stop, you’re making a big difference to other peoples lives with this side hustle! ;) I’ve watched loads, and have subscribed. Thank you!
@TheHumblePenny
3 жыл бұрын
😊💛
@syedfaheemhassan9967
4 жыл бұрын
I took a 250k mortgage over 30 years 8 years ago and I should pay it off in next 2 years
@TheHumblePenny
4 жыл бұрын
💥👍🏼👍🏼
@staffysmile3325
4 жыл бұрын
How have you made that possible?
@syedfaheemhassan9967
4 жыл бұрын
@@staffysmile3325 By giving over payments a month and always shopping around for the best mortgage rate when fixing for 2 year period
@mzique
4 жыл бұрын
Good on you. Ramadan Mubarak
@Piperbabe22
4 жыл бұрын
Could I ask how much you would overpay each month?
@MikeJackson690
Жыл бұрын
Overpayments is my strategy going forward. This only struck me when needing to remortgage this year. A second job will help me get the thing down. I'm by myself but I'm going to do this. Love your videos, thank you!
@TheHumblePenny
Жыл бұрын
Go for it 💪🏾. Keep us updated.
@MikeJackson690
Жыл бұрын
@@TheHumblePenny I will. I'd love my mortgage cleared in 10 years. My mindset has shifted enormously this year. Need better secondary income for sure, occasional bar work isn't it.
@TheRajbhanot1
4 жыл бұрын
Great vid. Prompted me and my other half to take out a joint mortgage which starts in December. A 5 year mortgage with Nationwide which allows overpayments without penalties. We aim to be mortgage free in 24 months.
@TheHumblePenny
4 жыл бұрын
Wonderful!! Good to see you making the move and being proactive to find a lender that does not hold you back! 😀
@HolisticSoul123
2 жыл бұрын
Wow !
@JackyHapy
4 жыл бұрын
We've been overpaying for 5 years. We're on 5 year fixed as well. We can do more and im looking at side hustles. Thanks for this. 😊
@TheHumblePenny
4 жыл бұрын
You're welcome, Jackie! 😀
@sholaking5027
3 жыл бұрын
@Jackie AQ Don't just think of side hustles!! Create your own business!! Being in full control of your own money. That's true financial freedom
@cianlernihan6417
3 жыл бұрын
Great content as always. Love your channel. Thanks for the help! Myself and my wife are on course to pay off our 25 year mortgage is less than 12 years, and before age 45. Two years into the mortgage we refinanced to a 15 year mortgage at a great fixed rate and are hitting the principal hard. Saving and investing for your future is so much more rewarding than mindlessly spending. Once you realise you don’t need any of the stuff you stop wanting it! Gives you more time for the important things in life. We’ve never been happier! 🙌
@TheHumblePenny
3 жыл бұрын
💯. Huge congrats to you and your wife 😀. Thanks for watching and supporting our channel
@benj6244
4 жыл бұрын
This isn't heard enough Ken! 2 young kids means we have paused overpayments for now but once nursery bills have gone we'll be back on it! Great job. Can't get enough of seeing those numbers.
@TheHumblePenny
4 жыл бұрын
Hey Ben I TOTALLY get you when it comes to kids. Things are just a lot harder! However, it should serve as motivation to keep going. Make it your WHY! 😀
@janewhitzend688
4 жыл бұрын
I am so glad to find you. Brilliant UK based content. We are older (50.s) our goals were to pay off our mortgage, have an emergency fund, educate the kids to FI, minimise our needs & have enough to pay annual bills. Currently doing better than expected after the first year. 3 years off mortgage, 8 to go, annual bills & emergency fund covered, kids enrolled to mum school of money 😊 and plans for side hustles formulating (you are a big help there) . Going forward...get hubbie doing a job he's happier in, converting our garage and smashing that mortgage ❤
@TheHumblePenny
4 жыл бұрын
Jane 💪🏾💪🏾👏🏽👏🏽😁. LOVE your progress!! So happy to read this. AWESOME start to 2020.
@beardtrick
5 ай бұрын
I live on the streets and rent my 3 bedroom house out. Unfortunately the tennants are witholding rent. Now im in trouble 😐
@aidankerr1125
2 жыл бұрын
Great content. I’ve cut two years from my mortgage over last five years simply by cutting the term at the points my fixed rates ended. I simply view this as like a form of overpaying, knowing I could be paying a less each month if I stuck to the original 30 years. Now on course to be mortgage free at 49 instead of 51 (we got a 30 year mortgage both at the age of 22) I will begin increasing the monthly amounts with the overall goal of being free by 45.
@TheHumblePenny
2 жыл бұрын
Good work!
