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

LadyWithAPlan

@South_coast good to know That 'free money' by surveys and the selling of clutter is such a good motivator.

@eat_that_frog I get the pension v mortgage debate - it is just choosing ones own balance that is the hard part and appreciating the fact that it will need a constant rethink.

As I am hopefully a HR tax payer again this year - once I have got my house -  I will definitely be contributing to my SIPP to get my down to that £1 over the 50k mark for the tax relief.  I also want to be doing some O/P to enjoy that journey .
I like how some people split their extra monthly savings into % into pots - I am thinking I will do the following
40% OP
40% SIPP
12% ISA and maybe PB as well  - for mortgage neutral and easy access extra savings


@Grogged After years of no credit card I got one this year to build my credit score only. I ignored points. However if there is one that gives Amazon points I will have a rethink - which one do you have if you dont mind me asking? I don't like seeing the balance though so I have been paying it off a few days after.

We aim to leave £100 after regular monthly DDs on the 1st and hoover the rest into savings.
We then top up as needed.
This sounds like a plan to follow.  I have now noticed  that excess float left in my current account somehow mysteriously gets spent. So I have even set a pot for TRAVEL this month and moving it over when money comes out from my card.
 I have DD all over the shop and I never know when I am getting paid, often the 30th but sometimes ages after so I have to have access to my EF to move when I need.

LadyWithAPlan

Happy Saturday all

I saw a friend of mine last night who, when she was married, bought a load of London BTLs. She has done very well and having bought so many houses and still does run the joint property company they set up, I figured she would be a great advisor. 

I am very comfortable with investing shares etc but its the property thing that I have never done before so I always know when to ask for advice when I need it in areas I know nothing.

She has affirmed what many of you are saying 
- Get a long term mortgage with lower payments
- Get some premium bonds as well. She also gets about 1% return (maxed out)
- use the fact I have this possibility of a contract based mortgage to buy something decent now so accept the fact it will be a huge mortgage but long term payments as much as possible so it is easier
- You never know what will happen with life and income but use this current contract based mortgage to get myself started is a good thing.
- Don't wait to save further til I hit my 100k target, start looking now
- if I buy and hate the lack of freedom I can always sell or rent it out.
- aim to get a share of the freehold.
- Get going as with London prices being what they are now back to 2- 3 years level and such low interest rate
- see if I can get a 5 year fix.

I am off (late) to the gym now as hardly went last week as got caught up with work and some procrastination.
Off to an open air concert tonight in Holland Park. I am a bit hungover - yesterday was definitely a spend day - £35 for my share of the drinks bill - but that is London prices and is budgeted.
This is why I saved so much during lockdown.. I will go out tonight but then keep it cheap next week.

FREE MONEY
I pulled £12.18 out of my first prolific studies - woohoo

August  Free Money  = £83.06
Nectar  points used £17.50 
Green Jinn £1 + £2.13 I did not know was there  + £1 = £4.13
Co-op  75p + 50p 
£12 Too good to go voucher
£10 uber eats voucher 
Amazon £6 gift card offer

£20 – neighbour sale

£12.18 Prolific C/O - more to come.

Grogged

It's always nice when you can draw on the experience of friends.
I think like most people, most of mine are more interested in spending it today and tomorrow will take care of itself.
As for the CC, it's the Amaz one.
We do use Amaz a lot during the year, so it made sense given we pay it off 8n full every month.

SandyShores

Grogged said:

As for the CC, it's the Amaz one.
We do use Amaz a lot during the year, so it made sense given we pay it off 8n full every month.

Same here.  You get an introductory voucher - about £25, then points on your spends which turns into a voucher when you've built up £10.  I've had quite a few, as we spent loads when we moved especially as we've got prime so the free delivery was a huge bonus during the lockdown(s).

I've also got a Sainsbugs credit card, which handily gives you nectar points (and had an introductory bonus).  I've also started shopping via the Avios/BA website as that gives you Avios points which can also be turned into nectar points. We spent a lot at DIY places after we moved so earned lots of points there too.

I meant to say as well, that when we took on our large mortgage last year £310k in total, I had a few sleepless nights, but a year on I don't really flinch.  I love my home and although we are currently paying more than we were in rent, I love seeing the equity go up and the mortgage go down.  I would definitely recommend you to take that step

LadyWithAPlan

@SandyShores £310k.. Good to know you have relaxed into it, I guess focusing on paying it off early helps. Plus rising equity..

Will look at amaz. I think I read sainsb card does not accept self employed as looked at it before when I got my 1 cc 

LadyWithAPlan

@Grogged many of mine are as well on the buying what they want.. I do have some older friends who are far more pragmatic and also I know some creative  people who really did not plan for retirement. Which is making me focus on mine. 

LadyWithAPlan

Weekend  round up - hope you are all well.

