Advice for clueless seller desperate to move and no deposit

elliewild

Thanks for all of your support! last time i came on here everyone was really quite cruel, its nice to get a little support.

birduk

Can you re-do your SOA? I am pretty sure that £24500 does not equal a monthly take home of £1200? Can you please clarify?

elliewild

Statement of Affairs and Personal Balance Sheet
Household Information
Number of adults in household........... 2
Number of children in household......... 0
Number of cars owned.................... 1
Monthly Income Details
Monthly income after tax................ 1423.47
Partners monthly income after tax....... 800
Benefits................................ 0
Other income............................ 0
Total monthly income.................... 2223.47
Monthly Expense Details
Mortgage................................ 350
Secured/HP loan repayments.............. 109
Rent.................................... 0
Management charge (leasehold property).. 0
Council tax............................. 101
Electricity............................. 0
Gas..................................... 80
Oil..................................... 0
Water rates............................. 23
Telephone (land line)................... 27.5
Mobile phone............................ 10
TV Licence.............................. 12.08
Satellite/Cable TV...................... 0
Internet Services....................... 22.5
Groceries etc. ......................... 70
Clothing................................ 0
Petrol/diesel........................... 100
Road tax................................ 2.91
Car Insurance........................... 30
Car maintenance (including MOT)......... 0
Car parking............................. 0
Other travel............................ 0
Childcare/nursery....................... 0
Other child related expenses............ 0
Medical (prescriptions, dentist etc).... 0
Pet insurance/vet bills................. 0
Buildings insurance..................... 0
Contents insurance...................... 0
Life assurance ......................... 0
Other insurance......................... 0
Presents (birthday, christmas etc)...... 0
Haircuts................................ 5
Entertainment........................... 0
Holiday................................. 0
Emergency fund.......................... 0
Total monthly expenses.................. 942.99

Assets
Cash.................................... 0
House value (Gross)..................... 80000
Shares and bonds........................ 0
Car(s).................................. 5000
Other assets............................ 0
Total Assets............................ 85000

Secured & HP Debts
Description....................Debt......Monthly...APR
Mortgage...................... 81000....(350)......2.49
Hire Purchase (HP) debt ...... 6000.....(109)......0
Total secured & HP debts...... 87000.....-.........-
Unsecured Debts
Description....................Debt......Monthly...APR
Barclaycard....................2211.32...52........19.9
Student Overdraft..............2000......0.........17
Natwest Loan...................1400......109.......12.9
Total unsecured debts..........5611.32...161.......-

Monthly Budget Summary
Total monthly income.................... 2,223.47
Expenses (including HP & secured debts). 942.99
Available for debt repayments........... 1,280.48
Monthly UNsecured debt repayments....... 161
Amount left after debt repayments....... 1,119.48
Personal Balance Sheet Summary
Total assets (things you own)........... 85,000
Total HP & Secured debt................. -87,000
Total Unsecured debt.................... -5,611.32
Net Assets.............................. -7,611.32
Created using the SOA calculator at www.makesenseofcards.com.
Reproduced on Moneysavingexpert with permission, using IE browser.

elliewild

For those who might be in my position, the message seems to be to wait and save. there are a few who might offer 95% mortgages but really youre looking about 10-15%

So heres my plan:
pay everything into my credit card and try to pay it off in 3 months
open an ISA (find the best interest) and start whacking all my money into that.
Meanwhile sell on ebay/carboots etc for extra income (and im gonna mark some exams to bring in more money) and generally cut down on regular spending.

then by the end of the year i'll have paid off all debts (finally!) i will get a pay rise in Oct, and de-clutter by selling things and have a big deposit! fingers crossed.

i hope this helps others in a similar dilema!

gauly

elliewild wrote: »

then by the end of the year i'll have paid off all debts (finally!) i will get a pay rise in Oct, and de-clutter by selling things and have a big deposit! fingers crossed.

I'm not sure you will get a pay rise this October - aren't teachers part of the public sector pay freeze?

Radiantsoul

gauly wrote: »

I'm not sure you will get a pay rise this October - aren't teachers part of the public sector pay freeze?

Yeah, but teachers are on a payscale and move up one level for the first five or six years. This will continue, it is just the cost of living part which is frozen.

elliewild

gauly wrote: »

I'm not sure you will get a pay rise this October - aren't teachers part of the public sector pay freeze?

yes i'm only in my 3rd year of teaching so luckily it will go up. My husband's wage will also hopefully go up when he finishes his training as a despensing tech. I've but in for marking in summer so hopefully this will bring in an extra 500. Also put down for census collecting as an extra.

The only problems is that i keep seeing houses i really like, within my budget but with no deposit i cant do anything. i'll have to turn off them house alerts to my email and get selling my stuff!

Catblue

Yep, stop looking on rightmove for the moment. It will only torment you.

Sounds like things are moving forward now - I was concerned about your husband's salary but it sounds like he is just finishing his training so his salary will increase soon. Good news.

This time next year you will be in a much better position. Debts all paid off and some savings behind you. And if house prices do plummet this year, then that is GOOD news for you. You want to move to a better house in a better area so lower prices will help you to make that jump. So long as you can clear any negative equity on your own place and have a reasonable deposit of course. Of course your better salaries will help you get a better mortgage by then.

Good luck with it.

elliewild

Just for those who are in my position, my steps for starting a deposit:

1. Pay off all debts asap
2. check the market for the best rate on ISA's for deposit money
3. set up standing order (once debt cleared) to ISA each month
4. Cut down day to day spending using a spending diary (list everything spent and see where you could cut down)
5. Make money, ive been painting some pictures and putting them on ebay. also been selling my stuff - less to move when the time comes. been making use of charity shops etc to buy and sell for greater profit.
6. take on more work, saturday job/overtime etc i put my name down for census work this year, and extra marking in summer (im a teacher)
7. loans from friends or family at low/0% interest to boost deposit (warning: set this up properly so that no fighting starts!)

hopefully this will help you on your way to a big deposit, and if you need to buy anything in the meantime, check on freecycle first!

Good luck everyone in my position, and thanks to all who replied.