Overpaying mortgage R Saving

[decembersal]

Hi Guys,
In the current climate would it make more sense in ur opinion to up our mortgage repayments by an extra 500e (maths: tracker: interest rate: ECB + .95%; term: 24 years; loan amount: 240k) or save this extra cash with a view to saving a deposit to trade up in a year or so? Many thanks!

 

[chlipps]

i suggest that you save a nest egg first so that if you lose job that you can pay mortgage for a year or so... ensuring saving with best interest rate available

high probability that dirt will increase in the budget so provided you have some savings then maybe better off to reduce mortgage capital as gain from interest will be low if dirt increases further

 

[minion]

I agree. If dirt goes up you might as well start clearing down the mortgage.
After you have built up a nest egg of course.