Future Proofing my life: Deposit saving then MFW journey in under 13 years

South_coast

I am definitely a fan of not buying too much house. I always thought I wanted a two-bed terrace with a small yard, but I am so much happier in a one-bed flat. Much less to clean and maintain = more time and spare cash too 😀😀😀 

savingholmes

Interesting article LWAP. I think it is difficult too as you are self-employed. I suppose the other unpalatable question is are you likely to inherit a decent chunk in the future etc... Not a good call to make that your financial plan. A 12% return is fab - and buying right now there's a risk you will lose £. But that also applies to the stock market.

I was on an IO mortgage for years and at one point was paying £150 a month for years to live in a 4 bed house. I think it's all about where you live. I feel far more secure now I'm on repayment though. However - I'm open minded to the benefits of retaining a mortgage if I can get better interest rates / future income elsewhere. 

Cheery_Daff

We bought far too much house, and 11 acres of muddy fields, which is approximately 11 acres too many 😂 I love it here but I also spend a lot of time tearing my hair out over the damp, the mice, and all the DIY I'm never going to finish 🙄😂 And I did really enjoy it after we paid the mortgage off on our old house. 

On the other hand, it did cost approximately what you're planning to spend on a flat 😱

Definitely downsizing next time though (certainly outside space...).  

LadyWithAPlan

Cheery_Daff said:

We bought .... 11 acres of muddy fields, which is approximately 11 acres too many 😂
I love it here but I also spend a lot of time tearing my hair out over the damp, the mice, and all the DIY I'm never going to finish 🙄😂 

     11 acres  !  errn in London thats v unlikely!  I was thinking of a postage stamp size - a table, a chair and a small bbq and maybe two tomato plants .... and a tree .. I can see how it grows...
As long as you are having fun.. especially your dances with mice.

savingholmes said:

Interesting article LWAP. I think it is difficult too as you are self-employed. I suppose the other unpalatable question is are you likely to inherit a decent chunk in the future etc... Not a good call to make that your financial plan. A 12% return is fab - and buying right now there's a risk you will lose £. But that also applies to the stock market.

I was on an IO mortgage for years and at one point was paying £150 a month for years to live in a 4 bed house. I think it's all about where you live. I feel far more secure now I'm on repayment though. However - I'm open minded to the benefits of retaining a mortgage if I can get better interest rates / future income elsewhere. 

Yes my self- employment means I really have to be balanced and not over commit  - I possibly will inherit a chunk as my dad keeps reminding me  but that depends on care home costs etc if that happens - but that is not my plan.

A friend has sent me a job I will update my CV for tomorrow - a 20 month project that looks v doable.. and would give me some steadiness. This would be a great solution.
Of course I have not done a CV in 4 years so ...

I am putting my money into my SIPPs so huge tax relief so even if s*s come down they are relatively protected...
An IO mortgage would make me feel uncertain as well. Definitely planning a repayment - or a part IO so I can keep monthly down...

South_coast said:

I am definitely a fan of not buying too much house. I always thought I wanted a two-bed terrace with a small yard, but I am so much happier in a one-bed flat. Much less to clean and maintain = more time and spare cash too 😀😀😀 

Ah - I do want a 2 bed terrace with a small yard maybe thats where I am going wrong  
I have a study here and it ends up being junk room on occasion but I am thinking if I buy the 2nd room be useful for either family to stay or easier to sell...
I am glad I didnt go for the fabulous with crazy stairs £475k flat ... its gone I think though the too dark but small garden and Freehold is still avail at £375k - I will get looking again in the new year.

Watty1

Love the house size debate.  My long term plan is to convert a barn to a one bed bungalow so I can keep the land I love with the horses but sell the large 3 bedroom house that comes with it.   This might limit future options for the resale value - but - it will release cash from the house so I can retire.   And the joy of one bedroom modern design that will be easy to keep clean and cheap to heat is so attractive.

TallGirl

A garden is just so important even if it is tiny you just cannot beat sitting outside or growing your own herbs in a small pot. As for 1 or 2 bedrooms I would not worry too much about people coming to stay. You can get some good sofa beds for the lounge and that would solve that issue. This country is far too obsessed with bedrooms rather than square meter space. You see so many 2 bed flats that started out as 1 bed with a seperate kitchen. It is the same but now worth more because it is a 2 bed. Give me a large proper 1 bed any day. 