@butterflycake7
4 жыл бұрын
Gosh you're so smart! I wouldn't have ever thought of paying a mortgage off twice a month! Thank you :)
@TheHumblePenny
4 жыл бұрын
😉 tbh these are things that you get to learn over time
@tim01263
4 жыл бұрын
I just paid off my house in total this week! I am 30 years old, my wife and I bought our terrace house 3 years ago, rented it out immediately and paying it off had become the obession! good luck to everyone. it can be done.
@tim01263
4 жыл бұрын
@E B I work on boats, so no rent or bills
@askasmay37
4 жыл бұрын
Love this video- you’ve inspired me ! I’m itching to get started on the side hustles and can’t wait to use the mortgage calculator! Making it my mission to be mortgage free in 5 years! You’re fab!
@TheHumblePenny
4 жыл бұрын
Hey Asma! Thank you 😀. You can do it in 5 years! Absolutely
@TheRomanKing7
4 жыл бұрын
Good job paying it off , also some mortgage providers allow unlimited overpayments (no 10% threshold) such as first direct , also can save overpaying weekly than monthly as the interest is calculated daily , great vid mate
@TheHumblePenny
4 жыл бұрын
Thanks for sharing that info re First Direct.
@essteeess97
4 жыл бұрын
This channel is GOLD!!!!!!!!!
@TheHumblePenny
4 жыл бұрын
Much love, Tae! 😀
@hulkhogan9450
4 жыл бұрын
Great video and really helpful, im from across the water and going to use all you have said. Im 3 years into a 30 year mortgage and 33 years old. My new goal now seeing this is to clear my mortage by 40 so gives me 7 years to reach this lifegoal and even more now that im expecting twins 😁. Keep up the great work really helps us.
@TheHumblePenny
4 жыл бұрын
Hey! Great to read your message and see that You'll apply the ideas across the pond 😀. Having it as a goal is really the beginning. Don't forget to grab the *Mortgage Payoff Calculator* and the *Instruction* links in the video notes.
@Stavrosmct
4 жыл бұрын
Congratulations & thanks for breaking this down! Recently moved to my families forever house, same numbers in your example, and didn't realise how big an impact an extra few hundred pounds could make each month. Will download the spreadsheet & give it a try. New channel subscriber! Cheers from Scotland!
@TheHumblePenny
4 жыл бұрын
Excellent! Thanks for checking out the channel! 😀
@susanlewis1953
5 жыл бұрын
Torn between investing and overpaying the mortgage. Settled with investing £150 pcm and overpaying the mortgage by 10% pcm. Fab video. Thanks so much 🙂 Sue
@TheHumblePenny
5 жыл бұрын
Hi Susan, Great approach!! 😀 Your challenge is one that A LOT of people have. The key there is to choose a path and follow it and tweak as one goes along. Buying shares/funds and paying off the mortgage are both different forms of investing.
@kenzychristy87
4 жыл бұрын
How can one get into investing in shares
@laurenwallis3319
4 жыл бұрын
Kenzy Christy my advice would be to NOT invest in single shares (ie 50 shares in Barclays or Apple, etc) as the share prices can be very volatile. Look in to something like mutual funds/ index funds that track the market. I use Vanguard, they’re very informative and also have lots of information so you can look at past performance of a fund before you invest in it.
@michaelbrown5026
3 жыл бұрын
Over payments is the key then and paying what you can save every year!! Right I’m on to the bank tomorrow. Only got a mortgage out 3 months ago, and already had a goal, but didn’t think about middle of the month repayments really makes sense. Many thanks bro this video was amazing and so inspiring
@TheHumblePenny
3 жыл бұрын
Thanks so much for watching, Michael.Please share with others 😀
@missoguro1311
4 жыл бұрын
Soooo good to see a UK based channel for financial knowledge. This video is so timely for me as I am now starting a house buying journey in middle age and I'd like to pay it off early. I like that you do the breakdown and the calculations for different overpayment amounts too. Very good content. You gained yourself a new sub today for sure. Please keep doing these you are doing a great job. Blessings
@TheHumblePenny
4 жыл бұрын
Thanks a lot 😊. Congrats in advance on your home purchase. Exciting times! Be super careful about how much you borrow. That money you borrow is REAL.
@missoguro1311
4 жыл бұрын
@@TheHumblePenny Thanks to you and others willing to share information and educate, I have been preparing for this thoroughly. Hopefully this next phase of my journey will be as successful as paying of debt as a single parent and raising two decent humans has been. I am excited!
@tomioyebadejo635
2 жыл бұрын
I love this video. It has motivated me to be financially free. Owe no man anything but the debt of love. Thank you.
@TheHumblePenny
2 жыл бұрын
Tomi, that's amazing 🙌🏾. This is exactly why I made this video.
@nickymorris1467
3 жыл бұрын
I laughed all throughout this video because I could feel your excitement! I’m fired up!💪🏽
@TheHumblePenny
3 жыл бұрын
Haha! Go go go, Nicky! :)
@conorm2524
4 жыл бұрын
Treat savings and overpayments just like any other bill and budget it in.
