tanmaysnv
Contributing Member
Cash: $ 9.15
Posts: 44
Joined: 06 Oct 2009
Location: Indore
|
| Should We Pay Off Loan And Increase Mortgage Payments. |
 |
|
The following is a rough outline of our situation.
We currently have an outstanding Credit Union loan of 4,500 on the car and I have around 5,000 in my C.U. account. Current gross repayments are 300 per month.
Our mortgage has about 4 years left on it and we're repaying a little over 300 per month.
We also have about 14 years left on a holiday home mortgage and we're repaying in the region of 700 per month on that.
Both mortgages are on variable rate with PermanentTSB and, due to their recent rate hikes, I'm thinking of paying off the car by transferring money from my Credit Union savings, and then putting that 300 towards the mortgage in extra payments, to shorten the term.
As well as this, we have around 9k in savings. We're hoping to do renovations and put on a sunroom etc., in a few years time. I don't know how much this will cost (maybe 40k or thereabouts). And we're also thinking of externally insulating the house in the near future. I reckon that would cost about about 7k, nett of the grant.
I'm interested in hearing Members' advice on all of this.
Is paying off the car and increasing mortgage payments a good idea? Should we hold off on the insulation till we do the work on the house? Is there a risk that the grants won't be there in a few years? Or should I do something else entirely?
Thanks in advance.
|
