What the FTBs think.

StevieJ

wolfman wrote: »

Living in London, I'll be saving more than £19k. I reckon around a £50k first payment and I'll be happy. The more the better.

Making sure I've got as many ways of cutting costs as possible. Got a few friends (solicitors) that can help reduce fee's when I do buy. Renting at the moment as cheap as possible, and eventually with the missus to halve the cost of renting. That way we'll hopefully be able to save into 4 figures each month.

Then it's just a matter of waiting. I'd rather keep paying rent (to a friend of mine) than to a random landlord, or buying. As the prices drop it just means I can get a flat that much closer to a rail link, and in a closer area to where I'd ideally like to live one day. Plus the longer I do wait, the smaller the mortgage I'll need (less to pay off).

I'll cut back on eating out, I've already cut back on drinking , I don't do coffee's. I won't let it affect my holiday budget though, always got to have one or two holidays a year to get away from it all.

Looks like you are depending on your friends to help you on to the first rung of the ladder.

lostinrates

Great post mr dt.

Eating out; well, we generally eat out a lot less. There are great retaurants around but the really good one are expensive, and the mediocre ones I cook better than . Also we compare it, inevitably, to the cost of eating out in when we were living in Italy. I imagine when DH is in Pari we'll eat out more when I am visiting. DH doe eat out very regularly through work.

Alcohol. We are not heavy drinker but both like wine. If we come across a really good wine for a good price we do buy six if it will lay down. That we have decided however to cut this out. but good for us too, not a huge sacrifice i suppose.

Holidays. We had a holiday lat May in UK, five days, most expenive holiday we have taken together. In Italy we made regular weekend jaunts, considering it an investment in our experiences, lol. I'm less fussed about holidays in the main, DH travels with work. We do keep meaning to look at CC with airmiles as a bonus, then I could go for just the price of discounted flights. Harderto get away ATM with the animals.

Children I've dicussed too much here. .

Coffee out, only if I have too..ie with a friend. Easier than bringing people home, I tend to drink an espresso only. I think that a lifestyle choice a much as a saving though.

Pets are a bit of a drain for us, but honestly, neither DH or I would be without them. I did pass on an extra horse I really love this year though: purely to save money for the house, so I guess I half tick this one.

Shopping habits, definitely. Partly personal too though. I used to get a lot of clothes. I have considered selling ome of my 'too old for now' clothes but don't feel ready for personal reasons. I do howver think I'd till spend a lot more without the more presing need to save for the house.

married, no. Cost us about £100 quid and is priceless.

Car: too rural to be without. I do use it A LOT les though. Cheaper than train tickets to many places for me though.

as mr dt, our property expectations are risen. We hope now to miss out the ladder part entirely. Thus we are expecting a lot from our home. I'm afraid should that plan be followed we will have bathrooms and bedrooms a plenty and a double garage to boot.

Always tried to be green with energy etc, hopping habits chang
ing though, definitely.

Our target save is INTR £175k

Interesting article.

moanymoany

I think that is incredibly noble of people to say they will give up things like eating out and holidays and weekends away. And, the people who are taking packed lunches to work and are sacrificing their 'posh' coffee must be so committed to saving a deposit they deserve help from - well someone! :rolleyes:

I myself would be prepared to downgrade to Next or Zara to buy my clothes, and I think most people would cut down their champagne to three times a week, one has to make cuts to achieve ones goals.

dudleyboy

hostman wrote: »

The figure is spot on.

I'm a first time buyer, sale is going through right now and we have a deposit of £18,700, representing 15%.

I've set myself the same savings target... although it'll represent 30% when I buy.

Max_Headroom_3

Ian_Griffiths_Halifax wrote: »

From Mortgage Introducer magazine



As a result first time buyers are now making more sacrifices to enable them to save for a home. According to research conducted last year before the credit crunch over half of first time buyers (57%) were not prepared to make any sacrifices to get onto the property ladder, whereas now less than one in ten share this approach (9%). Also, the number of people who are prepared to forego their foreign holiday (50%) and eating out (53%) has doubled since last year.

That paragraph, and particularly the part I've highlighted, sum up for me exactly why we're in this huge financial mess. Too many people who simply want it all, and will have it all even if they have to borrow to achieve.

Insane.

If this credit crunch is what it takes to teach people that they aren't just "entitled" to everything but have to make it happen by their own endevours then it won't all have been in vain, however painful.

dudleyboy

"It is vital that the Government and the housing industry continue to offer simple, clear and innovative products that provide first-time buyers with the essential financial support needed to help them take their first steps onto the property ladder."

Yes, by halving the asking price.

harbinger13

For the savers - here is something to consider

City AM's bill of the week - 30 people 6909.75 - dated 18/9/08

City AM’s bill of the week - £7582.50 by 6 hedgies on Champagne - dated 28/08/08

together they could have saved nearly £15K - all of this money went into poo and pee (after digestion of course). Talk about spending money.

lostinrates

moanymoany wrote: »

I think that is incredibly noble of people to say they will give up things like eating out and holidays and weekends away. And, the people who are taking packed lunches to work and are sacrificing their 'posh' coffee must be so committed to saving a deposit they deserve help from - well someone! :rolleyes:

I myself would be prepared to downgrade to Next or Zara to buy my clothes, and I think most people would cut down their champagne to three times a week, one has to make cuts to achieve ones goals.

I am absolutely in accord with you but i think one has to consider people's desired outcomes. Some people want not only have enough to live on, but to leave some behind too...for children etc, other's are happy to die solvent but only just.

If I don't have children my spend will up....what would I be saving for, so long as I dn't go into debt by the time I'm dead I'm ok . If I were one of these types then I'd probably unwind enough to buy a coffee everyday. That said, I'd probably also rent for life, giving myself, while no 'owned home' some flexibilty and someone else's money to do the maintaining of structure.

As it is, we've gradually unwound in saving over the last year or so, and are tightening up agan now, with slightly different criterior. as we have played a long game, so to speak, I've realised that we can, just, afford to have limited amounts of non essential spend. I'm never going to put a flat screen on hire purchase, it would not for me be fun, but if we can stash aside from the stash for a holiday or a night out then we can, and perhaps should. I think the only real issue with this is when one expects help for one's spending decisions.

wolfman

StevieJ wrote: »

Looks like you are depending on your friends to help you on to the first rung of the ladder.

Eh? In what sense?

Having solicitors as friends is helpful, but that's not a dependency. It'd save me some legal costs when buying, nothing more. Given that I plan on saving £50k, not saving on legal costs aren't exactly gonna break the deal.

As for renting at a friend's flat I didn't mention anything about cost. I'd be paying the same if I rented elsewhere, no mates rates. As mentioned I'd just rather my money went to my friend, than a buy to let landlord trying to make a profit out of me.

Moving in with the missus isn't a dependency, more an eventuality. It helps her more than me as I can save quite comfortably at the moment. And if I was by myself, I'd still buy a flat.

GDB2222

According to research conducted last year before the credit crunch over half of first time buyers (57%) were not prepared to make any sacrifices to get onto the property ladder

Was that the single biggest factor leading to the house price bubble, or was it the willingness of lenders to go along with it?