So I am definitely a bit hungover today. I was out both Friday and Saturday with 2 sets of friends, none of which I have seen this year . Drinks (only) were £35 one eve and  £45 last night  plus a cab home late of £19..  ouch.. especially as the house buying is looming.  Having said that I have not been out in Central London for months and I am single and live on my own.  This is why I saved so much last year ... nowhere to spend it. Over a decade ago I started doing a budget which is where I largely gave up eating in restaurants and I never really did takeaways anyway, but the drinks bill was just my share of the bill. 
I had not budgeted for that much in my entertainment/restaurant  category so had to raid some pots.

I am thinking I could stop drinking alcohol til I buy my home to save cash ..., but I know for my sanity I need to see my friends, so many are finally coming back to London or we feeling we can get out finally  so I will have to balance  going out v spending. So next month I will budget a bit more on my entertainment but make it stretch further. I also need to start comping to win fun things to do with my friends.
I also am aware that since i have been back I have not trained as much as I did when I was away and swimming in the ocean so I am not feeling as fit. I was planning to go to the gym today but was definitely headachy so alcohol slows down my fitness goals.

My friends parents also sold a home recently and they have lots of beautiful antiques they are getting rid of. I am heavily eyeing up a piece of ceramic art but its £500 - I know I will love it forever .. but it will diminish that off my deposit. Having said that I spent £100+ going out this weekend.  So I need to think about that, it is a one-off but I dont need it, I just want it. I will see it again next week, they have some lovely chairs but its this art piece I am looking at. I do have some very cool art but this fairly ridiculous... I do have a bit if birthday money left over from my MSE Vacuum robot purchase but £70 not £500


Baltazar the robot is still joyously doing his bit, I even persuaded my friend to get one... Tried mopping yesterday - it was great  and I get up and switch him on first things as a new habit, my flat has never looked as clean floor wise.

MB
I did some MB and low risk casino this weekend but not that much. i am gubbed by quite a few bookies now but do want to keep getting value from that whilst I can. I am looking now more at horse racing extra places (EP)  as know it is a good way to earn some but its fiddly with the fast prices so I have set up a new spreadsheet to just track that. I can then review weekly and see where I am going right and wrong.
I used to track every bet, trade and casino but I know am pretty clear on that. The EPs though I have not done consistently.
I have just tilly tidied some of my bookies into my main bookies bank acct but I will leave it to the end of the month - anything over my £3500 float is my profit - its feels slow  for a month so far but football only really started a week or so ago ..


Grocery
I saved 49p with the lidl coupons so counting that as free money
I finally got to Lidl for a biggish shop, a TOO GOOD TO GO Waitrose bag today and some reduced foods and chocolate/crisps  from the coop. So loads in now  to last me I think til the end of the week. I also donated a couple of things in my magic bag to a neighbour as my freezer was too full and I would not eat it. 
£37.37 over the weekend.
16-31 Aug Grocery Challenge =  £39.97/£70  so this is pretty good

I have about £20 in cash so I can watch where it is going.

August  Free Money  = £83.55
Nectar  points used £17.50 
Green Jinn £1 + £2.13 I did not know was there  + £1 = £4.13
Co-op  75p + 50p 
£12 Too good to go voucher
£10 uber eats voucher 
Amazon £6 gift card offer

£20 – neighbour sale

£12.18 Prolific C/O - more to come out as I wait to hit the next £5

Lidl coupons 49p

Travel  Pot

I am trying for the first time to have a travel pot - tubes, buses, cabs etc and then transfer the money back into my main bank acct as it gets spent. It is a bit fiddly but good to see where it is going and whatever is left at the end of the month will get transferred to  my savings

Credit Card 

I was looking at getting a new CC for points  eg the Amazon one suggested above but maybe if I am getting in a mortgage in a couple months I should wait as I dont want unnecessary credit checks. I have a pretty high credit score so .

PB - I am waiting til mid this week and then will move over 10k or so to PB from Marcus,

Goals for this week.

Get up each day by 7am  - so bed by 11am latest

5 days at least in the gym as I feel much better for exercising daily

Finish my programme this week

Get my kitchen tidied

Ebay  list or sell at least 5 things (I did one last week) 

Get my August free monry to £100 - by selling and surveys etc

Get my house deposit to the £68,700 mark at least by the end of August - or £68.800  through free money, TT and sales.

Grogged

All ticking along nicely.
As others have said plan for your own fun.
Personally as we're heading into a bank holiday, I'd do the PB sooner rather than later to get them into the October draw.

LadyWithAPlan

@Grogged ah I had not thought of that. I will action. 

Sistergold

Oh hello @LadyWithAPlan. 

Was just going through your diaries and have joined in to cheer you on and say hello! You have a good plan going here and well done as you have made great progress with saving your deposit! I can not wait for you to have a place of your own! 💋 Xx