Saturday, February 1, 2020

Help to Buy: Homeowner halves housing outgoings after saving £25k in less than a year

From finding the perfect home to sorting the financial side of the purchase, the world of property can seem tough to navigate through. However, purchasing a home is something which one homeowner, who has shared their story exclusively with, certainly doesn’t seen to regret, having ended up with mortgage repayments which are half of his previous rent.


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David McMillan, 36, moved into his brand-new two-bedroom apartment in Woolwich, London towards the end of 2018.

Having purchased the property, on the Lovell Homes’ Trinity Walk development, he explained that the move was something which made “so much financial sense” to him.

“My mortgage is now half the rent I was paying when I lived in Croydon and that was for affordable housing rent,” he says.

As well as saving himself money on accommodation outgoings, his new pad is spacious too – boasting two balconies, two bathrooms, and plenty of storage.

It’s a feature which is a big plus to David, who works in the transport industry.

He explains: “A big part of the decision-making process was the amount of storage available in the apartment. So many new builds don’t have enough.

“I love a tidy place, so to be able to have all my things tucked away out of sight was very important.

“I joke that you can get a bath in my storage cupboard – but it’s true.

“Friends who have come around also can’t believe how big the apartment is.”

While saving for his deposit, David checked out a number of housing options before purchasing his now-home – viewing 15 different developments in the capital.

David had spent six years paying rent, but his mission to purchase in London saw him save more than £25,000 for a deposit in less than a year.

“I had been trying to save up for a deposit for years but only achieved a few thousand pounds in the bank,” he recalls.

“I needed to focus, so I decided not to go out and I didn’t touch a drop of alcohol for nine months.


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“I didn’t go on holiday; I worked a lot and became a bit of a hermit. But it paid off and I saved enough for a deposit.”

The Woolwich apartment came in at a cost of £465,000, and David says the Government’s Help to Buy scheme played a huge part in being able to buy it.

“I couldn’t have bought this apartment without Help to Buy so it worked very well,” he says.

David put down a deposit of £27,000, and received a Help to Buy loan of £186,000.

He also has a mortgage loan of £252,000 – paying £790 for his mortgage per calendar month.

He adds: “I knew I wanted to live in south east London and the Royal Borough of Greenwich has a lot to offer.

“I love the area – lots of character, old buildings and Woolwich has got so much going for it – bars, restaurants and coffee shops.

“I can go for a run and be in green, open parks in minutes. It’s lovely down by the river too.

“The area offers a great lifestyle and the transport links are excellent. I’ll also be able to get to work in half the time when Crossrail opens. As I said – it ticks all the boxes.”

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