@TheHumblePenny
4 жыл бұрын
Love that!
@londoner1851
2 жыл бұрын
This was a really helpful video, thank you :) I chose to buy outside London too - I now combine working from home with a long commute, which I enjoy, firstly, I work on the train and count it towards my working hours :) secondly I am on the way to owning my own affordable home, I am also making overpayments - thanks to your explanation I’m just about to increase these overpayments a bit each month 🙂
@TheHumblePenny
2 жыл бұрын
You're most welcome 😊. You're on your way 💪🏾💪🏾
@skybluerob8850
3 жыл бұрын
I've recently purchased my first house and I'm looking to pay it off as fast as possible, this video was very informative and certainly gave me some things to think about. I'm lucky to be in a job that is offering overtime all the time (worth an extra £15k gross per year) so I'm certainly hoping to be able to pay it off within 10 years (then maybe invest in a second house as a buy-to-let).
@iosifpateroulis1081
3 жыл бұрын
I really liked your motivating and empowering speech. You are right, if people just focused on good financial planning, they will reap the benefits further down the line. It's definitely worth it.
@TheHumblePenny
3 жыл бұрын
Much appreciated! :)
@Ocean4Life
4 жыл бұрын
Agree to all your advice and live by the same philosophy. My friends and family think I’m nuts, but I’m so motivated to be mortgage free
@TheHumblePenny
4 жыл бұрын
Excellent!! 😀. Keep at it. You'll be the one laughing.
@Ocean4Life
4 жыл бұрын
The Humble Penny I bet you’ve watched your share of Dave Ramsey videos too 😀 Looking back I’m mad for not discovering FI earlier. Something is fundamentally wrong when “everybody” accepts living paycheck to paycheck.
@massurname7940
4 жыл бұрын
I am 28 and have been looking to get a mortgadge and didn't know much about it, But watching this has helped me get a clearer picture! You have explained it in very simple terms that anyone can understand and I really appreciate it!! keep on doing what you are doing, great stuff!! Defo subscribed and liked!!
@TheHumblePenny
4 жыл бұрын
You're most welcome, Baktazh! 😀. Let me know if you have any content suggestions.
@69ingleton60
4 жыл бұрын
Thank you so much for sharing your knowledge, experience, geekiness😂😂 The glow is your eyes and smile, is evidence that being Mortgage free has a made a huge difference to your life. This was so inspiring! Thank you! ,
@TheHumblePenny
4 жыл бұрын
You're most welcome 😊. I loved making this video and my wife did a great job editing it whilst still learning how all of this KZitem stuff works
@chumabanjwa4662
3 жыл бұрын
I started off working towards being debt free, then I built a healthy investment portfolio now I am working towards a fat deposit for my 1st property and the very last step will be paying off the mortgage in shortest possible time. Seeing my nett worth inch up month after month is the most satisfying thing for me ( to think that 1ce upon a time I used to get a thrill from buying designer handbags🤣). Anyway, great channel, I enjoy listening and learning from how different people pursue their journeys to FI.
@TheHumblePenny
3 жыл бұрын
Hehe great to hear about your change in money mindset and allround progress :)
@edchaudhry9448
4 жыл бұрын
Hi ken, great video. Breath of fresh air for the UK personal finance community as most videos centre on US strategy and regulation. I’ve subscribed. Might be worth mentioning to people, when they remortgage to consider if the product has an Early Redemption Charge which could be triggered through overpaying :)
@TheHumblePenny
4 жыл бұрын
Hey Ed Thanks for subscribing 😀. Great point re ERC.
@lenilsonsg
2 жыл бұрын
Before overpaying your mortgage, check that your lender allows you to overpay it penalty-free, and if there are any limits as to how much you can overpay.
@TheHumblePenny
2 жыл бұрын
Ofcourse. Or get a mortgage product with no overpayment cap.
@faithminja4007
3 жыл бұрын
This is useful. For future videos I would recommend you have a quick 30sec-1minute summary where you replay all points. You can have the points on a board as you do it, to cater to learners like me that are visual. Thanks.
@TheHumblePenny
3 жыл бұрын
Great tip :)
@bennybenoit754
Жыл бұрын
Me and the wife paid off our mortgage in 7 years this June. The freedom of not having the bank on our back coming into this winter is priceless. Another tip is check if lower over payments register towards your 10% annually. We found that our bank didn’t register an overpayment if it was under three times the monthly amount which allowed us to overpay more without getting charged.
@joannazian7699
Жыл бұрын
I don't get it... If I can't overpay more than 10% in a year, and my mortgage is 320k, then it's not more than 32k a year IE 2.6k a month. If my monthly payment is 2k, then 3 time less than that is £633. How is paying this monthly as extra more than 10% in a year? Have i totally got it wrong?
