Can someone please tell me if I'm in a good position?

[JamSandle]

So...im completely illiterate when it comes to finances. I've been able to stay at home most of my life (early 30s) and after a period of living overseas and travelling which blasted my savings I've built up 30K.

I'm still at home but not sure if I should stay there and keep saving or make the move to move out.

If you were me, what would you advise?

I have no assets but also no debt. My 30k is in isas etc.

No this isn't a troll post. I just want to know what the best thing to do to protect my financial position is.

I talk to my dad but he literally tells me nothing. Perhaps likes that I'm 'dependent' on him in many ways.

Am I doing okay? How can I do more?

Thank you.

What part of the country do you live and do you want to remain there or would you be prepared to move to a cheaper area?

Are you thinking of using your £30k as a deposit to buy a home?

I live in the south east and ideally would like to stay there. I know its expensive though.

I would potentially use the 30k as a home deposit.

How much do you earn? As well as a deposit, that's the important factor in whether you can afford to buy your own home. Plus expectations about property size, area etc.

You can learn a lot about mortgages, plus budgeting and everything else 'money' on Moneysaving Expert. Have a look at their first time buyers guide to learn about mortgages and what sort of property you might be able to afford.

www.moneysavingexpert.com/mortgages/mortgage-guide/

But you probably want to wait a year or two to see what higher interest rates do to house prices and mortgage costs. If you buy and prices drop, your deposit could be wiped out. But if you buy after prices drop, it could be a lot more affordable for you than it is now.

I earn approx £37k before tax. I also have a second job i work to get a bit extra. I'll look at the link you've shared.

I worry as I have dyscalclia and really don't understand how any of this works!

The south east is expensive and mortgage costs are spiralling with the interest rate. Can you afford to move out? Have you checked prices and how many you can borrow and can you pay it still if interest rates continue to rise? Unless you’re really unhappy living at home I’d continue to live there and save as much as you can

If you had bought your own home and 30k saved i would say yes but 30k saved and still living with your parents in your 30 isnt great.

What would you recommend I try to save to?

I'm still very happy at home overall. Think it may be best if I stay and keep saving.

I'd recommend looking on rightmove for suitable properties and seeing how viable they are on your salary. You can find calculators to work out how much you should be able to get on a mortgage too. If you put it all together it'll give you a better idea of how much deposit you'll need

I think you have to get used to a smaller income.

If you have a mortgage it will be a huge expense, and currently it's not clear if you are paying any kind of rent at home.

So what ever your income is take away £800 every month.

This will come out of your income at the start of the month
Put it into a long term savings account/ whatever you are most comfortable with. Stocks are not for you unless you can keep the money there for over 10 years.

Whatever is left over is your income to live with or save. Any increase in your take home income. 40% goes into the longterm savings and pretend you dont have this- this will fight lifestyle inflation.

The money you have for long term savings is only to be touched for buying a house and nothing else.

Basically you need to get used to paying a significant amount of your current income- for rent/ mortgage. So you need to get used to base your living costs on a much smaller amount of cash than you presently do. Then when your income increases dont just increase your expenses.

Are you paying your parent’s mortgage / rent? Or what do you spend your money on?

At best you’d qualify for a mortgage of around £175k so plus your deposit you’d be buying around the £200k mark. Your repayments on a 25 year mortgage would likely be around £1100-1200.
if you’ve been out of the country you may also be behind on pension and NI contributions.

How much do you have spare each month to save? I assume your outgoings are quite low if your living at home?

Take some financing courses. Learn a bit about how investment work or don’t work.

That doesn't sound like a lot of savings to me at your age on that salary.

I think it depends on how long you have been back home, and if you are paying rent to your parents.
Why don't you look at the price of the sort of house you would be interested in, and use an online calculator to work out a mortgage repayment, then try putting at least that amount into a savings account each month. You might also need to add in utilities/food - depends on the deal you are currently on. Then you would know about how much money you would have left, and the sort of lifestyle you can have with a mortgage.

I would definitely use the £30k as a deposit for a home.

Also, do you have a pension?

Yes I have a pension:) I've just opted in to go for the maximum payment as my work will match this.

I pay rent at home although not much. Some has gone on studying which has advanced my career and most on travel.

About a grand. I'm aiming to be really strict through the winter and just put away as much as I can.

Are there any you'd recommend? I would like to learn more about this. With dyscalclia I find it all very impenetrable and never was taught much about it at home. Id like to take responsibility for my finances now. Better late than never!

In that case no, being in your 30s and living with your parents but having so little in savings is quite poor.

Are you on minimum wage? If not then I’d expect you to be saving quite a bit more than that.

I should have read further, sorry.

You presumably have about £1,500 per month after your housing costs, or £18,000 per year? Do you know where it all goes?

The first step to getting your finances in order is to get a handle on this; write down exactly what you have coming in and going out each month, and then people will be able to offer better advice.

I have a good wage but after my mum died I did a lot of exploring and living my life. None of it i regret. But now I would like to build on what I have.