A young couple from Seaham, England, have shared their journey to home ownership, revealing the strategies they implemented to save for their first property. Millie Atherton and Alfie Boardman, both just 19, began contemplating the idea of buying a home when they were only 18 years old. After diligently saving, they have successfully purchased a two-bedroom semi-detached house valued at £150,000.
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The couple has been together for five years and currently earns a combined monthly income of approximately £2,500, with Millie working as a trainee hairdresser and Alfie employed as an IT apprentice. They attribute their achievement to careful financial planning and smart savings methods, including opening a Lifetime ISA (LISA). This government-backed scheme allows individuals to save money while also benefiting from a 25% bonus on contributions.
Millie explained her approach to saving, stating that she opened a LISA to maximise their savings potential. Individuals can deposit up to £4,000 each year into their LISA until they reach 50 years of age, and the government adds a bonus of 25%, providing up to £1,000 annually. Millie was diligent about her finances, managing to set aside half of her weekly wages while covering necessary expenses such as food and transport.
Living with her parents also significantly aided their savings effort, as Millie was able to avoid rent and related housing costs. However, despite their focus on saving for a home, the couple maintained a balanced lifestyle. While they made sacrifices, they still indulged in takeout meals two to three times a week and socialised with friends regularly, adjusting their budget only slightly when it came time to buy.
As they neared the point of purchasing a house, they recognised the need for a more stringent budget concerning their outings. Alfie explained the adjustments they made, noting that they were typically not big spenders and preferred not to indulge in extravagant dates. Their main expenditure was takeaways, while clothing purchases were kept to a minimum.
When it came time to secure their mortgage, the couple needed a larger deposit than they had anticipated. Initially prepared with a 5% deposit, they learned that a 10% deposit was required. Lucky to have family support, they received help that enabled them to secure the necessary funds without compromising their hard-earned savings.
Millie and Alfie’s successful home-buying journey is an inspirational tale for many first-time buyers. “We feel incredibly proud,” Millie stated, reflecting on their achievements. “Our family knew how much we loved the house and didn’t want us to lose it.”
Alfie shared his advice for other aspiring homebuyers, suggesting that people should reconsider renting in favour of purchasing a home. He commented, “If you get on the property ladder, you’re already winning.” The couple’s story serves as a reminder that, with determination and prudent financial strategies, homeownership is an attainable goal for young people entering the property market.
Their successful purchase not only reflects their commitment but also sheds light on the potential of government initiatives like the LISA, which can make a significant difference for young savers. As they embark on their journey as homeowners, Millie and Alfie hope to inspire others to take similar steps toward financial independence.