Buying a house & becoming MF!

Simms92

EDIT - this thread was created back in 2016. Please see my latest post for an update on SOA. Highlights include going from 38k net assets to 104k in 2 and a half years.


Firstly - as this is indeed my first ever post on MSE, please go easy, I'm unsure of all the acronyms and etiquette in the forum. I'm proud of what I've already achieved and I'm here to share and track my progress as I set myself further goals.

A bit of background to make it personal.. I'm 23, I work for a large car manufacturer in the UK in logistics management (a lucky break as I have no recognisable qualifications and started factory work 5 years ago). I currently rent a room in a shared house during the week, and travel back to my parents or girlfriend at the weekend.

I'm very much driven to make and save money, and so the next logical step for me is to buy a house to increase my wealth. I am yet to apply for a mortgage, but I believe I can borrow around £150,000 based on my salary of £34,000. I have zero debt and currently have around £35,000 in various accounts - although by the time I buy I should have £40k.

My aim is to buy the house this year, and have two (or maybe three) lodgers to help me pay off the mortgage, whilst overpaying and hopefully making money on the value of the house.

I will post some figures of my current finances in due course, and post updates on where I'm at. If anyone has any advice with savings, mortgages or lodgers - I would appreciate that!

Thanks

Simms92

Statement of Affairs and Personal Balance Sheet

Monthly Income Details
Monthly income after tax................ 2120
Partners monthly income after tax....... 0
Benefits................................ 0
Other income............................ 35
Total monthly income.................... 2155

Monthly Expense Details
Mortgage................................ 0
Secured/HP loan repayments.............. 0
Rent.................................... 235
Management charge (leasehold property).. 0
Council tax............................. 29
Electricity............................. 20
Gas..................................... 20
Oil..................................... 0
Water rates............................. 3
Telephone (land line)................... 0
Mobile phone............................ 14
TV Licence.............................. 2
Satellite/Cable TV...................... 8
Internet Services....................... 7
Groceries etc. ......................... 20
Clothing................................ 0
Petrol/diesel........................... 25
Road tax................................ 15
Car Insurance........................... 0
Car maintenance (including MOT)......... 5
Car parking............................. 0
Gym............................ 35
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)...... 10
Haircuts................................ 5
Entertainment........................... 0
Holiday................................. 80
Emergency fund.......................... 0
Total monthly expenses.................. 533


Assets
Cash.................................... 34500
House value (Gross)..................... 0
Shares and bonds........................ 0
Car(s).................................. 3500
Other assets............................ 0
Total Assets............................ 38000

No Secured nor Hire Purchase Debts

Unsecured Debts
Description....................Debt......Monthly...APR
Total unsecured debts..........0.........0.........-


Monthly Budget Summary
Total monthly income.................... 2,155
Expenses (including HP & secured debts). 533
Available for debt repayments........... 1,657
Monthly UNsecured debt repayments....... 0
Amount left after debt repayments....... 1,622

Personal Balance Sheet Summary
Total assets (things you own)........... 38,000
Total HP & Secured debt................. -0
Total Unsecured debt.................... -0
Net Assets.............................. 38,000

Created using the SOA calculator Stoozer.
Reproduced on Moneysavingexpert with permission, using other browser.

Simms92

Update. I made this thread back March 2016. This is my progress in two years.

I bought a house (40k deposit), and have now been housing lodgers for 15 months. Income after tax has gone from 2155 to 3395. Net assets from 38k to 75k.

I've been smashing overpayments on my house, and have paid off 26k in just over a year. I would like to have the house paid off in 5 years.


