It’s Mortgage Freedom Day. Time to celebrate?

Mortgage Freedom Day. It has a nice ring to it, doesn’t it? Think about that for a second. Mortgage. Freedom. Day. Well, if you’re a new borrower, then today’s the day. According to Halifax, April 19 is when you’ll have earned enough to pay off the annual cost of your mortgage. It works like this: based on the average annual mortgage repayment cost of £7,584 and the average net annual income of £26,023, Halifax has calculated that homeowners who took out a mortgage in the last three months of 2015 will have now earned enough on average to cover their mortgage payments for the rest of 2016. It is worked out on the basis that all earnings from January 1 are devoted to mortgage payments until these annual payments have been paid in full. Mortgage Freedom Day this year occurs just a day later than in 2015 and is the result of average annual mortgage repayment edging up by £17 during the year.