Monday, July 14, 2008

Mortgage Plan Progress-It's The Teeter-Totter Month

I got the other half of the rent today from my renters with the late fee. Well, sort of the other half. My renters decided that they would rather put all of the utilities in their own name and pay the basic rent instead. We still need to figure out how much they owe me for half of the month's utilities but I will deal with that later.

Since they gave me enough rent to cover the mortgage, I can go ahead with July's extra mortgage payment. I put the bank transfer in motion today but it will take a few days to complete. This extra mortgage payment will be...$1,900! How did I get that much? Well, $1,200 is from my budget plus the extra $100 when I don't have too many emergency bills to pay the previous month plus my stimulus check. I have $400 more from the items I have sold on ebay and craig's list so far but I am going to wait until next month to use that money. I want to get a full $500 from selling my stuff. It's just a goal I have.

The other special thing about this month is that it is the Teeter-Totter month for my mortgage (I just made that up). That's the month when the principle payment is greater than the interest payment. This month $310.91 went to principle and $310.42 went to interest. And the principle will just get bigger and bigger...yea!


Anonymous said...

Congratulations on the milestone. You aren't just making extra mortgage payments are you? You are making those payments to principal right????

Daizy said...

Thank you very much and yes, the extra payments go to principle. The rent covers the regular mortgage payment with interest. (thank you renters!)