Buying a house without a mortgage

Frugaldom

Moneyfordreams wrote: »

fantastic achievements , got me right on rightmove again

Good luck! There are so many bargains out there as long as you have the vision to see through the initial problems and are prepared to make some small sacrifices in order to achieve your bigger ambitions. Have fun searching.

Frugaldom

I guess I should really update on here to reflect progress with the dream of having a place to call home and a place to share with other like-minded individuals... that place now exists, although we haven't got to the stage of opening free to the public on a daily basis, yet.

In 2014, we bought a wooden barn, which stands in about 5 hectares of the wildest, wettest land imaginable, and began clearing all the overgrown parts to reclaim the barn yard and field areas around it. So far, so good - the bits we can't get machinery into, we turn ponies out onto and they soon churn their way through it, finding the safest footing to get from A to B and clearing it as they go. (We've now rehomed a total of 5 ponies and several hens here.) The longterm plan is to plant woodlands, foraging hedgerows, grow willows for crafting and plant orchards and herb gardens that will all be shared with fellow frugalers. We've done quite a bit already.

Last year, 2017, I 'accidentally' bought another house. I have been saying for so many years that property prices are still crashing, in real money terms, and that freefall has not yet slowed in some areas. The tax on second and subsequent properties here - Scotland - is set to rise from 3% to 4% on smaller properties, so I now predict a further fall, as more people drop prices to attract buyers.

Here's the thing... you don't pay any of this tax on property below £40,000 so all these cheap properties could drop below this to sell them faster as development projects. As main home purchases, you don't pay this tax, either, so why isn't anyone snapping up all these bargains? Why aren't they selling like hotcakes to develop into affordable residential, temporary, self catering or short stay serviced lets? Why aren't people taking this fabulous opportunity to buy their own homes or help develop all these empty properties that could be put to good use? It's a mystery to me, but I see them advertised all over the place. Yes, some are flats in buildings where few people want to live right now but times change, people change, Governments change and even regional boundaries change. There are lovely little properties that just need restoring. Plus, we still have Home Reports in Scotland, so no costly business of multiple surveys, unless you really need a second opinion on something that really interests you.

Anyway, to cut a long story short, we bought a one-bed cottage with an adjoining annexe and a separate patch of garden ground. Since buying it and spending a bit on bringing it up to standard with regards to basic legislative requirements, we have had 2 tenants, each there short term for their own personal reasons, and some short stay guests. Last month, I re-registered the property as self-catering accommodation and am offering an affordable opportunity for folks to take a break to sample the joys of downsizing and/or frugal living.

That's you almost up to date - except we also bought a couple of ex-rental mobile homes on a holiday park and have been offering frugal breaks there, too. :rotfl:

What will 2019 bring for this crazy frugal lifestyle I lead? Who knows? But there are certainly plenty of opportunities to further develop what has now become our social enterprise (not for profit) project.

I'm developing frugaldom to a whole new level and anyone's welcome to join me. I have no plans to skip the country and, as always, strive for the most affordable ways of doing things, even if it means giving up other things. :rotfl:

Downshifterella

Amazing achievements frugaldom! Well done and just shows what can be done when you put your mind to it!

Frugaldom

I'd love to hear from anyone else who is looking to invest their longterm savngs into cheap property. Prices around us are still falling but it might just be the area I live - what are prices like where you are?

Flossygrows

Well I caught up on over 10 years of Frugaldom last week! Thank you for your story - it was really inspiring and has given me some great ideas.

I am very lucky that through being in the right place at the right time and buying and selling at the right time and a bit of sheer hard work and non excessive spending I have a house that I own with a smallish mortgage. My other half moved in a couple of months ago but after a nasty divorce and negative equity a few years ago he has been renting for 10 years prior to moving in with me.

Our aim is to now buy another property in his name that we can use as a rental or holiday home or long term move into in our retirement and rent my house out.

Property prices here have been increasing over the last few years. We live on the North Wales border and we have some good industry such as Airbus close by and we are a cheaper area to live in than Cheshire so a popular area for those who want to commute to Manchester or Liverpool as you can get more for your money here. My house - nearly 6 years ago cost me £220k and similar houses are now on the market for £280k. Not much is moving very quickly at the moment though and I believe we will be severely hit if Brexit causes Airbus to pull out of the area. So I think prices will start to come down...

We very much are at the start of our journey. OH only just became debt free as he moved in so we are starting our 'house' savings pot from scratch so this is very much a long term plan. I am now budgeting like mad so we can get and keep our costs down so following the '2019 Frugal Living Challenge' and we are going to be doing all we can to save and make what money we have work harder from us.

So thank you for the inspiration Frugaldom. It has shown me that if you persevere you can reach such a goal!

Frugaldom

Flossygrows wrote: »

... So thank you for the inspiration Frugaldom. It has shown me that if you persevere you can reach such a goal!

You are very welcome! I am always happy knowing that all this 'stuff' I write about my frugaldom life can be of help to someone. Good luck in your future endeavours and congratulations getting together / moving in with OH who is committed to the same plans and ideals.

Reional variations are amazing to look at in property prices but believe it or not, there are still some really lucrative city opportunities, too. If only I had learned proper DIY skills and/or had some tradesmen friends around offering mates' rates then, things might move faster for me. My plans for 2019 include
A) Developing the cottage annexe into an arts and crafts studio workshop and
Giving a rescued touring caravan a makeover. (It was about to be scrapped)

Have fun finding, improving or even creating frugal homes in 2019. I'd still quite like some sort of off grid tiny house or cabin.

df-MRes_student

Frugaldom said:

I guess I should really update on here to reflect progress with the dream of having a place to call home and a place to share with other like-minded individuals... that place now exists, although we haven't got to the stage of opening free to the public on a daily basis, yet.