@lucha0075db
Жыл бұрын
@@joannazian7699 Basically he just told you. If the lender allows them to pay less than 1/3 of their mortgage monthly towards over payment without counting towards the 10% then they can essentially pay more than 10%. example: Monthly Mortgage payments = 900 Mortgage left to pay: 80k Over Payment allowed this year: 10% of Mortgage left to pay (80k) = 8k max over payment for the year. If the bank says you can pay less than 1 third of your monthly mortgage towards over payment without it counting towards the 10% then you could pay 299.99 each month plus a final 8k. 299.99 x 12 + 8000 = 11,599.88
@86samsky
4 жыл бұрын
Originally started to comment complaining about this video. Then decided to check a mortgage overpayment calculator and have to say if i put my self in his shoes and paid the £400pcm i have for investment/saving i would pay off the same in just over 8 years and save £39k in interest payments.
@TheHumblePenny
4 жыл бұрын
Haha that's interesting! I wonder what you'll do with that information next?
@fiona.fiona.
4 жыл бұрын
Recently discovered your channel and I love it! I've considered overpayments but never looked into it... but now I have and I'm amazed how how much we can save in interest and the reduction of how long it'd take to pay off. Thank you! 😀😀
@TheHumblePenny
4 жыл бұрын
Cheers, Fiona! 😀
@jeannettajones2993
28 күн бұрын
Hello and thank you I'm from Baltimore Maryland in the US . I've so enjoyed the teaching I'm in my 50 so I feel behind the 8 ball however I'm still going to try this. So again tks for sharing ❤❤
@TheHumblePenny
28 күн бұрын
Hey Jeannetta, we're cheering you on! ❤️❤️. By the way, how did you come across our video? Was it recommended to you?
@jeannettajones2993
27 күн бұрын
@@TheHumblePenny I saw you and your wife Mary on The Sisters Channel talking about your book 📖
@kevinmcclintock9416
4 жыл бұрын
No I totally agree with you it is EXCITING saving on all that interest and all them years it’s amazing!!!!!! Being mortgage free is the best idea over savings. I can start saving after that point! 42 is my Happy year if everything flows!!!!!! It’s actually mental how much that £100 changes but the mortgage advisors never really tell you none of this (Annoying). Great video has driven me even more. The thing about life is things crop up or overtime can drop but for now I’m super focused. I didn’t do what you did at 28 I paid a low amount to free up more money to live but at 33 I locked into the idea 💡 man I want this done before children I went from paying like £700 a month to £1000 sacrificed holidays etc but I shaved off so so many years. I keep thinking but when it’s done then we will see the holidays il go on. Having a bigger bulk left over after the bills is a big peace of mind not being forced to do extra overtime every week to survive. Freedom is the best thing in life and with that I’m sure everything will flow and improve too. Loved the video and the passion in your voice wish I’d started over paying on day one but I’m just glad I am now and have been. To one day get paided and a £1000 is not going out of my salary wow!!!!! I can save it towards a pension, spend it and be lavish pay for things easier it gives you so many options!!!! I need to stay focused and graft
@LucyHernandez-xy1ty
6 ай бұрын
Thank you for your great Ideas! Blessings. From Atlanta GA.
@TheHumblePenny
6 ай бұрын
Thank you, Lucy 😊
@lj3109
3 жыл бұрын
Binging through your videos am going to use your tips. Middle of the month extra payment. Thanks
@TheHumblePenny
3 жыл бұрын
Thank you for watching 😀
@lj3109
3 жыл бұрын
@@TheHumblePenny we just got a mortgage in September so we are just at the beginning. Thanks so much as we didn’t know what to do with the extra pennies we have. We don’t have the tv packages either which have been great. Saving a lot of money
@maxinechivers1312
4 жыл бұрын
I bought a semi detached 3 bedroom bungalow in 2010 with a mortgage. It was a 25 year mortgage and in 2012 I changed it to 10 years. In 2013 I began overpaying it. In later years I wished to owe 25,000 pounds in the start of 2016 and be down to 10,000 pounds in the start of 2017. I paid it off in June 2017.
@MaximusJohal
4 жыл бұрын
I have been saying this for years, however my Mrs is like.....no.... I have been paying £20 a month and knocked off 2 years.... problem is unless your on good money its hard to over pay.
