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, August 2, 2009

Monthly Summary: July 2009

My wife and I just returned from a week in to the Pacific Northwest, visiting my family. Even though we did not have to pay for lodging, it was a more expensive week than I had planned (food, entertainment, etc). However, we had a very good time, so I'm not regretting it.

Our mortgage payment in July marked the fifth of 120 payments on our 10-year mortgage, and our 19th payment overall since setting our five-year goal.

At the start of July, the outstanding balance was $130,502.88. We added $2,000 extra principal to our regular mortgage payment, which reduced the loan amount to $127,463.07 at month's end. I'm glad to see we've reduced the balance down another notch, into the $120K range.

We saved $52.36 interest in July, which brings our total interest saved over the (short) life of the 10-year mortgage to $137.45. We're $15,637 ahead of schedule on the loan. If we stopped making extra payments now, we'd still retire the mortgage one year and three months early, due to our progress since refinancing in February.

There are now 41 months left in the original 60-month (five year) goal period. Our average monthly payment needed to reach that goal rose slightly to $3,108.86.

We reached another psychological milestone recently. Based on two very similar numbers (either our original purchase price, or the current estimated market value of our house), we now have more than 50% equity in our home. In other words, we owe less than we own!

4 comments:

Ben said...

Congratulations! I enjoy your updates.

Ben

change is a good thing said...

You are doing so well! It's always fun to check in and see your progress! Over 50% equity is VERY exciting! Congratulations!

RainyDaySaver said...

I've just found your blog, and I have to admit, I'm a bit jealous. We've just purchased a home, and after just one mortgage payment, I decided we would also pay off our 30-year mortgage as quickly as possible with extra principal payments. If I can shave 10 years off of it, that would be sweet.

The Executioner said...

Ben, Change: Thanks for the encouragement.

RainyDaySaver: If you are serious about paying down your mortgage early, allocate as much as you can early on in the term. Prepayments in year 1 make so much more impact on the bottom line (total interest paid) than prepayments in year 15.