What encouraged you to save for a house deposit?

takman

Cakeguts wrote: »

If they are living at home you charge them a commercial rent and the put it away in a saving account so that they can't get at it.

capital0ne wrote: »

if your kids like being at home with all the home comforts like meals, washing, etc then take rent from them, and when they leave, give the rent back for their own house - save it for them but DON'T tell them you're doing that.
Good luck

This always comes up in these kinds of discussions but i think it's a terrible idea to do this. By the time they are 18 they are adults and secretly forcing them to save money is treating them like a child.

If the children are brought up with good financial management then they are likely to be good at managing money when they get older. Like the old saying goes "give a man a fish and he will eat for a day, teach a man to fish and he will eat for a lifetime". (Saving money for them is giving them the fish for people who don't understand the connection ).

Dizzy_Ditzy

An increase in rent has been my saving trigger. We have been living in the same rented house for ten years without an increase in rent, until recently. I worked out how much rent we had paid our LL in those ten years and it scared me into starting the savings process.

However, I am a very latecomer to this house buying malarkey, at 41. I plan to have my deposit in four years, which is when the next rent increase is due, so will be 45 looking for a mortgage on my own, with a below average salary in one of the most expensive cities in the UK. I wish now more than anything that I had started this process sooner.

Candyapple

Planning_ahead wrote: »

Seven years to save is a long time, I want to keep them focused and not give up and splash out on holidays and cars.

It depends on what area you are planning to live in - if it's in the South East then it's about right. It took me 7 years to save £90k on my own.

Also, will they be living at home with you?

How much could they save if they were renting privately and would this even touch the sides for a deposit? Obviously if you are living up North and prices are dirt cheap this may be affordable.

Growing up you knew who were the savers and who were the spenders. The savers tended to be the ones who had jobs as teenagers or worked during uni. Whereas the spenders tended to be the ones who spunked everything on going out and would rely on bank of mum and dad to constantly and consistently bail them out. I still know many people in their 30s who still rely on their parents to get them out of debt/pay their bills when they run out of money or buy food for them. Which ones are your children?

spadoosh

Planning_ahead wrote: »

My children have all finished their studies and will be in full time employment. I want to encourage them to save for their futures. What encouraged you to save for your first house?

My parents.

They sat me down around 16 and said id be treat like and adult when i turned 18 along with the costs associated. 18 came and so did the bills. I didnt like the lack of control. I couldnt come home at 3 in the morning without being woken up at 6 with a hoover banging against my door.

Planning_ahead

Thanks for all the comments, they already have help to buy ISA's as they worked through Uni.
One daughter always worked 3-4 days so has some savings. The other has had to do a lot of voluntary work for experience, though did work through the holidays so has less savings.
I know they need to do it for themselves but a little support now I feel will go a long way.
They are living at home at the moment and I want them to focus on saving for their futures.
I think maximising their earning power is a good idea, overtime, and ensuring they have the qualifications for development. Hopefully they can get their employers to pay the fees.

lincroft1710

I never actually saved for a deposit. A job promotion meant I had to move away from the parental home and my savings and income were sufficient for me to afford to buy my first house.

Ogriv

What motivated me was seeing rents suddenly go astronomical in London in the last six years.
I knew that I would I would not make it through retirement as a renter.
And I also knew I would have to save that money entirely on my own, without support from a family or spouse.
So I did it, by being frugal, and I am very proud of myself.

Sapphire

For me it was primarily the need for security. Coming from a family that was as poor as church mice after the war (political exiles who had lost everything material, key family members and their country), my desire not to be poor and to be secure was a key driving factor. It was that plus being encouraged to save and be prudent by the elders in my family. I mainly lived with my grandparents (no room at parents' place), with a few outings living in bedsits and so on, and finally got my own place at around 30. I didn't take expensive holidays or buy expensive gewgaws early on; that really hasn't been the done thing at an early age until quite recently. Couldn't have afforded it, especially with having a mortgage.

I still don't own a 'house' as such, but a maisonette that includes a study for work, which is great for me (not too keen on cleaning/climbing flights of stairs, or the heat in the summer on upper floors of houses). Finally paying off the mortgage, after sometimes wondering whether I would be able to, has done wonders for a feeling of freedom.

Planning_ahead

Hi All

Nine months on.......
Both have found houses and have offers accepted
Hopefully by summer they will be independent.
I think the desire have their own place and the ability to earn were the greatest drivers.
I have sent them budget spread sheets - filled in to some extent .
Next step cheap meals......
I have told them no presents for anyone this year tell every one you are setting up home you will carry on next year.

jimbog

Being beholden to a landlord who I never met. Who could ask me to leave with only 2 months notice.