Buying a house without a mortgage

Frugaldom

Hi Pavlov, THANK YOU, THANK YOU, THANK YOU! :beer:

I'm not sure if the insurance companies account for mortgageability when taking out a policy. I've had 2 houses in the past that were both 'fixy-ups' and don't recall any problems whilst work was being carried out. I am planning on having a stone/brick built building with slate (or similar) roof and don't plan on buying one that's perched on the edge of a mineshaft, quarry or flood plain, so I would assume that normal rules apply for the insurance. The only time we encountered problems in the past was when looking at a pine chalet. At that time, mortgage companies wouldn't touch them, nor would some insurance companies. But thank you for bringing up the subject, as it's something I hadn't thought about in any great depth. Indeed, I haven't even included it in stages 1 or 2 of the savings! :eek: I am now off to research some 'guesstimates'. Watch for the housefund total changing!

strongboes

nykmedia wrote: »

Hi there, what can I say? We are looking at the same kinds of figures (£60k) but for very different properties and lifestyles, I suspect I'm gobsmacked by your aims - saving the entire 100k in 2 years :eek: Please post your progress. I MUST ask, though, are you planning on saving that from earnings/investments or is that incorporating equity release from property you already own? (I'm from a rural part of Scotland, I don't have many friends who could save 50/60k a year. OK, OK, I don't have ANY friends even earning £50/60k per year )

Hi,

Basically I went bankrupt in nov 2006, was discharged in june 2007. Started a new business immediately after BR. done well the first year, and now i'm single and not paying anyone else's bills I can save literally everything!

Have just won a 26k contract which is around 4 months work, with another one pretty much guaranteed straight after. I am owed 10k in invoices from the last 2 months which will be coming in soon, and so 60k by xmas seems do-able for me, if I can do that then I will take next year a little easier (maybe!) and just aim for my tax free allowance plus dividends up to higher rate. I will keep you updated!

I have gone from pre bankruptcy being way in debt with no hope at all to now with pretty good prospects in just 15 months! Also now I am really reluctant to even spend £20 where as b4 I could spend anything up to what I had! It's funny how BR changes you :P

Frugaldom

Strongboes - do you need a freelance administrator? :rotfl:

On a serious note, I do wish you every success with your savings. £100k deposit is way beyond the realms of my imagination for the simply fact that if I put down 100k deposit on the 5 bed, 3 storey terrace I've seen, I'd [robably own it outright as the asking price is only £105k. I'm guessing you are a little closer to the city than I am

Pavlovs - I just went and looked up the buildings insurance comparisons site and it's virtually impossible to work out anything without putting in a postcode and address. I did take a close look at all the relevant questions, though, and they covered everything I could think of, including timber with a shingle roof, so I opted for that just to see what would happen. :rotfl: I was quite surprised at finding a policy for under £200 per year for a £100,000 rebuild with only £100 excess! And if I went through a cashback site, that could reduce it to about £120. However, the wooden house with shingle roof worked out almost double the stone or brick one with slates or tiles... I played about with the comparison site for some time - it was frugally entertaining. I don't think I'll increase my budget just yet as I have allowed a few thousand for fees and the actual move.

strongboes

lol no i live in west wales at the moment. Will be buying in roath in cardiff.

pavlovs_dog

£100k would take you a long way towards a house in roath. but if you think you can realistically turn that sort of money around, why not hold on another year or so and go one step further - lakeside, cyncoed, llandaf, whitchurch etc etc?

Frugaldom

P_D - I thought you'd like to know that I have just found a new source of irritatingly small numbers of pennies drip feeding into my savings! I was just getting on top of the odd amounts and almost maintaining control of my financial OCD when I spotted it earlier this evening! It's the ciggie piggy account! As if it isn't annoying enough dripping in an average of £1.28 per day, I had completely overlooked the fact that I'd still be paid interest, even on such lowly sums! I sense that things could become complicated! :rotfl:

pavlovs_dog

i think we need to get out more

strongboes

pavlovs_dog wrote: »

£100k would take you a long way towards a house in roath. but if you think you can realistically turn that sort of money around, why not hold on another year or so and go one step further - lakeside, cyncoed, llandaf, whitchurch etc etc?

Basically because I have a large group of friends there, having previously lived there for four years. Everyone from St.Davids (west wales) ends up in Cardiff at some point! I would be aiming for a 4 bed, possibly a 6 down by the lake for complete renovation, and renting the rooms out to friends until I possibly decide to settle down. At which point I would have hoped to have paid off the house in Roath and have a sizeable deposit for another property. Thats the plan!

Although my business is doing so well down here i'm not sure how i'm going to make the move up! But thats not really a worry that's going to keep me awake at night!

pavlovs_dog

well if things keep going as well as they sound, you'll be able to buy the cathedral im sure st dave wont mind, and you'll have plenty of room for all your friends then

strongboes

pavlovs_dog wrote: »

well if things keep going as well as they sound, you'll be able to buy the cathedral im sure st dave wont mind, and you'll have plenty of room for all your friends then

:rotfl::rotfl::rotfl: