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

LadyWithAPlan

@Suffolk_lass TT is definitely Tilly tidy - I just meant PPH is a new iconic catch all for the PPH behaviour out there that should join TT in the MSE dictionary! 

Suffolk_lass

LadyWithAPlan said:

@Suffolk_lass TT is definitely Tilly tidy - I just meant PPH is a new iconic catch all for the PPH behaviour out there that should join TT in the MSE dictionary! 

There was I, convinced it was "Total Tw*t" which also works eminently well in respect of @Watty1's plinker 

LadyWithAPlan

SandyShores said:

LadyWithAPlan said:

Current 'maybe having to move'/instability  finally makes  my rent v house buying scale tip towards buying!
Maths still states  its still cheaper  to rent as I have safety of my large deposit (some of which is in the S&S isa so possible increase ) plus the interest I am getting (even with the tax on interest)
However if I buy  I get possible asset increase of the house plus SAFETY  of my own home of no landlord  able to give me rent increases/instability

Hi LadyWithAPlan 

For me 'safety' was a huge part of getting back on the property ladder.  As someone who chose to go from owning a home to renting a few years ago I hadn't anticipated how psychologically unsafe I would feel.  We'd heard lots about repossessions in the 80s and so that was always in the back of my mind when we owned our own home.  I thought renting wouldn't be much different but your situation highlights how that just isn't the case.  I also found that some people the landlord used for repairs and servicing were quite disrespectful, which was very uncomfortable.  When you own, you decide who gets to come into your home and when, and that was invaluable to my peace of mind.

The other thing I hadn't thought about when we were repaying our mortgage the first time, which sounds ridiculous to me now, was the loan total coming down each month and consequently the daily/monthly interest we paid.  It was only when we returned to the property ladder a second time, that I can see the balance owed reducing and so is the daily interest we are paying.  These days you can see the daily balances online, but I could have worked it out back then on a spreadsheet if I'd been more savvy - what a doughnut I was.

Hope this helps a little, and very best of luck with your purchase.

ps. I've also just PM'd you some information you asked from a previous post.   

Thanks SS for this wisdom and perspective - all good food for thought.. The safety aspect has always worked both ways for me - as there has also been a safety in me having a large deposit/EF in the wings. 
However the balance this time with the new mging agent is awful, this uncertainty and the stress I see my neighbours going thru ... some are within 2 weeks of being homeless, others such as I, will know maybe if we are lucky between xmas and NY.

We have been yelling - to the press (local and national are in contact) and to the local very famous MP whose office has come back  on Friday saying they will investigate these huge 64% rent increases, the pre Xmas forced homelessness  and the lack of support and organisation. Funnily enough today some are getting calls from the new 'not really managing' PPH agent ... all suddenly talking about letting a few stay on a few days  til after xmas under the old contract.
Given  the 10 days deadline noone has a new contract, some havent even been vetted or contacted  and others have been told straight out you dont earn enough so get out  (working qualified professionals like architect and therapists!)

The positive is we have all risen together - making banners, contacting the world,  supporting each other, sharing info, I spent my Saturday afternoon visiting other affected managed buildings with some neighbours to see if those building residents having same issues. You have to stand together as a community.


I am pretty hopeful my savings  will get me thru the affordability - luckily - as  they want things like a ref from my employer (I am my own employer ) and regular payments.. it is  quite upsetting now despite the main contract director  knowing the situation I have, I have not been paid the promised lump sum of invoices last week .. a deal delayed but I am over being back of the queue.

What to do about that ongoing late payment I am not clear  - I do know 
a) a new contract is first order of the day for this move and my mortgage requirements
b) deal with this rent increase - but knowing I am planning to buy asap 
c) Decide if I want to let out my second bedroom -   annoying in short term but will save me probably £££'s a month - at least £400 maybe £900pm ..
d) I am pausing work until I get some money in from job a  - this means I am largely free and have no work in Dec - which is OK as I can sort all the moving parts out

I will do a round up of my first year of YNAB (Dec 1-Nov 30)  but figures are effected due to being owed quite high 5 figure sums on open invoices - mainly one company but 2 others as well. 
I have some ££££ bills to opay for some next year side hustle and this is my tax year end coming up as well so.. I will have corp and personal tax to pay, both categories have taken a bashing due to these late payments.