Statement of Affairs and Personal Balance Sheet

Monthly Income Details
Monthly income after tax................ 3395
Partners monthly income after tax....... 0
Benefits................................ 0
Other income............................ 0
Total monthly income.................... 3395

Monthly Expense Details
Mortgage................................ 632
Secured/HP loan repayments.............. 0
Rent.................................... 0
Management charge (leasehold property).. 0
Council tax............................. 100
Electricity............................. 35
Gas..................................... 35
Oil..................................... 0
Water rates............................. 35
Telephone (land line)................... 0
Mobile phone............................ 12
TV Licence.............................. 0
Satellite/Cable TV...................... 0
Internet Services....................... 53
Groceries etc. ......................... 180
Clothing................................ 10
Petrol/diesel........................... 50
Road tax................................ 0
Car Insurance........................... 30
Car maintenance (including MOT)......... 20
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..................... 20
Contents insurance...................... 0
Life assurance ......................... 0
Other insurance......................... 25
Presents (birthday, christmas etc)...... 10
Haircuts................................ 10
Entertainment........................... 100
Holiday................................. 100
Emergency fund.......................... 0
Total monthly expenses.................. 1457


Assets
Cash.................................... 500
House value (Gross)..................... 200000
Shares and bonds........................ 0
Car(s).................................. 5000
Other assets............................ 0
Total Assets............................ 205500


Secured & HP Debts
Description....................Debt......Monthly...APR
Mortgage...................... 130000...(632)......3.79
Total secured & HP debts...... 130000....-.........-

Unsecured Debts
Description....................Debt......Monthly...APR
Total unsecured debts..........0.........0.........-


Monthly Budget Summary
Total monthly income.................... 3,395
Expenses (including HP & secured debts). 1,457
Available for debt repayments........... 1,938
Monthly UNsecured debt repayments....... 0
Amount left after debt repayments....... 1,938

Personal Balance Sheet Summary
Total assets (things you own)........... 205,500
Total HP & Secured debt................. -130,000
Total Unsecured debt.................... -0
Net Assets.............................. 75,500

Created using the SOA calculator.
Reproduced on Moneysavingexpert with permission, using other browser.

gwyneth_valiant

Fantastic work!! :rotfl:

Simms92

Statement of Affairs and Personal Balance Sheet

Monthly Income Details
Monthly income after tax................ 2401
Partners monthly income after tax....... 0
Benefits................................ 0
Other income............................ 1070
Total monthly income.................... 3471

Monthly Expense Details
Mortgage................................ 580
Secured/HP loan repayments.............. 0
Rent.................................... 0
Management charge (leasehold property).. 0
Council tax............................. 100
Electricity............................. 35
Gas..................................... 35
Oil..................................... 0
Water rates............................. 35
Telephone (land line)................... 0
Mobile phone............................ 12
TV Licence.............................. 0
Satellite/Cable TV...................... 0
Internet Services....................... 55
Groceries etc. ......................... 180
Clothing................................ 10
Petrol/diesel........................... 50
Road tax................................ 0
Car Insurance........................... 30
Car maintenance (including MOT)......... 20
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..................... 20
Contents insurance...................... 0
Life assurance ......................... 0
Other insurance......................... 25
Presents (birthday, christmas etc)...... 10
Haircuts................................ 10
Entertainment........................... 100
Holiday................................. 100
Emergency fund.......................... 0
Total monthly expenses.................. 1407


Assets
Cash.................................... 500
House value (Gross)..................... 215000
Shares and bonds........................ 0
Car(s).................................. 4000
Other assets............................ 0
Total Assets............................ 219500


Secured & HP Debts
Description....................Debt......Monthly...APR
Mortgage...................... 115000...(580)......3.79
Total secured & HP debts...... 115000....-.........-

Unsecured Debts
Description....................Debt......Monthly...APR
Total unsecured debts..........0.........0.........-


Monthly Budget Summary
Total monthly income.................... 3,471
Expenses (including HP & secured debts). 1,407
Available for debt repayments........... 2,064
Monthly UNsecured debt repayments....... 0
Amount left after debt repayments....... 2,064

Personal Balance Sheet Summary
Total assets (things you own)........... 219,500
Total HP & Secured debt................. -115,000
Total Unsecured debt.................... -0
Net Assets.............................. 104,500

Reproduced on Moneysavingexpert with permission, using other browser.[/i]