@TheHumblePenny
4 жыл бұрын
It's an incentive to make more and buy your freedom. It's possible 😉
@scotsam7590
4 жыл бұрын
You might be surprised at what you're overpaying in monthly expenses. Re-watch this video. My husband and I made very, very little for the first 8 years of our marriage but we still saved. Seven examples: 1. We had one car (the first 8 years together while living in the middle of nowhere). 2. We did and still do make a pot of vegetable soup or similar for lunches and some dinners - serve with a nice sourdough bread; it's worth the extra £. 3. Tech Stuff: We don't own a tv and lots of tech gadgets. We had only one land line and one mobile until recently. Now two mobiles and no land line. 4. For 5 years we only took our holidays around the country and by camping. Discovered great places and the campsite facilities were always nice. 6. I purchased most of my clothes at charity shops and altered several on a sewing machine. 7. We use credit cards to build a good record and PAY THEM OFF MONTHLY. Summation: The minute we had extra income at any time, we'd put it in the bank. Good luck - you can do it!
@ucheucheuche
Жыл бұрын
When you're watching a video about paying off your mortgage, when your total income is too small to even apply for a mortgage.
@TheHumblePenny
Жыл бұрын
It's called working on your mindset for success 🙌🏾
@securexcybersecurity3840
3 жыл бұрын
I keep coming back to this video for extra motivation!
@TheHumblePenny
3 жыл бұрын
😉
@BenKershaw-c5w
5 ай бұрын
Im paying mine off in July. Paying a 35 year mortgage off in 5 years. Im 35 and its time to start living life to the max
@martin096
4 ай бұрын
Amazing achievement, congrats dude. How did you manage that?
@BenKershaw-c5w
4 ай бұрын
@@martin096 working like a dog for 15 years basically mate lol
@DatNguyen-py2ke
4 жыл бұрын
Fantastic video. U made up my mind whether to Spend £15k on a new car or put money into my mortgage! i have 33 years left on my mortgage with interest at 2.25%. It feels like I am getting nowhere with the interest the bank charges.
@TheHumblePenny
4 жыл бұрын
OMG, Dat so happy to read this. You would have regretted the car investment over time. Enjoy your investment in your freedom 😀
@msbeegrouptravel
4 жыл бұрын
Powerful stuff, thank you soo much, we ill start with the £100 per month overpayment then £250 and by next year £500 per month
@ajayb2478
5 жыл бұрын
Bro you done such a good job explaining this
@TheHumblePenny
5 жыл бұрын
Ajay 👊🏼😊. Thanks a lot, bro! Much appreciated. Please share with others
@mattleelidbetter
4 жыл бұрын
Very impressed we have 34 years left on ours I will try this method and see how it goes
@TheHumblePenny
4 жыл бұрын
Worth a try, Matt! Thanks
@mattleelidbetter
4 жыл бұрын
I took my first step making £100 a month on a 34 year mortgage.
@Professional_Youtube_Commenter
4 жыл бұрын
basically, get a mortgage that allows overpayment and then overpay.
@TheHumblePenny
4 жыл бұрын
ALL mortgages allow for overpayments. That's not the point. Most people know this. However, doing it and understanding why it should be done and how is the point.
@Professional_Youtube_Commenter
4 жыл бұрын
@@TheHumblePenny if you have the money to overpay, then overpay. Whats complicated about that?
@lulu_america8855
3 жыл бұрын
Congratulations on paying our mortgage off early! Way to go!
@TheHumblePenny
3 жыл бұрын
Thank you, Jennifer! It has been a gamechanger!! 😀
@theresas7272
2 жыл бұрын
Great work. I was on track to pay off the mortgage in 10-11y but then need to move so have gone back up 🙈Overpaying made it possible to move and have a low LTV!! Will attack this mortgage again!
@mattk6209
4 жыл бұрын
That’s a quality content here pal! Subscribed.
@TheHumblePenny
4 жыл бұрын
Matt 👊🏼
@alexmetcalfe9341
Жыл бұрын
Yeesh, when you showed the interest payable over 25 years. Dave Ramsay was right to opt for a 15 year mortgage max. Nice vid dude.
@TheHumblePenny
Жыл бұрын
Thank you 👊🏾
@stephen6262
4 жыл бұрын
Not only did you pay off the mortgage in 7 years and it was alot of money to pay off amasing .A never give up attitude
@TheHumblePenny
4 жыл бұрын
Yes yes!! Definitely NEVER give up.
@TheHumblePenny
4 жыл бұрын
Yes yes!! Definitely NEVER give up.
@nicolmartin8751
11 ай бұрын
Thank you for your video i got my first house yesterday at 24! i will start making overpayments from my first payment
@TheHumblePenny
11 ай бұрын
Congratulations 🙌🏾🙌🏾
@alisonnorcross951
4 жыл бұрын
I paid mine off in 5 yrs ,a 1 ,bed flat I got made redundant and paid last bit. With that But eventually moved but kept flat and rented it out . It is now part of our pensions income but the government have introduced too many regulations so agency charges too much.
@TheHumblePenny
4 жыл бұрын
Hi Alison Awesome re 5 years! Yes, UK regs are too stringent unfortunately. Highly topical.
