Mortgage free or car?
Discussion
Interesting dilemma.
Assuming I don't overpay the mortgage I have ten years to go.
Assuming I keep both current cars and over pay the mortgage by the effective amount I'd has to spend on two replacement cars then in 5-6 years could be mortgage free.
I'd assume in 5-6 years time my 330d would be showing 250k ish miles and the wife's maybe 200k miles.
Head says that's the best thing to do would be mortgage free in forever home well before 40.
Clearly after mortgage free I could then choose to buy any car I wished as a reward and if I choose to spend what I had done on mortgage payments so could be rather special.
Is it worth waiting? It's not like I'm in a car which I don't desire currently but clearly there will be cars which I'd like now but by the time in mortgage free they may no longer be a viable choice due to family size or who knows what reason.
So this is a general gassing topic not finance so what's people's views. Ideally from those who have been in that situation or are in this situation rather than those who have yet to start the whole process.
Cheers
Assuming I don't overpay the mortgage I have ten years to go.
Assuming I keep both current cars and over pay the mortgage by the effective amount I'd has to spend on two replacement cars then in 5-6 years could be mortgage free.
I'd assume in 5-6 years time my 330d would be showing 250k ish miles and the wife's maybe 200k miles.
Head says that's the best thing to do would be mortgage free in forever home well before 40.
Clearly after mortgage free I could then choose to buy any car I wished as a reward and if I choose to spend what I had done on mortgage payments so could be rather special.
Is it worth waiting? It's not like I'm in a car which I don't desire currently but clearly there will be cars which I'd like now but by the time in mortgage free they may no longer be a viable choice due to family size or who knows what reason.
So this is a general gassing topic not finance so what's people's views. Ideally from those who have been in that situation or are in this situation rather than those who have yet to start the whole process.
Cheers
Pay the mortgage off. You are in exactly the same position as me. I'm driving a 13 year old car at the moment. Although I could afford a much newer car I consider it to be a much better proposition to overpay my mortgage and in ten years time when its paid off I will get the car I really want. Also with interest rates so low overpay whilst you can and you will save a shed load of money in the long term because rates will inevitably go up at some point.
Same position as you... Could sell the cars, drive bangers, no savings, no holidays, miserable as f
k, kids will hate me and be mortgage free in about 3 yrs. Decision was to go with nice holidays and cars whilst the kids are young.. After all the mortgage is insured and I could be dead tomorrow.
k, kids will hate me and be mortgage free in about 3 yrs. Decision was to go with nice holidays and cars whilst the kids are young.. After all the mortgage is insured and I could be dead tomorrow.
When my wife's mother passed, we were gobsmaked to be left a substantial amount of money. I was thinking of new cars but my wife had other ideas. We paid off the mortgage and I can honestly say it was the best decision ever. When the recession really hit, it was a great comfort and we thanked ourselves lucky not to be one of the poor souls who were worried sick about losing their home.
i would say, if you have chance to pay it off then do so - then sit back and relax!
i would say, if you have chance to pay it off then do so - then sit back and relax!
Im in a similar position.As soon as I sell my current car I will have around £45k to buy myself a very nice motor which I have really being looking forward to to be honest.But with the same amount of money I could virtually pay off my mortgage although I would then have to buy myself a shed to drive.
Most people I speak to (mainly non petrolheads) say I would be stupid to spend that much on a car and that I should pay the mortgage and then would then soon be able to save for a nice car again.Part of me agrees with this as cars are a huge cost,even a waste of money these days.
Then there is the other side of the arguement.You only live once,you could die tomorrow,enjoy life while you can etc etc.I love cars as much as anyone and my mortgage repayments are very low but like the OP it would be great to be mortgage free while still in my thirties.
Most people I speak to (mainly non petrolheads) say I would be stupid to spend that much on a car and that I should pay the mortgage and then would then soon be able to save for a nice car again.Part of me agrees with this as cars are a huge cost,even a waste of money these days.
Then there is the other side of the arguement.You only live once,you could die tomorrow,enjoy life while you can etc etc.I love cars as much as anyone and my mortgage repayments are very low but like the OP it would be great to be mortgage free while still in my thirties.
Nedzilla said:
Most people I speak to (mainly non petrolheads) say I would be stupid to spend that much on a car and that I should pay the mortgage and then would then soon be able to save for a nice car again.
