1eyeonthefuture
Registered User
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- 85
I did one of these makeovers a nr of years back however circumstances have changed.
My Details:
Age 45
PAYE Worker & Director of current employers with a small shareholding
Income €75,000
Bonus approx. €20,000 PA, of which €5,000 PA single contribution made by business to my pension in addition to that noted below.
Pension: New Ireland Executive Pension
Current Value €195k
Employer Contribution @ €700pm
Current Employee Contribution @ €800pm
Spouse Details:
Age 45
Teacher In position since 1997
Income €74,000
Pension Teachers’ Pension
AVC’s Current annual contributions @ €5,800
Current Value @ €110,000
Moved into mainly equities beginning of 2022...terrible timing
Other:
●3 children, all under 12
●Main PDH – Currently € 90K Mortgage O/S (value circa 500K)
Overpay fixed 10 year 2.9% Ptsb mortgage @ 1000 pm (actual @€680)
●Recently sold rental property - equity realised after costs @ €60,000
●Investment Purchase of Commercial Site / Land – value circa €100K Mortgage free.
● Savings @ €25,000
●Shareholding – currently hold a small % shareholding of business of which I'm a Director which if sold today would be worth approx. €500,000. The value of these shares has grown fantastically over the past 5 years however this cannot be divested until such time my employment ceases or I retire.
No other loans
No credit card debt
I currently have a serious illness insurance policy in place.Also a 4 times death in service policy thru employer.
My wife does not despite suffering from crohns.
We both have life assurance policies in place @€500k each in addition to the mortgage life assurance.
We spent the last 12 months attempting to move home to a larger property which would have left us in debt to the tune of €400k on a €900k property.
Went sale agreed 2 times and both times the vendor took the property off the market. Eventually we had to remove our own house from the market having gone sale agreed.
We got an architect in and have got plans in to change our own current house to give us what we need with the 3 kids getting older.
Cost of works @ €175k - €200k
Query
We have €85k cash in accounts.
Should we get a top up for the balance of between 90k & 115k on the existing mortgage.
Or, is there anywhere to invest this money where we would get a higher rate of return than the cost of getting the full cost of the works refinanced?
- Am I missing anything & is there a different way to do this.?
- Anything else I should be looking at?
Other-
1)We are in a position to increase mortgage payments to 1800 so as to clear the mortgage ASAP and free up money for starting and concentrating on the college fund.
2) will most prob need to change one of the cars in the next couple of years.. Would look to spend circa €15k.
3) In terms of the future and possible injections of capital we are fortunate in that parents have left us very well provided for in the event of thier passing by way of property and cash. Hopefully will not be realised for many years yet but regardless its in the works.
Thanks
My Details:
Age 45
PAYE Worker & Director of current employers with a small shareholding
Income €75,000
Bonus approx. €20,000 PA, of which €5,000 PA single contribution made by business to my pension in addition to that noted below.
Pension: New Ireland Executive Pension
Current Value €195k
Employer Contribution @ €700pm
Current Employee Contribution @ €800pm
Spouse Details:
Age 45
Teacher In position since 1997
Income €74,000
Pension Teachers’ Pension
AVC’s Current annual contributions @ €5,800
Current Value @ €110,000
Moved into mainly equities beginning of 2022...terrible timing
Other:
●3 children, all under 12
●Main PDH – Currently € 90K Mortgage O/S (value circa 500K)
Overpay fixed 10 year 2.9% Ptsb mortgage @ 1000 pm (actual @€680)
●Recently sold rental property - equity realised after costs @ €60,000
●Investment Purchase of Commercial Site / Land – value circa €100K Mortgage free.
● Savings @ €25,000
●Shareholding – currently hold a small % shareholding of business of which I'm a Director which if sold today would be worth approx. €500,000. The value of these shares has grown fantastically over the past 5 years however this cannot be divested until such time my employment ceases or I retire.
No other loans
No credit card debt
I currently have a serious illness insurance policy in place.Also a 4 times death in service policy thru employer.
My wife does not despite suffering from crohns.
We both have life assurance policies in place @€500k each in addition to the mortgage life assurance.
We spent the last 12 months attempting to move home to a larger property which would have left us in debt to the tune of €400k on a €900k property.
Went sale agreed 2 times and both times the vendor took the property off the market. Eventually we had to remove our own house from the market having gone sale agreed.
We got an architect in and have got plans in to change our own current house to give us what we need with the 3 kids getting older.
Cost of works @ €175k - €200k
Query
We have €85k cash in accounts.
Should we get a top up for the balance of between 90k & 115k on the existing mortgage.
Or, is there anywhere to invest this money where we would get a higher rate of return than the cost of getting the full cost of the works refinanced?
- Am I missing anything & is there a different way to do this.?
- Anything else I should be looking at?
Other-
1)We are in a position to increase mortgage payments to 1800 so as to clear the mortgage ASAP and free up money for starting and concentrating on the college fund.
2) will most prob need to change one of the cars in the next couple of years.. Would look to spend circa €15k.
3) In terms of the future and possible injections of capital we are fortunate in that parents have left us very well provided for in the event of thier passing by way of property and cash. Hopefully will not be realised for many years yet but regardless its in the works.
Thanks
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