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First rung

How to get out of rental land and onto the property ladder is a conundrum many of us can see no answer to. Not that we’re not trying; Financial advice website unbiased.co.uk has reported that 40 percent of searches for mortgage advice last month came from first time buyers.

The dreadful reality is that these days, in order to successfully apply for a mortgage, you need to have quite a sizeable sum stowed away. Twenty percent of the value of the property is quite normal. So, if the place you’re looking at costs £200,000, then you’re looking at stumping up the princely sum of £40,000.

Of course this sounds – and is – a lot of money. But put your mind to it, and you can save it. Any spare cash will have to go into the pot, and you should set up a savings pot and make regular contributions into it from your wage packet - preferably by direct debit.

As well as a savings account, a good idea is to set up another, instant access, account, for miscellaneous amounts of money you didn’t expect to have. Transfer anything spare to this account, and above all try not to withdraw any of it!

Check through all your bills and see if there’s not a way of making everything cost less. Use price comparison websites to check if what you’re on is a good deal. Sell your junk on eBay and stick the proceeds in the savings pot.

Even if there’s not much coming in each month, you can save about £8,000 a year this way. And half five years of living this miserable penny-pinching life, you’ll have enough for a deposit. Voila!

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