I Raised £15,000 To Help Reduce My Mortgage

Popping Champaign

What a monumental day it is, indeed! I’ve finally reached my target of raising £15,000.

I officially set off on the quest of raising £15k in order to reduce my mortgage debt on the 16th April, 2007, and it officially ends today, 10th September 2007. That’s 137 days (4 months and 15 days). I actually gave myself 5-6 months so I’m genuinely really pleased with my progress.

Quick recap of my project

The Mission: To raise £15k so I can reduce my mortgage by enough to switch it to a repayment policy, with the monthly rent covering the monthly payments. You can read more about when, where, why and how from the very first entry of this project, I’m Going To Reduce My Mortgage By £15k.

28th April 2007 – I Raided My Piggybank To Help Pay My Mortgage

19th April 2007 – I’m Selling Unwanted Crap On Ebay To Help Pay My Mortgage

4th May 2007 – I’m Using Online Affiliate Marketing To Help Pay My Mortgage

8th May 2007 – Results From Selling Random Junk On Ebay

1st June 2007 – I Just Sold The Love Of My Life To Help Pay My Mortgage

10th June 2007 – I Got A Part-Time Job To Help Pay My Mortgage

17th June 2007 – I’m Using My Savings To Pay My Mortgage

5th September 2007 – I Freelanced My Skills To Help Pay My Mortgage

The Financial Breakdown

Here’s the final breakdown of how I managed to raise the £15,000.

Reduce My Mortgage Graph

Ok, some of you maybe noticing the donation entry of £71.77. Ok, I confess, I cheated a little. I was a little shy of the £15k I wanted to raise, so I made a charitable contribution to myself. However, I always said I wanted to raise approximately £15,000- being £71.77 shy is no biggie, right? Right.

Using the the money to reduce my mortgage by £15,000

Ok, so now I’ve raised the money I wanted, I’m going to use the entire amount to lower my mortgage. I’m going to contact my lender, Northern Rock, next week and make the payment. While making the payment, I’ll instruct them to change the mortgage from a interest-only policy, to a repayment policy.

Mission accomplished :)

Thanks to those that showed their support

I would just quickly like to say a big thank you to everyone that followed me through this journey and showed their support. It was more than encouraging.

I hope somewhere along the line some of you learned something, or perhaps even got inspired to start your own project. If so, good luck, and I’d love to hear about it…

6 Comments- Join The Conversation...

Guest Avatar
Badger 10th September, 2007 @ 11:17

Well done buddy, go and piss it up the wall having a good time. lol,
Get another property man its the only way to go. Its all about the asset


Guest Avatar
V 10th September, 2007 @ 15:58

Hey M,

Well done!

Now take that 15k and put it into a 100k 1 bed property (flat)!

They will give you the best returns on your investment and the liquidity on flats is always good.

Make sure to choose a good area where the demand is good(but I am sure you know that already)!

Good Luck.


Guest Avatar
Aisha 11th September, 2007 @ 08:44

Wow, Good for you! I honestly think you should take a Grand out of that and give it to a charity, then spend the remaining money investing in property :) !

Why not give someone else who might be needy, a reason to smile while you smile about your next investment? :)

In any case jaani, you worked hard and the reward has definitely been worth it! Keep smiling.

*High Five*

Guest Avatar
Badger 11th September, 2007 @ 17:21


Guest Avatar
stephanie 11th September, 2007 @ 20:32

I have just learnt recently that its better to have an interest only mortgage and pay off amounts (the mortgage has to be a flexible one). The theory, in a repayment mortgage you don't touch the capital normally for the 1st half of the mortgage as you're just paying interest. If you take an interest only mortgage, pay the interest each month and then make lump sum payments off the capital - thus reducing the capital amount outstanding immediately and reducing interest only payments - everyones a winner. You have to be strict with making the payments each month. The best advice is buy another property. If you gain 10% increase on one property in capital in one year then you double this with 2. Food for thought - well done, you should be proud of your acheivement!!

The Landlord Avatar
The Landlord 11th September, 2007 @ 23:38

Hey Stephanie,

Thanks for your thoughts. You've definately given me something to think about.

I have to admit, i'm swaying towards the prospect of purchasing another property. So tempting.

The only reason I wanted to switch to repayment was so I slowly reduce the mortgage each month. At the moment, with interest-only, all i'm gaining is equity (as long as the value of the property increases). With repayment, I will gain both the equity from a value increase, and I will be reducing my mortgage, without having to make lump sums.

Once again, many thanks!


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