What I Own: We saved £40,000 in a year and bought our £440,000 London home

Welcome back to What I Own – Metro’s property series where we speak to homeowners about getting on the ladder.

When Mike Wooller and his partner Dave started saving for a deposit on their first flat, the whole world had shut down.

As the UK went into lockdown, they managed to keep their jobs – and decided to dedicate ‘every penny’ of their disposable income towards getting on the property ladder.

They truly set their minds to the task and ended up saving the entirety of their £40,000 deposit in just over a year, buying a flat inside a converted hospital wing in Camberwell for £440,000.

Almost five years on, they’re selling their home, which they completely renovated, for £525,000.

Here’s what Mike had to say about their property journey…

Tell us about yourself!

We’re Mike and Dave. I work in podcasting, and Dave works in procurement.

We’ve both lived in London for over 15 years, and I’m originally from Portsmouth and Dave from Stockport. We got married a couple of years ago and will have been together for ten years later this year.

Whereabouts is your property? What do you think of the area?

Our flat is in Camberwell, South East London. We bought it just over five years ago in summer 2021 after falling in love with the area while renting nearby in Peckham.

Camberwell has a really village-like feel, especially for somewhere so close to central London, which we love. There are loads of great local pubs and the food scene is incredible, with some amazing restaurants, bakeries and cafés nearby. We also had our wedding ceremony at Southwark Register Office just over the road, so the area will always feel special to us.

How much did your property cost in 2021?

£440,000.

How much was your deposit?

£44,000.

What is the monthly cost of living here now, both mortgage and bills?

Around £2,750 all in.

How did you save up for your deposit?

We were very lucky to keep both of our jobs during the pandemic. As we weren’t really going anywhere or spending much, we put all our disposable income into savings, so we saved the full deposit amount during this time. We’re very aware of how fortunate we were to be in that position. We basically saved every spare penny we had, which quickly added up. Neither of us had any savings beforehand.

What was the process of getting a mortgage like? Did you find any parts challenging?

As first-time buyers, we honestly had no idea what we were doing. Going through a broker made the process much easier. In hindsight, we would have shopped around more and taken a longer fixed term. We opted for two years, assuming rates would go down, which didn’t quite work out.

Can you share details on your mortgage (rate/term)?

We initially fixed it at 3.19% for two years. The deal came up for renewal almost exactly as Liz Truss’ mini-budget sent rates haywire, so we moved onto a tracker in the hope that things would improve.

We’ve since locked into a fixed rate at 3.9%. Our repayments are now around £400 more per month than when we first bought.

What made you want to buy rather than rent?

We wanted to get onto the housing ladder sooner rather than later, as we were both in our mid-30s at the time. Renting is more flexible, but it started to feel like we were just paying off someone else’s mortgage and not having the freedom to make the place our own. The mortgage was only around 25% more than the rent we’d been paying, so it felt like a no-brainer.

Our rented flat was in an old converted school, which was great for parties, but this feels more like a proper home.

How did you find this property? What made you choose it?

We were keen to live in a period or conversion property since they’re usually pretty well built. We were drawn to the area first, but then to the building itself, which used to be a Victorian infirmary tower.

It’s a large circular brick tower with original Victorian windows, and we’d never seen anything like it. The views across London are amazing, and we get to watch the New Year’s Eve fireworks every year from the windows.

How have you made the property feel like home? What’s the inspiration for your interior style?

We’ve essentially renovated the entire flat. The previous owner had great taste and had really looked after it, but we wanted to open it up and make it feel more spacious.

We knocked down some partition walls, installed a new kitchen, flooring and storage, and opened everything up so we could talk while cooking. We have very similar tastes, which made decision-making a lot easier. With the help of a great interior designer, Leo Wood, and countless hours on Pinterest, we went for a 70s-inspired look with a New York loft feel.

A lot of design inspiration came from the furniture we’d already bought over the years. We loved what we had and didn’t want to replace things, so we just designed around it. Leo brought some great ideas we’d never have thought of.

How much did the renovations cost you?

We released some equity from the flat and then used savings and a loan to pay for it. We spent around £75,000. It took around four months all in. I ended up doing some of the kitchen fitting and installing the appliances, plus we painted the bedroom ourselves. I’d advise not going for the cheapest contractor!

What’s your favourite piece of furniture in the house?

Probably the chandelier above the dining table.

What’s your favourite room and why?

The main living space. It’s open plan, full of light, and we love the views over London from the windows.

With your home being an old hospital, do you find that spooky at all?

We don’t believe in ghosts, thankfully, but it’s never felt spooky at all. With converted properties, you usually end up with higher ceilings and more space, which is great. The build quality always seems to be sturdier, too.

Have you ever had any issues with period properties?

Period properties are often listed, so there’s a bit of paperwork to do if you plan on doing any major renovations. Our current flat is grade 2 listed, so only external or structural work needs additional permission. 

Are there any problems with the property that you have to deal with?

Nothing major. It’s leasehold, so there’s the usual admin that comes with that. The service charge and ground rent are fairly reasonable for inner London.

What do you want people to know about buying a home?

If possible, spend less than you can technically afford on your first home. It’s tempting to stretch to the biggest place your budget allows, but with mortgage rates so unpredictable, you need to be able to cope if costs rise.

Any spare money can go into improvements or just enjoying life. We’re glad we took our own advice.

What are your plans for the future?

The flat is actually on the market now. We needed a second bedroom for the family, so we’ve decided to move on and let someone else enjoy it.

Shall we take a look around?

Do you have a story to share?

Get in touch by emailing [email protected].

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