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

Friday, July 24, 2009

A Debt-Free Lifestyle

Earlier this year I wrote about a friend who recently paid off his own mortgage. I saw him last week and asked him how he is enjoying his new debt-free lifestyle. Although he's only been without a mortgage payment for three months, he's already taken advantage of the situation. The amounts that would have been allocated to his old mortgage during June and July were instead used to pay for a new on-demand hot water heating system, which supplies water for his personal use as well as to the radiant heating system in his house (replacing his old boiler). This should gain him some energy efficiency and bring down his utility expense in the winter.

During the month of August, he is taking three weeks off, unpaid, to travel and visit family. His company allows its employees to voluntarily take unpaid time during their slow summer season (between Memorial Day and Labor Day). Most of them take a day or two here and there. He said there was a bit of jealousy when some of his co-workers found out that he was taking three full weeks. I have to admit, I'm a little jealous myself. But to that, I say: Pay off the debt, and enjoy the rewards of your hard work! We will be there someday too.


Daizy said...

I love hearing about other people who have reached the other side of the mortgage mountain. I can't wait to get there!

ashley said...

Wow, three weeks vacation sounds great! I can definitely imagine how other people would be jealous though... but he already put in probably more hard work than they have!

Dreamer said...

He has a nice balance if he can take unpaid leave, for most people there is no chance of taking unpaid leave even if they wanted to - if I had a job that I could take unpaid leave I would think that it wouldnt be so bad - thats what frustrates me about the job, its "all or nothing".

The Executioner said...

Daizy, I also like to hear about life on the other side. It helps keep me motivated.

Ashley, he has been working toward paying off his mortgage for 10 years. I would say he's put in plenty of hard work.

Dreamer, I completely agree with you. My company has all but eliminated part time positions. It's a shame that people are expected to give all of themselves to a company, or nothing at all.

change is a good thing said...

Thanks for sharing! It's great to hear that he is taking advantage of his new position and enjoying it. He's really set him self up to be the master of his domain. Congratulations to your friend! :) May we all get there someday!

thriftylittleblog said...

What great motivation. I can't imagine what I would do saving so much.