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

Sunday, November 30, 2008

Monthly Summary: November 2008

Another month has come and gone. I've had plenty of thoughts rattling around inside my head recently, but for whatever reason I haven't been inspired to publish any of them. At the very minimum I am committed to posting these monthly updates. I expect someday I'll return to more frequent entries, but for now it's been nice to take a little break from the blog.

November was not as as much of a challenge for us as October was. However, without any extra income during these fall months, the best we can seem to do these days is to make relatively modest contributions toward the mortgage, when compared to the amounts we were able to save earlier in the year.

The November mortgage payment was the 31st of 180 scheduled payments on our 15-year note, and the 11th since we set our five-year goal.

We began the month with an outstanding balance of $156,185.82. We made an extra principal payment of $1,250, which brought the total amount applied to the debt to $2,190.54 in November. This payment reduced the balance to $153,995.28 by the end of the month.

We're now $26,547 ahead of schedule on our mortgage, and would pay off the loan two and a half years early if we ceased all extra payments at this point.

We saved $125.85 on our November interest, which means our total interest saved since the beginning of the project now stands at $746.61.

The average monthly principal payment required to meet our five-year goal rose again this month to $3,142.76.

With one month remaining in 2008, we must reduce the loan balance by $2,808.22 in December to meet our goal for the first year. I am still optimistic that we can meet this goal, since we anticipate a small amount of extra income next month.

Sunday, November 2, 2008

Monthly Summary: October 2008

I have mixed feelings about our progress in October. On one hand, at mid-month I was unsure if we'd be able to make any extra principal payment at all; and yet, we were able to make a modest payment above and beyond the minimum required amount. But on the other hand, we've definitely lost the extra cushion we once had on our 2008 goal because of the smaller payment this month. It could be a struggle to meet our goal with only two months left in the calendar year.

Last week we made the 30th of 180 scheduled payments on our 15-year mortgage. This was the tenth payment since we set our five year-goal.

At the beginning of October, our outstanding balance was $157,867.95. By adding $750 to our regular monthly principal payment, we reduced the loan amount by $1,682.13, to $156,185.82.

We are fortunate to be over $25,171 ahead of schedule on our loan at this point. We'd pay the debt off two years and four months early even if we abandoned the project right now.

We saved $121.50 in interest during October, bringing our cumulative interest savings to $620.76.

I'm disappointed to see that the average monthly principal payment required to meet our five-year goal rose to $3,123.72.

To meet our debt reduction goal for 2008, we still must bring the balance down by $4998.76, or just under $2500 per month for the next two months. This is within our reach, but any other unexpected expenses could seriously jeopardize our ability to achieve this first-year goal. Controlling holiday spending could be the deciding factor.