LadyWithAPlan

Watty1 said:

Love the house size debate.  My long term plan is to convert a barn to a one bed bungalow so I can keep the land I love with the horses but sell the large 3 bedroom house that comes with it.   This might limit future options for the resale value - but - it will release cash from the house so I can retire.   And the joy of one bedroom modern design that will be easy to keep clean and cheap to heat is so attractive.

This is such a great idea ! And the new people will be selling what they bought ..and you could choose to sell your bungalow and land  back to the main house if they wanted at a later date 
a win win for you as well  
a neighbour of my DS has done exactly that - sold the main house - a hedge in between helps privacy so you could think about start growing one on a dividing line ! He   has horse and stables and lots of land  and also a live in permanent trailer type thing so he didn’t do the conversion but went cheaper - now in his 90s but he happy 

I love some of those v modern light alpine modular houses but a barn conversion sounds fun 

i was watching a video on YNAB on Wish Farm as a way to choose ‘wants’ and structure how you can pay for them - within my new BFF YNAB 

basically list all your wants - with costs £ - look them up and  size of want according to cost so Small medium and large - you can easily add them into YNAB in a category called wish list 
then pick one small, one medium and one large (I am defining under £100 as small due to my wishes being not cheap!) 
then add a different category called Wish Farm and drag those 3 choices into there - then each month when extra cash turns up you can choose to add into whichever purchase you want 
No target goals need to be  set (unless you want to ) 
Then when you can buy it you move the money to the correct spending category - and then drag a new size goal into your wish farm 
they suggest max of 3 but I have 4 (the home) 

having the wish farm as a category you actively add money to  when cash comes in after all your main living expenses are covered and also having a separate detailed wish list with costs as a permanent reminder (& it can be easily updated )-  it is a great reminder of the bigger goals - you can shrink it though so you don’t always look at the wish list daily - just the Wish Farm items you have chosen to prioritise for now. 

Today will be a spend day as going out to private members bar with carols and may also pick up couple Xmas gifts 
waiting to be paid

LadyWithAPlan

TallGirl said:

A garden is just so important even if it is tiny you just cannot beat sitting outside or growing your own herbs in a small pot. As for 1 or 2 bedrooms I would not worry too much about people coming to stay. You can get some good sofa beds for the lounge and that would solve that issue. This country is far too obsessed with bedrooms rather than square meter space. You see so many 2 bed flats that started out as 1 bed with a seperate kitchen. It is the same but now worth more because it is a 2 bed. Give me a large proper 1 bed any day. 

You make a good point on one beds - I am just thinking of having a studio/study with all my gear in and my parents are getting older - so wanted space for that if one goes before the other - although if that happened there would be a house to sell - so thats probably less relevant for now...

I will look at sq meters - nothing like a large fabulous lounge - just all my gear is untidy  (yes I am decluttering) but the tech keeps growing

For me yes a garden is  essential  even in London) - I realised that from my Ms Doolittle summer of 2022! OR a large terrace I can grow stuff on and have awnings and pots and a chair/table and a small bbq..
Maybe I should look at one beds with a garden ... with a large lounge - not looked so will have a gander on RM


Some changes in my main contract  job - change of softwares I implemented cos of rising costs etc and my days are going down anyway.. I dont know what the future will hold with that - it was a contract job for a month and years later I am still here  .. so need to get clarity before buying anything. 

Luckily I have  cash saved and I am fine - takes a huge amount of pressure off possible changes - 
I will do my CV before Friday - for that job


MY ADVENT PRIZE
I love it! its super cute and tiny - its tech so I spent 30 min figuring out the basics, downloading software and having a play ... - but can take it away when I go home for xmas and my travel etc so it is really useful.. 

savingholmes

Lovely wins on the prizes. How many competitions do you enter?

South_coast

Ahhhh, LaPlan.... I have just been indulging in one of my favourite hobbies on your behalf - browsing on Rightmove 🤣! I have found you two maisonettes with gardens, a 2-bed house, and a flat with two big balconies - all within half a mile of a tube station (one you can actually see it from the balcony). I've even found you one where you could wield a sledgehammer 🤣! All probably in highly questionable areas, as I know absolutely nothing about London, but it's kept me amused for half an hour 😀!