@cdysick
3 жыл бұрын
What a great video! My wife and I just busted our butt's to become debt free (besides mortgage), and have set our sites on early payoff of our mortgage as our next big financial goal. Getting out of debt is harder when you and your spouse aren't on the same page. That's why we've started our own new channel to help spouses get on the same page to pay off debt. I'm curious, how did your spouse factor into the motivation to become debt free early? I know you felt enthusiastic about it due to your dad's experience. What about your SO? What got ya'll on the same page?
@MyAfropuff
4 жыл бұрын
Thank you SO much for this video. I've had an itching to pay off my mortgage early and this video has motivated me so much. God bless you.
@TheHumblePenny
4 жыл бұрын
You're most welcome, Grace! 😊
@CS-fb3ss
3 жыл бұрын
Mate, so refreshing to see a good video like this from our part of the world and akin to our financial system. Cheers from Denmark.
@TheHumblePenny
3 жыл бұрын
Thanks a lot! 😊🙏🏽
@rosacrawford2699
4 жыл бұрын
Inspiring video on the very real possibilities of paying off one's mortgage in a shorter term; doing small things which result in a huge shift. Something I think many do not consider. A house is often our largest purchase and we almost periodically pay out this huge monthly outgoing to the lender in rote manner, at their request, without thinking creatively. I've subscribed!
@franklinike5740
5 жыл бұрын
Wow, this video is fire. So inspired and ready to apply these concepts to my life
@TheHumblePenny
5 жыл бұрын
Hey Franklin, Your comment is massively encouraging!! 😊👊🏼. Pleased to see that the knowledge that we easily take for granted is finding some use in your life.
@karolsartoasis4815
4 жыл бұрын
That is a great idea and something I had not taught of was to switch banks during the repayment. Currently I am on a high interest mortgage because I lived in the UK for years and moved back to Ireland it was a struggle to get a mortgage but I am paying back extra but now in a year I am going to go back to the bank and look for a lower interest and take a big chunk of interest off. Brilliant, that suggestion is really a game changer. Thank you.
@jwb4bb
4 жыл бұрын
Love the content! Just a small suggestion, I struggled with the audio quality in this vid. Might be time for a solid mic to reduce the echo in the room. Cheers!
@TheHumblePenny
4 жыл бұрын
Great suggestion, Jay! This was one of our earlier videos 😁. We have since improved the sound on other videos. Glad to hear that you found this useful.
@FULLMOON322
4 жыл бұрын
So let say I don’t make early over payments and save that money, and pay at the end of the year. Example I save up the £100 each month or I get extra money from a side hustle and make a payment lump sum of £3k each year. What impact will that make towards agreement in principle?
@siletamus2016
4 жыл бұрын
Very good explanations and interesting. A friend advised me ages ago to overpay and have managed to reduce our mortgage payment period drastically. Thank you for the tips on reviewing bills. We have also asked the bank to reduce our payment period. I have a couple of questions though, 1) which is better to get the bank to reduce your payment period or to increase it where your minimum monthly repayment is less and you overpay? Would you pay off a larger portion of your principal amount? 2) a side hustle of an extra £1000 a month? Wouldn’t that kill you on the tax? I’m just thinking of how much you would need to earn to net a £1000?
@TheHumblePenny
4 жыл бұрын
Thanks! :) 1) Do either so long as it suits your circumstances. 2) £1k per month - All depends on the type of income and how you're paid (PAYE vs Company), etc. £1k is just an illustration. You can ofcourse work towards making more than that with a focus on yax efficiency
@mushgan71
3 жыл бұрын
I really enjoy your guidelines mortgage free today. It was wonderful. I am in USA . It was very nice to meet you over your channel.
@TheHumblePenny
3 жыл бұрын
Nice to e-meet you, Mushgan! 😀
@Jenthesaint
5 жыл бұрын
This video should have included your exact numbers, mortgage amount, salary, monthly expenses, family circumstance etc so people can compare. Most people in the South would struggle to pay off a mortgage on a small flat in 7 years even if their household income is sizeable.
@TheHumblePenny
5 жыл бұрын
Hiya, Thanks for your comments. I appreciate you watching 😀. We created this video to inspire people and share ideas that they can apply to their lives. We don't believe in comparing with other people's lives per se. That's because everyone's specific circumstances are different. For example, our income has not stayed the same. It has changed materially over 7 years driven by a huge focus on personal growth (something not everyone believes in or is prepared to put in the work to achieve). We have done a video about our income sources, which you can watch. We have also done one on how we save 60%+ of our income. Do please watch that too. This isn't about most people. It's about the person watching this video taking what is important for their circumstances, applying it consistently in order to achieve their own results. When you watch the videos I referred to, I hope things will make more sense. Plus, as much as we Love sharing, some element of privacy is important to us. Hope you understand this.
