Progress to Date

  • Original Loan Amount: $204,000.00
  • Balance at Beginning of 5-year Goal (1/1/08): $188,983.82 @ 6.00%
  • Balance at Refinance in February 2009: $148,000.00 @ 4.625%
  • Outstanding Balance: $0.00 (PAID IN FULL!!!)
  • Latest Payment Date: April 2011
  • Latest Additional Principal Amount: $17,623.22
  • Amount Ahead of Schedule (since refinance): $121,462
  • Time Ahead of Schedule (since refinance): 7 years 10 months
  • Interest Saved Last Month: $23,972.48
  • Total Interest Saved: $28,435.55 ($1,037.74 on original mortgage; $27,397.81 on current mortgage)
  • Months Remaining in 5-year Goal: 20
  • Average Monthly Principal Needed to Meet Goal: N/A (Goal achieved)
  • Progress List Explained

Tuesday, September 30, 2008

Monthly Summary: September 2008

Goodbye, September. Goodbye, summer. Hello, autumn colors and baseball playoffs.

Without any extra income forecast in our budget for October and November, we made a smaller-than-normal extra principal payment in September. This keeps a buffer in our bank account while still allowing us to make another modest dent in the mortgage balance.

The September payment was our 29th of 180 scheduled payments on our 15-year loan, and the ninth since we set our five-year goal.

We started the month with a balance of $160,287.98. A $1,500 extra principal payment when combined with our regular monthly principal amount brought the total principal payment to $2,420.03 in September. The outstanding balance fell to $157,867.95.

We are over $24,299 ahead of schedule on the mortgage. If we abandoned this project now and made minimum payments for the duration of the term, we'd still pay off the loan two years and four months early.

This month we saved $113.43 in interest. To date we've avoided $499.26 in interest payments.

The average monthly principal required for us to meet our five-year goal rose slightly to $3,095.45, as we didn't match the amount required from last month. However, despite our underachieving September, we're still in good shape to meet our goal of a $37,796.76 reduction in principal in 2008. We have three months left this year to bring the balance down another $6,680.89, which amounts to $2,226.96 per month. This is consistent with the smallest total principal payments we've made during the past nine months, so I feel confident we can achieve our goal for Year One.

We're going to watch every penny over the next few months to stick within our budget. After nine months of our more frugal lifestyle, it's becoming easier and easier to resist the desire to spend.

3 comments:

Daizy said...

I've been paying down my mortgage for 9 months too and I agree that it is getting easier and easier to spend less and focus on the goal.

Great job on your mortgage progress!

change is a good thing said...

You are doing so well!! It's always exciting to see the updates. I have 70% of the cash I need to pay the loan due to my parents and if I really push it I think I can add the final 30% by April and pay the entire $20,000 off to them then rather than splitting it up over the next 2 years. I so desperately want this loan (monkey) off my back that I think I just might be able to do it!

Always inspiring to check in on you and see how you are doing. Great work! ;)

The Executioner said...

Getting rid of debt is such a good feeling.

Having absolutely NO DEBT to our names is going to be great. I can't wait!

I salute both of you on your own progress.