In 2014, we bought a wooden barn, which stands in about 5 hectares of the wildest, wettest land imaginable, and began clearing all the overgrown parts to reclaim the barn yard and field areas around it. So far, so good - the bits we can't get machinery into, we turn ponies out onto and they soon churn their way through it, finding the safest footing to get from A to B and clearing it as they go. (We've now rehomed a total of 5 ponies and several hens here.) The longterm plan is to plant woodlands, foraging hedgerows, grow willows for crafting and plant orchards and herb gardens that will all be shared with fellow frugalers. We've done quite a bit already.

Last year, 2017, I 'accidentally' bought another house.  

Anyway, to cut a long story short, we bought a one-bed cottage with an adjoining annexe and a separate patch of garden ground. Since buying it and spending a bit on bringing it up to standard with regards to basic legislative requirements, we have had 2 tenants, each there short term for their own personal reasons, and some short stay guests. Last month, I re-registered the property as self-catering accommodation and am offering an affordable opportunity for folks to take a break to sample the joys of downsizing and/or frugal living.

That's you almost up to date - except we also bought a couple of ex-rental mobile homes on a holiday park and have been offering frugal breaks there, too. :rotfl:

Oh, my goodness, Frugaldom, you've done amazingly well! Gosh, you're an inspiration! You really are! Congratulations! I've gone back to read your first thread and others over the past couple of hours and I'm mightily impressed with all your hard work and perseverance. Well done, you! 

Personally, I want and need to buy a bigger property after I return to work. I do own my own home outright but it's much smaller than I'm used to and smaller than I need. I downsized after my divorce. I'm a mature research master's student and don't work at the moment (I have two chronic conditions which are undergoing and awaiting treatments). I'm trying to apply for grants to fund additional treatments so that I can return to some part-time work whilst I finish my studies. NHS treatments are horrendously slow to organise.

Here in the South West of England (Bristol) property prices are shockingly expensive (you'd be lucky to get any 3-bed much under £200,000). So too are rental prices (renting a 1-bed is typically costing £1,100-£1,300). I have a one-bed place but it's woefully inadequate in terms of space. I'm currently renting three garages to accommodate furniture, books and belongings from my former marital home (a 3-bed semi) and furniture and belongings from my late parents' home too (another 3-bed property). So, I would want at least a 3-bed property when I can afford it. I need to take a leaf out of your book, Frugaldom, and save, save, save, so I can purchase my next home with cash, not another mortgage. I'm 57, so the wrong side of 50 for getting a mortgage, though it's not impossible.

I need to get treatment first, return to work, and pay off my few small debts as quickly as I can, whilst I also plan my next steps to get back into the property market again, and save little bits here and there, as and when I can. I'm doing that whilst trying to embrace my frugal existence whilst not working and surviving on benefit and seeing if I can somehow make life fun again. Once I've got these pain issued sorted, I'm sure I'll find things easier. 

I'm on several MSE forums to gain inspiration and pick up some tips here and there. If you think of anything, Frugaldom, I'd be grateful for the benefit of your advice. Thanks for posting details of your journey so far. Very inspiring! I'll return to the previous challenges again for another read.

Best, 

Frugaldom

df-MRes_student, I wish you well in your future endeavours and with you health associated issues.  In your favour, you do own your property outright so selling up and relocating to a less expensive area is always an option. I have relocated 3 times during my journey, finally finding affordable property and also sharing costs with another. I rent out a one bedroom cottage for less than £350 per month and could go out tomorrow and buy a 3 bedroom, habitable fixy up for under £50,000. Working self-employed from home has its benefits. 
Good luck! See you over in the frugal living challenge.

Frugaldom

PS  I mean property pricewise, £50,000 cash could get anyone a place in certain areas, I don't literally mean I have £50k cash lying about to spend tomorrow.  😂

df-MRes_student

Frugaldom said:

df-MRes_student, I wish you well in your future endeavours and with you health associated issues.  In your favour, you do own your property outright so selling up and relocating to a less expensive area is always an option. I have relocated 3 times during my journey, finally finding affordable property and also sharing costs with another. I rent out a one bedroom cottage for less than £350 per month and could go out tomorrow and buy a 3 bedroom, habitable fixy up for under £50,000. Working self-employed from home has its benefits. 
Good luck! See you over in the frugal living challenge.

Hello again, Frugaldom!
When I was married I worked for my ex-husband's business and later his limited company, so also worked part-time from home around my studies (I did that for 22 years). I've been a mature student since 2000, in Further Education for 2 years and Higher Education for the remainder of the time. I've done some Initial Teacher Training-related teaching and some freelance teaching for some of that time and some agency work through Educational Recruitment Agencies, but it's not guaranteed work. It's effectively zero-hours contract work which is horrendously unreliable. I'm qualified to teach in various establishments and including an FE College, but I would love to teach in a university, hence my current Research Master's. As of now I'm not fit enough to take on work, so I need to focus on getting my fitness back. Hopefully, when I apply to a couple of charities this week one or other of them will be happy to provide a grant for treatment. 

I did realise what you meant re your comment about going out and buying a habitable 3-bed fixy up for under £50,000! lol... Yes, see you in the frugal living challenge forum.
Best,