@oleksuakozak
3 жыл бұрын
Fantastic video. Me and my wife are planning to buy a home next year and these are fantastic tips. In fact I saved it for the day we buy a home and share this video with others. Great video for UK viewer's
@ebbs0000
Жыл бұрын
I stopped smoking transferred the money of a packet of cigarettes everyday into the mortgage account. The difference is incredible. Just keep chipping away at people.
@jamesmacintyre614
4 жыл бұрын
I’m buying some btl property and going to use some of the profits to pay off my own home mortgage .So It doesn’t come out my own pocket and get capital appreciation from the rentals .
@TheHumblePenny
4 жыл бұрын
If you can make a good investment case for BTL, then yes, good move!
@jamaicadiaspora6642
4 жыл бұрын
What's btl mean?
@TheHumblePenny
4 жыл бұрын
But To Let (BTL)
@jamaicadiaspora6642
4 жыл бұрын
@@TheHumblePenny of course it is 🤣
@sage6336
4 жыл бұрын
KEN , I have a better idea to create wealth. Don't over pay on your "mortgage"(ps i say mortgage but strictly you don't have a mortgage the bank does). In fact don't pay any off the principle sum at all, pay interest only and keep the repayments low.Invest the extra money in other properties. Eg we bought another property in 1995 ,it was £45,000 we put up 10% deposit (£5,000) , paying interest only. Its now worth £420,000. We can now sell it and the massive profit will pay off our original mortgage with loads over, a better idea I think than over paying to create wealth . This doesnt include the rent on the property, which covered the interest payments on both houses. Now instead of having one house paid off we a re millionaires
@exerciseisantidote9337
3 жыл бұрын
This is 2021 not 1995 mate. Move along, you older generations had it easier in your days when houses were cheap.
@jeanetteglassel2765
4 жыл бұрын
I didn't refinance because the cost to refinance , in our case, was better to put directly on paying the principal down. We have 14 houses free and clear by "snowballing" mortgage payments. Easy...
@quornmum2573
5 жыл бұрын
Thanks again, I love watching your videos. The wage pretty much just covers expenses and I use all your tricks (shopping around, plant based diet etc). I’ve never thought about overpayments because it didn’t seem worth it for what I can afford but I feel motivated now. Keep up the good work!
@TheHumblePenny
5 жыл бұрын
Thank you! Maybe your focus now should be on making extra money?
@quornmum2573
5 жыл бұрын
The Humble Penny I was thinking the same and have subscribed to your how to write a blog course. Thank you for sharing!
@quornmum2573
5 жыл бұрын
The Humble Penny I was thinking the same and have subscribed to your how to write a blog course. Thank you for sharing!
@TheHumblePenny
5 жыл бұрын
@@quornmum2573 Cool! Give me a shout if you have any questions :)
@SkippaG
4 жыл бұрын
Awesome video bro! Took out 25 yr 270k mortgage in 2016(in London😭) .. its hard to find additional money for overpayments but have seen some great advice on this channel. Need to knock some years off that asap! Subbed and binge watching 👌🏽
@TheHumblePenny
4 жыл бұрын
Skippa G, I TOTALLY get you! 😊. That loan is real and peeps in London lose touch of how big the amount they're borrowing is. £270k is doable though! You need to dream wayyy bigger though and take some more risks (daily progress) and you'll see change. We're creating something pretty special for this January cos we're super passionate about helping people *actually* move forward. These videos are just the beginning. We want to see more and more families *really* move forward. Breaking away from debt is just the beginning and it is possible 😀
@SkippaG
4 жыл бұрын
@@TheHumblePenny 270k is definitely doable for us as a family but the thought of 25 years 😭😭 we need to make some changes for sure. Keep up the great content! 👊🏽
@kkadam96
4 жыл бұрын
This is the best explanation of the mortgage amortization curve I have seen so far. Does it make a different paying a lump sum of eg. 6,000 to your principal each year or making monthly $500 payment each month?
@TheHumblePenny
4 жыл бұрын
Hey S Adam, Thank you! 😀. A lump sum at the start of the year has a better impact because it reduces your principal amount early on and therefore less interest builds up through the year. Key is to pay the lumpsum at the start of the year ideally
@amychurch521
4 жыл бұрын
What an inspiring video! I have just set up an overpayment of £100 per month
@TheHumblePenny
4 жыл бұрын
Excellent work, Amy! 😀👊🏼
@amychurch521
4 жыл бұрын
After reviewing our finances further I have upped it to £250 a month. 8 years 2 months off the mortgage term! 🙌🏻
@darkeroma3141
5 жыл бұрын
Who were you mortgage providers? Most of them tend to cap overpayments unfortunately! Are there any providers that don't cap overpayments?
