How do you do it??

Greenhalgh

It seems impossible...the more I think about it, the more I wish I had started scrimping and saving every penny from day 1 of employment.

As a single person earning £17k a year, is it possible to eventually own your own house? or am I being silly??
Everyone I know with a mortgage has a partner, so they just live off one wage and put the other towards the mortgage.
I'm 25, no debt, good credit. I am currently renting while trying to run a car and I've been making major efforts to save but I don't seem to be getting anywhere significant.

Example: I'd be aiming for a house which cost about £80k,
so that's a £20k deposit required, 60k mortgage, then fees etc..

I can save an average of £300 a month.
So probably be 30y/o+ by the time I get the deposit together.
About 50 by the time the mortgage is paid off?
Is that reasonable?

[Deleted User]

Greenhalgh wrote: »

It seems impossible...the more I think about it, the more I wish I had started scrimping and saving every penny from day 1 of employment.

As a single person earning £17k a year, is it possible to eventually own your own house? or am I being silly??
Everyone I know with a mortgage has a partner, so they just live off one wage and put the other towards the mortgage.
I'm 25, no debt, good credit. I am currently renting while trying to run a car and I've been making major efforts to save but I don't seem to be getting anywhere significant.

Example: I'd be aiming for a house which cost about £80k,
so that's a £20k deposit required, 60k mortgage, then fees etc..

I can save an average of £300 a month.
So probably be 30y/o+ by the time I get the deposit together.
About 50 by the time the mortgage is paid off?
Is that reasonable?

Seems very reasonable.

For many (probably most) people, especially those not living at home and without the help of a family member will be older when buying for the first time (30+). This is not unusual at all, and certainly the norm among the people I know, couples and singles alike.

Hopefully at some point you will get promotions at work, or as you gain more experiece you will move to better paid jobs and move up the career ladder, and have more disposable income which you could allow you to save more.

You could always work overtime or get a second job to boost your savings currently

Or cut back on your current expenditure now.

I find it's a balance between saving for a house deposit and not missing out on enjoying life now - you'll find the right balance that suits you and your lifestyle,

D9

Greenhalgh

Thanks Domino9, that's very reassuring :-)

The_Palmist

It is definitely possible. You are being reasonable towards the money you want to spend for a house so I would keep my hopes up. It is good to get in to some sort of financial discipline and like D9 said, you don't want to be missing out on life either. Keep in mind there are a lot more hassle when you purchase a house compared to renting. Buying a house is a huge commitment, renting gives you that freedom which is often ignored.

I would suggest you move in to a cheaper accommodation if you could, and if you are living on your own, think about moving in with a mate. You will be able to afford a much better accommodation that way. You should be concentrating on your job and enjoying life at this stage in life. Just so you know there is a government scheme if you want to take a look at, Google home buy direct. Its meant to help people buy their first home.

Let me list a few advantages of renting over own property:

- limited commitment
- less hassle
- no need to stress about plumbers, builders, electricians
- you can change house often
- freedom to relocate [for a new job etc.]

Let me tell you that if you are saving £300 every month on your current salary while maintaining a car, you are actually doing quite good already.
Good luck.

wymondham

Domino9 wrote: »

Seems very reasonable.

For many (probably most) people, especially those not living at home and without the help of a family member will be older when buying for the first time (30+). This is not unusual at all, and certainly the norm among the people I know, couples and singles alike.

Hopefully at some point you will get promotions at work, or as you gain more experiece you will move to better paid jobs and move up the career ladder, and have more disposable income which you could allow you to save more.

You could always work overtime or get a second job to boost your savings currently

Or cut back on your current expenditure now.

I find it's a balance between saving for a house deposit and not missing out on enjoying life now - you'll find the right balance that suits you and your lifestyle,

D9

Good post. I'd stress the point you often can't control what you earn, but you can control what you spend. It does not matter how much you earn, it's what your outgoings are that matter....

bodmil

Surely you're not planning to earn 17k for the rest of your life? If it were me, I would be saving what I could but focusing on moving up the pay ladder as quick as possible, and THEN worry about a house. To say you don't control what you earn is nonsense in my experience.

Greenhalgh

I have worked in several jobs, this is one I feel comfortable in and the pay has came in at £17k. I am about to embark on further education to increase my skills but doubt it will see me move up the pay scale much.
After getting a good few years experience in my field then I could look at moving to another better paying employer.
Just now I'm quite happy to remain on 17k as it is permanent unlike a lot of others jobs I've had.
Only downfall I see in this job is that it requires you to own a car as it's pretty much "out in the sticks".
Looked into my colleagues car share situation, they're all from the east side of the county, I'm west :-(

Totally agree with controlling the outgoings, this skill is much more important that any wage rise.:cool:

Trying to keep an element of fun in between the money saving is good, I'm doing this just now with a fortnight holiday from work and I'm spending extra money out on fuel to visit family and go away day trips, enjoying what small amount of sunshine Scotland gets :-D

So tempted to just empty the savings and go buy a convertible hahaha