Active discussions

Meet the Other Phone. Protection built in.

Meet the Other Phone.
Protection built in.

Buy now

Please or to access all these features

Talk
Money matters

Find financial and money-saving discussions including debt and pension chat on our Money forum. If you're looking for ways to make your money to go further, sign up to our Moneysaver emails here.

Original poster

What would you do in my position?

31 replies

DoItAgainPlz · 08/09/2023 19:43

I've been feeling a little lost and at a dead end recently. I'm posting here for advice.

I'm currently single and 30 years old, with no children.

I earn around £33k pa and have around £120k in savings.

I've spent my time boomeranging between renting and living with my parents. I'm currently living with my parents and now I'm no longer in my 20s, I'm finding it difficult to see a way out.

I just want an idea of where I'm at, financially. I know I don't earn a great deal, but I feel I have substantial savings. I would like to buy a house but I feel my income is too low. Would you agree?

Is it a total pipedream for me to buy somehwere while I'm where I'm at on the pay scale? Is there any easy way I can boost this to be earning £40k - £50k?

OP posts:
BarbaraofSeville · 09/09/2023 16:56

Your salary seems quite low for being a few years into a a career as a STEM graduate. We pay our graduate trainees only slightly less than that and we really struggle to recruit and retain because it's quite a low starting salary for the field.

I wouldn't buy just yet, but I'd possibly look at retraining or a career change to something a bit better paying (or advancing in your current career) but also being mindful about where you can live, as in the right area, your £120k plus any savings added to it will give you a 50-75% deposit on a 2/3 bed house or semi. So maybe look to buy in 2/3 years (I don't think property prices will be higher than they are now) when you're hopefully earning a bit more.

In the mean time, make sure all your money is in the best paying accounts - you can get 6% on a 1 year fix and 5% on instant access so you will earn a decent amount of interest. Also make sure you put the maximum amount in a LISA if you haven't already done so.

Appleofmyeye2023 · 10/09/2023 13:17

DoItAgainPlz · 08/09/2023 21:17

While this sounds appealing, I'm quite risk averse and like @Montydin says, I'm not convinced it would work for me, so not too tempted to go the BTL route.

I think the closest thing to this would be getting a lodger once I do buy - though I would have to see how I felt about that at the time.

Show quote history

Lodgers certainly easier to get out of property currently. Plus I think you can still earn up to £6k tax free form lodgers income?
yiull obviously need 2 bed house at that point. And ideally 2 bathrooms . Ideally 3 bedrooms so you can each have flexibility for own study/lounge….but that mounts costs up.

SweetLathyrus · 10/09/2023 15:44

I know you said you are now in your 30s, but lots of Universities are now offering 'lifelong' careers advice for their graduates. You could check out whether yours offers this.

As others have suggested, if you are struggling with what I presume is self-study for your next qualification, try to make connections with others doing the same - online groups - maybe even ask here!

You might also want to shift your perspective on home ownership to align more closely with your risk averse personality. Don't think about it as an investment, but as a place to live over which you will have control. And avoid media coverage of housing issues which is often South-East/London-centric and doom-mongering.

Original poster
DoItAgainPlz · 10/09/2023 18:07

BarbaraofSeville · 09/09/2023 16:56

Your salary seems quite low for being a few years into a a career as a STEM graduate. We pay our graduate trainees only slightly less than that and we really struggle to recruit and retain because it's quite a low starting salary for the field.

I wouldn't buy just yet, but I'd possibly look at retraining or a career change to something a bit better paying (or advancing in your current career) but also being mindful about where you can live, as in the right area, your £120k plus any savings added to it will give you a 50-75% deposit on a 2/3 bed house or semi. So maybe look to buy in 2/3 years (I don't think property prices will be higher than they are now) when you're hopefully earning a bit more.

In the mean time, make sure all your money is in the best paying accounts - you can get 6% on a 1 year fix and 5% on instant access so you will earn a decent amount of interest. Also make sure you put the maximum amount in a LISA if you haven't already done so.

I agree my salary is comparatively low.

But I just don't understand how everyone else seems to land these well paying jobs.

I've had pay rises totalling around 7k in 5 years.

I think a career change is definitely on the cards - but it's daunting to know which areas to go into and starting from the bottom doesn't feel great to me.

OP posts:
Original poster
DoItAgainPlz · 10/09/2023 18:12

SweetLathyrus · 10/09/2023 15:44

I know you said you are now in your 30s, but lots of Universities are now offering 'lifelong' careers advice for their graduates. You could check out whether yours offers this.

As others have suggested, if you are struggling with what I presume is self-study for your next qualification, try to make connections with others doing the same - online groups - maybe even ask here!

You might also want to shift your perspective on home ownership to align more closely with your risk averse personality. Don't think about it as an investment, but as a place to live over which you will have control. And avoid media coverage of housing issues which is often South-East/London-centric and doom-mongering.

The housing issues have definitely reached the North West - although maybe not as severe as those in the south.

The self-study is difficult but so are the exams themselves - the qualification is notoriously difficult to pass and recent changes mean passing is harder than ever.

I'm definitely considering home ownership as the chance for my own home rather than an investment. But I've also seen people mortgaged up to their eyeballs and with the recent interest rate rises...

OP posts:
PackBacker · 10/09/2023 18:16

I would buy a two bedroom place and then you have the option to rent out a room if you did need the extra money.

New posts on this thread. Refresh page