Suffolk_lass said:

LadyWithAPlan said:

@Suffolk_lass TT is definitely Tilly tidy - I just meant PPH is a new iconic catch all for the PPH behaviour out there that should join TT in the MSE dictionary! 

There was I, convinced it was "Total Tw*t" which also works eminently well in respect of @Watty1's plinker 

LOL! Love it, but dont want to step on the TT toes as it is such a great concept. I cant really use as I am now a YNABer for life it feels so my pennies are all matching in their correct lane but still

savingholmes

Glad that you are all banding together to deal with this. Don't under-estimate power of going to C Exec at council etc too. Ask for the Equality Impact Assessment behind their latest changes etc. Make them scramble.

PennysIntoPounds

Great community work 💪
I appreciate you don't want to alienate client but this is long past getting ridiculous, and you literally need
somewhere to live, could you explain situation with a big emphasis on sob story, or threaten legal action?

TallGirl

savingholmes said:

Glad that you are all banding together to deal with this. Don't under-estimate power of going to C Exec at council etc too. Ask for the Equality Impact Assessment behind their latest changes etc. Make them scramble.

You are so right SH especially if the real landlords are the Local Authority or a Housing Association. The can’t hide behind the PPH agents. 

So annoying about the late payment glad you’re not doing anymore work for them. 

LadyWithAPlan

savingholmes said:

Glad that you are all banding together to deal with this. Don't under-estimate power of going to C Exec at council etc too. Ask for the Equality Impact Assessment behind their latest changes etc. Make them scramble.

Oh I will look, I can see the Council states they use this but clearly have not applied it in this case.
 New/old agents  do feel like they are scrabbling a bit but shocking still these price increases given some people have been vetted but not yet signed contracts which increase their monthly costs by 64%! 

PennysIntoPounds said:

Great community work 💪
I appreciate you don't want to alienate client but this is long past getting ridiculous, and you literally need
somewhere to live, could you explain situation with a big emphasis on sob story, or threaten legal action?

You are not wrong  .. I have tried the truth on  the rental issue - seems it fell on deaf ears. Will chase again tomorrow..

TallGirl said:

savingholmes said:

Glad that you are all banding together to deal with this. Don't under-estimate power of going to C Exec at council etc too. Ask for the Equality Impact Assessment behind their latest changes etc. Make them scramble.

You are so right SH especially if the real landlords are the Local Authority or a Housing Association. The can’t hide behind the PPH agents. 

So annoying about the late payment glad you’re not doing anymore work for them. 

I think thats why the PPH are scrambling  a  bit - they tried getting away with it - but not seen any news on a decrease in rent fees.. 
I am VERY annoyed and I am chilled - however I do feel its the kick I need 

LadyWithAPlan

Some vague Nov  EOM round ups - one client sending me some cash this week (not the big one but still a decent amount) but that will change all my EOY values and NAV  to a small extent - the main one will hugely shift things so I can see me doing a 12 months full  review  since Ynab start Dec 1st 23 and then a one full year 2024 review as may be clearer.

Yet to add up MB profits this month - been up a lot then down I think in casino as I have increased my spin size to save time (it increases volatility but long term value largely the same if not improved infinitesimally by bigger spin sizes) This will change NAV also so not added yet nor declaring hse deposit savings yet.


BABY CRYPTO -
Current balance £237.18  so up a further £50 in 20 days..   62.8% increase  (actually more as I drip fed in)
 this is where me now being paid so late  by company a is costing me as I had planned to invest more earlier this year when I got paid
My cost was £145 so  62.8% increase since I started in the summer..

