Just turned 18

rictus123

This is fantastic.

Hippychick

Well done you for thinking about saving as opposed to spending your hard earned money down the pub :T

You will also need money to pay solicitors fees, land registry fees, search fees, mortgage valuation fees. For a 70k property probably budget 2-2.5k.

I am assuming you live at home with your parents so you'll also need money for any furniture etc you aregoing to need. But maybe start collecting bits and pieces now and keeping them safe, also use freecycle to get second hand stuff for free.

In order to know how much to save you will need to make a realistic sustainable budget listing your incomings and outgoings, any surplus you have look to save that. Look into the best rate isa'a and savings accounts available.

Good luck

rictus123

This is fantastic.

barnaby-bear

rictus123 wrote: »

Well right now monthly outgoings are as followed,

£100 digs(yes i live with parents but this covers my packed lunches for work 6 days a week.
£35 a month phone contract
£60 a month diesel

thats the only payments i have to make every month really but thats not budgeting van tax/repairs/presents/the odd night out etc.

Looking at less than £300 a month going out.

Iv just got a credit card, everything i have to pay for will be going on there getting paid off in full each month though to build up my credit rating. Any other ways i can do this to ensure il manage to get a mortgage when i need one?

Set up an automatic direct debit for the minimum payment so you can't miss a payment by forgetting for your CC.
Put yourself on the electoral role at your parents.
Set up a current account with a bank that offers mortgages and run it well, your own bank and their affordability rules are often kinder if they have the additional information of 3 years of well-managed account as extra information.

A buy to let is a burden in terms of legislation and work and risk (what if the tenant trashes the place doesn't pay etc) - if you get a two bed place and have a mate as lodger you can do it tax free under the rent-a-room scheme.

rictus123

This is fantastic.

bargain-hunter-uk_2

rictus123 wrote: »

Thanks for the reply. Sorry but what do you mean get myself on the electoral role at my parents? What will this do? Im with RBS and have been for 11 years, they were happy giving me a credit card with an £800 limit(got accepted straught away) and i have a cash ISA with them. How old/much do you think il have to be earning to get a mortgage?

Electoral role is the council list which registers you at that property and enables you to vote. It acts as a good credit risk benefit as lenders look to see that you are living where you say you are. It shows up on your credit report.

Just go online to your local council webpage and ither register there, or ask for the form, and thats it!

rictus123

Alright ok then will do. Any other advice? Looking to get my own place/poss with my gf of 17 months if things are still going good in 4 or 5 years.

rictus123

Taking this to the top to hopefully get more replies.

bunnydrumming

You could get a cashback card instead of a credit card - one that pays you a little money on all you spend! I have mine set up so it pays it off in full each month - always pay off in full each month because the interest kills you! Martin has posted about cashback cards - well worth it

I managed to save for my first house - it meant i didn't have any holidays abroad for a few years and rarely treated myself but it all paid off. I bought a very small cottage and did lots of work on it and more then doubled the price!

All i can say is save save save and don't buy anything (including a holiday) unless you already have the money in the bank

eileenfromplaistow

Well, you seem to have a good head on your shoulders - well done. I know that Bricklaying is hard work, but you could also give some thought to taking on an extra job, maybe some of the weekend rather than the evening? As you have a van, could you make yourself available as a "man with a van" for people moving odd bits and pieces? There would be insurance implications, but use your assets!

david29dpo

Just like to say its good to hear from someone like you for a change. The very best of luck. (but i dont think you will need much!!)