Man who bought two properties by 24 shares the advice he thinks could help first-time buyers
A 24-year-old has opened up about how he's already managed to buy two properties after beginning to save at the age of 18.
As the rest of us debate whether or not to buy that extra coffee but in doing so, risk having to live on baked beans for another few days, one man has bought not just one, but two properties. And by the age of just 24.
Since leaving college, Jacob Waddington didn't whisk all his money away on nights out, daily coffees, or avocado on toast, no, he decided to be sensible and save 50 percent of his wages each month.
The outcome? One $131,155 (£98,000) two bed house being bought at the age of 23. And then buying a $187,364 (£140,000) cottage at the age of 24.
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But surely it's not just as simple as saving each month? Well, Jacob has kindly revealed how he did it.
The 24-year-old from Lancashire, UK, revealed he started saving $1,338 (£1,000) every month - 50 percent of his monthly salary after leaving college at 18.
He'd got a job at a Telecoms company earning $32,124 (£24,000) a year and was still living at home, paying £200 to his parents each month.
When his wages increased to $44,170 (£33,000) he then started saving $2,007 (£1,500) each month.
Noting he and his girlfriend don't go out too often and so found it fairly easy, the pair were then able to put down a 25 percent deposit on a $131,155 (£98,000) two bed house.
They then did up the property, spending around $26,771 (£20,000), with Jacob leaving his job to work in a bar two days a week so he could foCcus on the renovations.
And it certainly paid off, the property later getting evaluated nine months later at $216,448 (£160,000).
They then remortgaged the property and rented it out at $1,171 (£875) a month - over double the $575 (£430) mortgage per month.
They then bought a second property in Pendle Hill at auction using the money made from remortgaging their first alongside a 75 percent bridging loan for 12 months on the rest of it.
Jacob has plans to redo it and turn it into an AirBnB, noting how 'picturesque' and 'historic' the area is.
He hopes he could rent it out at $160 (£120) per night, occupied 60 percent of the time and that it could ultimately make him $2,676 (£2,000) per month.
Minus the mortgage of $870 (£650) and council tax and bills and he could have $1,338 (£1,000) left.
Although, he's not planning on stopping just there either.
Jacob revealed he's planning on buying 'one more house to do up and sell and then maybe a doer-upper to live in' too.
The 24-year-old resolved by encouraging people to not get put off buying a house which 'needs a little work doing to it' whether it's to sell or live in yourself.
He said: "If you buy something a bit more run-down, you can get much bigger returns on it, as it will have increased in value."
Poppy Bilderbeck