@TheHumblePenny
5 жыл бұрын
We started with Virgin Money and kept within the overpayments cap of 10%. At the end of the initial fixed rate period, the penalty (cap) dropped off and we overpaid more. You tend to find caps on fixed rate deals. And yes there are providers that don't have a cap. I'd suggest using a broker to find one. Ideally a broker that doesn't charge upfront. With paying off the cap of 10% per year (a lot of money for most people depending on how much is borrowed initially), you can still payoff in a single digit period if that's your goal.
@darkeroma3141
5 жыл бұрын
The Humble Penny Thanks, appreciate the response!
@TheHumblePenny
5 жыл бұрын
Anytime!
@bigbawsdogg
4 жыл бұрын
like any compounding - this is a lot easier when you have low amounts... If your loan is 400+k this is a lot harder to do and you will have to increase overpayment significantly to make a dent. Main lesson should be to live within your means and invest.
@TheHumblePenny
4 жыл бұрын
It's more relevant if you have higher amounts of debt. We paid off circa £380k in total.
@bigbawsdogg
4 жыл бұрын
@@TheHumblePenny I meant principle. 200pounds overpayment on a larger principle (e.g. 450k) is small change and won't make a significant dent as one is compounding on a larger amount naturally. You'll need to overpay more than 500+ to make an equivalent proportional affect on time to repay. Then it become very much becomes an opportunity cost analysis. At the moment I'd be putting everything in investments as mortgage rates are minimal and inflation is eating away at the mortgage anyway.
@TheHumblePenny
4 жыл бұрын
Gotcha! :)
@MsMichaelaM
5 жыл бұрын
Hi Ken! Great video! What is the process for setting up standing orders to overpay on a mortgage? Did you have two standing orders - start and middle of the month? Thanks, M.
@TheHumblePenny
5 жыл бұрын
Hey Michaela, Thank you!! The process is: Call your bank and ask them for the bank details for overpayments to your mortgage account. It will be a Sort Code and Account number. Ask them also for your mortgage reference number if you don't have this already. Then set up 2 Standing Orders: 1) The required payment from the bank. Mine was on 1st of the month. They bank might prefer this to be a Direct Debit rather than a Standing Order. The former is a guaranteed payment to the bank. 2) Set up a Standing Order for your overpayment at the middle of the month using the Sort Code and Account number and reference number that the bank gave you. Set it to be a recurring standing order. That's it. If you have any extra cash intra month, you can simply do a bank transfer to the same Sort Code and Account 😀
@MsMichaelaM
5 жыл бұрын
@@TheHumblePenny Thanks ☺
@mohammedobeid7643
3 жыл бұрын
Excellent video explaining the key concept of interest. Only 7 mins in. Eye opener
@TheHumblePenny
3 жыл бұрын
Much appreciated, Mohammed! 😀
@naomismith4933
4 жыл бұрын
What about the fact that most mortgages penalise you for overpayments?
@TheHumblePenny
4 жыл бұрын
Hi Naomi They only penalise you if you exceed 10% of your total mortgage debt yearly. Not 10% of your monthly payment. The former is a pretty large number for most people. You can also make overpayments at the end of your deal without penalty.
@wololo4761
4 жыл бұрын
If this is a concern, go floating rate to avoid this penalty. For one thing there seems to be relatively little risk of significant rate rises at the moment. Secondly, if you are going to be overpaying more than 10% of the balance in a year you won't be exposed for very long. And finally you can typically switch out of a floating into a fixed at any time with no penalty if it does look like we're going to enter a sustained period of rate rises.
@MrPorshe31576
2 жыл бұрын
Thanks Ken, i've set up my over-payments. I'll let you know how I get on when our fixed comes to an end!
@TheHumblePenny
2 жыл бұрын
👊🏾
@MrPorshe31576
2 жыл бұрын
@@TheHumblePenny if I had know this when we taken our mortgage.....😭🤣
@Ironbuket
4 жыл бұрын
Is anyone else having their OCD triggered because the shelves behind him have wall support brackets and there are holes drilled in the wall, but the shelves are not screwed to the wall? :) 0:10
@TheHumblePenny
4 жыл бұрын
😂😂🤣. I like that you're finding this video very interesting 😉
@Ironbuket
4 жыл бұрын
@@sandimarielavati2354 WOW, thanks for that. I'll ring him right now to come and fit my shelves for me.
@JB__.
Ай бұрын
im about to start overpaying can't wait for my mortgage to go through to start
@TheHumblePenny
27 күн бұрын
Great 👍🏾
@simonbaker6962
Жыл бұрын
This is good advice however you are fortunate in that "CFO by day with over 12 years experience in the investment business. I'm also a Chartered Accountant and hold an MBA from Cambridge University. " certainly provides a sound foundation for paying off a mortgage early. These roles I am assuming pay very well (apologies if I am wrong) so you had plenty of scope to overpay. A very small number of people are not in this situation so you are generally preaching to like minded individuals ie high income families etc. Best wishes to you both.
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