I say you it may be a bad idea lumping all the free cash into the mortgage! Paying off debt is obviously ideal but like you say, mortgage repayment is relatively low, no other risks involved, anytime you like you could sell the car and easily get 80%+ of the money back should you ever require this. Once you pay into a mortgage or a large loan you can't really get that free cash back! Another way to put it, spend 45k and buy a nice db9, after a year sell it and put the money into the mortgage! (might only sell it for 40k or price may even sneak a profit if value appreciates). That way you can do both, however if the money goes in first then a db9 may be a long way away!
Seems paying it off sooner than later is the consensus so far.
The only thing I'd be cutting back on would be cars. Holidays skiing etc eating out clothes gadgets wouldn't be cut to achieve that.... I may do some calcs to see if I cut these back too how much impact that could have.
Note the cars of choice once mortgage free would not be Diesel big fast petrol.
The only thing I'd be cutting back on would be cars. Holidays skiing etc eating out clothes gadgets wouldn't be cut to achieve that.... I may do some calcs to see if I cut these back too how much impact that could have.
Note the cars of choice once mortgage free would not be Diesel big fast petrol.
Nedzilla said:
Im in a similar position.As soon as I sell my current car I will have around £45k to buy myself a very nice motor which I have really being looking forward to to be honest.But with the same amount of money I could virtually pay off my mortgage although I would then have to buy myself a shed to drive.
Most people I speak to (mainly non petrolheads) say I would be stupid to spend that much on a car and that I should pay the mortgage and then would then soon be able to save for a nice car again.Part of me agrees with this as cars are a huge cost,even a waste of money these days.
Then there is the other side of the arguement.You only live once,you could die tomorrow,enjoy life while you can etc etc.I love cars as much as anyone and my mortgage repayments are very low but like the OP it would be great to be mortgage free while still in my thirties.
OK so split the difference, 22.5k on a toy to drive and 22.5k off the mortgage......Most people I speak to (mainly non petrolheads) say I would be stupid to spend that much on a car and that I should pay the mortgage and then would then soon be able to save for a nice car again.Part of me agrees with this as cars are a huge cost,even a waste of money these days.
Then there is the other side of the arguement.You only live once,you could die tomorrow,enjoy life while you can etc etc.I love cars as much as anyone and my mortgage repayments are very low but like the OP it would be great to be mortgage free while still in my thirties.
benzito said:
Nedzilla said:
Most people I speak to (mainly non petrolheads) say I would be stupid to spend that much on a car and that I should pay the mortgage and then would then soon be able to save for a nice car again.
I say you it may be a bad idea lumping all the free cash into the mortgage! Paying off debt is obviously ideal but like you say, mortgage repayment is relatively low, no other risks involved, anytime you like you could sell the car and easily get 80%+ of the money back should you ever require this. Once you pay into a mortgage or a large loan you can't really get that free cash back! Another way to put it, spend 45k and buy a nice db9, after a year sell it and put the money into the mortgage! (might only sell it for 40k or price may even sneak a profit if value appreciates). That way you can do both, however if the money goes in first then a db9 may be a long way away!
Jasandjules said:
Nedzilla said:
Im in a similar position.As soon as I sell my current car I will have around £45k to buy myself a very nice motor which I have really being looking forward to to be honest.But with the same amount of money I could virtually pay off my mortgage although I would then have to buy myself a shed to drive.
Most people I speak to (mainly non petrolheads) say I would be stupid to spend that much on a car and that I should pay the mortgage and then would then soon be able to save for a nice car again.Part of me agrees with this as cars are a huge cost,even a waste of money these days.
Then there is the other side of the arguement.You only live once,you could die tomorrow,enjoy life while you can etc etc.I love cars as much as anyone and my mortgage repayments are very low but like the OP it would be great to be mortgage free while still in my thirties.
OK so split the difference, 22.5k on a toy to drive and 22.5k off the mortgage......Most people I speak to (mainly non petrolheads) say I would be stupid to spend that much on a car and that I should pay the mortgage and then would then soon be able to save for a nice car again.Part of me agrees with this as cars are a huge cost,even a waste of money these days.
Then there is the other side of the arguement.You only live once,you could die tomorrow,enjoy life while you can etc etc.I love cars as much as anyone and my mortgage repayments are very low but like the OP it would be great to be mortgage free while still in my thirties.
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