Saving for Deposits

[Chalky78]

Hi All,

 

I wondered if anybody has any inspiration that they can pass my way. I am currently in the process of buying my first buy to let, and I have started thinking about how I will fund the next property.

 

I can currently save approaching £1,000 a month and am putting this in various bank accounts and regular savers to try and get the best interest rates.

 

Bearing in mind that I will hopefully need to withdraw the funds in 2-3 years does anybody have any ideas for where I may be able to get more growth than the interest rates in the accounts, or share what strategy they use to save their funds. This may not make the biggest difference to begin with, but as the profits grow I would hope to be able to put them somewhere similar.

 

I would be extremely grateful for any suggestions.

 

Thanks

 

Dave

[James S]

Hi Dave,

 

I too have been in the situation quite a few times now, so I really understand your want to speed up the process!

 

Previously I have used the saved money and put it into stocks and shares, ideally bluechip ones that you know are pretty secure. 

 

I've also used ISA's before but the returns aren't fantastic if I'm honest. The Santander 123 account is arguably the best bank account with good incentives and cash back rewards, here's the link - http://www.santander.co.uk/uk/current-accounts/123-current-account

 

I came across this company a while back and thought it would be perfect for anyone at the start or in the middle of saving for a property investment, here's the link - http://www.buy2letcars.com/ They offer some pretty decent short term returns and may be the perfect solution to your problem?

 

Another good suggestion is to become extremely frugal, which in short doesn't sound much fun, however in the long run could really add up. Have a look at your expenditure and see what could be cut down or even taken away.

 

Saving £1000 a month is pretty decent so well done!

 

Keep going mate, you'll get there!

 

Hope this has been helpful.

 

Cheers,

 

James

 

 

 

 

[Greg Ashall]

Hi Chalky,

 

I am in the same position as you! So eager to get the deposit and dive in!

 

I currently have 1 BTL and looking to move on to the second and if you are anything like me you want everything yesterday :') !

 

I would suggest setitng up an Excel Sheet with  your Income/Expenditure/Goals/Savings Targets.

It makes you feel like you have progress and can see yourself reach your goals each step of the way which keeps me going.

Also it highlights exactly what your money is being spent on and what expenditure you may be able to reduce.

 

Regarding additonal income in the current cilimate you might have a job on your hands but if you have the time then look at what skills you have and how you could use them to earn some extra income. (http://www.google.co.uk/url?sa=t&rct=j&q=&esrc=s&source=web&cd=1&cad=rja&uact=8&ved=0ahUKEwico8SQ84XRAhVMI8AKHYlDD7UQFggjMAA&url=http%3A%2F%2Fwww.madfientist.com%2Fside-hustle-nation-interview%2F&usg=AFQjCNE6SN0yLXJCT41q_WePRV65kSbPrg&bvm=bv.142059868,d.d24)

 

 

Stay motivated and get as much knowledge as possible now why you dont have the distraction of a portfolio.

 

Good Luck

 

Greg