Today is the one year anniversary of my closing. Overall the year has been good, but once again I must admit that I would rather live in a condo or an apartment. Let’s get to the numbers:
- House Cost: $164,900
- Mortgage Amount: $122,290
- Principal Paid: $12,265
- Interest Paid: $5,714.36
- Remaining Balance: $110,025
Oh my, look at how much is being allocated to interest! I am nowhere near as aggressive about paying the house off as I was with paying credit cards, the car loan and student loan. It has been a bit of a struggle/balancing act to determine how much should go towards to the house and how much should go to living life. Getting a roommate has relieved some of the pressure, because I can put the rent towards the mortgage instead of beating myself up each payday that I don’t make an extra payment.
In 1 year, I have only paid an extra $5,222.66 toward the mortgage and will finish in just over 14 years. I really, really want to do it in under 10. Below is the summary for where I starter and where I am.
|Years Until Paid Off||15||14.23|
|Number of Payments||390||370||20 Payments Less|
|Last Payment Date||6/23/2031||9/16/2030||9 Months Early|
|Total Interest||29,620.43||26,874.17||Save $2746.26 in interest|
In the graph you will see that the need has moved just a tiny little bit and for this I am grateful.
The journey to payoff a mortgage is anything but short and sometimes it seems impossible. I remembered when I was in Baby Step #2 I created debt thermometer that I colored in every time I paid off $1,000 to help keep me focused on the end goal. Generally speaking I LOVE progress trackers, so it only makes sense to create one for my house where I can color in the squares as I go. It’s pretty basic, but gets the job done.
What do you do to stay motivated? Do you have recommendations on how I can pay down the mortgage faster?