EOM SIPP  highest yet  at £61835.48 Nov 24
v SIPPS value  £47,218.84 (Nov 23) 
so an increase of £14,616.64  in 12 months comprising of  Contributions over the 12 months of £4756 (lower than I like but thus shows a £10,000 mkt value increase)


I am contrasting Fire also against since Nov 23 (when I started YNAB Dec 1st 23)

FIRE - numbers exclude DB at 60 and SP at 67 and savings 
v lean fire  20.61%   (Nov 23 was 15.74%)
£24k  fire 10.31%  (Nov 23 was 7.87%)
Inc my current savings but still ignoring SP + DB and due invoices
v lean fire  60.97%  (Nov 23 was 52.57%)
£24k  fire 30.49%  (Nov 23 was 26.18%)

I also note my Van Sipp has over 4.5 years increased in market value over 47% (!) just on market movements and excluding my contrib and the tax benefits.
My other sipp is nowhere near as good as one share is majorly down.

Interest paid (far more is earnt)
£24.26 on h2b isa
£9.46 monz on my category savings
Plus a few pence I have yet to add up
I do have a regular saver expiring in Dec - However I only put away half of what I could..


     Nov spending thoughts

-Normally i travel to the States in Nov for work but said no this month so thats kept my shopping down
-My college courses has meant my travel costs have gone back up (but nothing compared to pre covid travel costs
-Low savings in Nov as no real pay - added only  £63 on sipp and £440 only into savings inc £13 into Crypto
-I moved some PB out  £3450 so as to add to my cash isa after needing for liquidity  (and massively under the lucky rate)- yet to move into the isa as I wait to get paid   but I did make £9.46 on the interest (taxable)
- Worse month for received income  since April, however I cut my spending in line.
 - Looking back on Oct 23 and Nov 23 when I tracked spending (p115)  

Spending £1635 (oct23) + £1922 (nov23) on voluntary spending - £3557 over two months .. not including grocery, rent, utilities, some work travel, phone etc etc. - this is money I could choose to put towards house deposit saving 
I spent a total in Oct 24 and Nov 24 on the same stuff -all  voluntary - £1177.98  - still I think quite high but a third of last years - I
high culprits over 2 months inc
£160 ems training (happy to pay this as my health and fitness is worth investing in
£282 gifts - expensive time of year, lots  family  bdays and yet to do much xmas shopping, 
 £294 fun spends inc my £133 boots I bought which I am wearing 5 times a week 
 £331 social (includes £189 drinks out in 2 months but I live in central London where a glass of wine is rarely under £10)

Looking back to last Nov I also see i wrote here   (to compare)

Nov 23 - My old system worked great for me when I was trying to limit spending and not in such a good income but a higher income and a large cash float has definitely led me to lifestyle creep so YNAB is perfect for me now.
It might be in a year I am over the daily money movement but I always believe in trying something ..
Nov 24 - After 12 months on YNAB (started Nov 30th 23) I am now in LOVE with it and its ability to show me my spending far clearer than any other system (I have tried them all)  and my spending has hugely gone down   - my voluntary spending in 12 months is £8107.48 - so just over half of what I spent in Oct + Nov last year (dont have annual 2023 figures but i had some big hols last year)

Nov 23  ynab can be what you want it to be it seems  but i am also having a couple teething  issues cos of how I want it to treat my house savings ... so far though I think its perfect as I have to move cash out of one category to spend in another I havent yet funded or have overspent in.. So for me it looks v worthwhile - I also have seen online as a student you get it for free for a year - definitely in the US but I will send all my id stuff etc and college cards/student id and see if I can get it for a year at least   ...
NOV 24  - I got my ynab free year as a student

Nov 23 I would quite like to go on an excel/dashboard building course eg Python - I dont code but it would be useful and always looks good on a CV.
NOV 24  -  to quote Phil Collins 'Just take a look at me now' as I am doing 3 software courses a week!  I can definitely code basic, know how to grab code from chatgpt and getting better daily

dawnybabes

You’re cooking on gas here ! Glad one client is paying but grrrrr to the big one ! Are you charging them the interest you threatened ? 

TallGirl

Thanks that is lovely to read all that progress and how well YNAB has worked. Very inspiring. Here is to 2025 and new home for you!!