Australian pays $ 343,000 mortgage in just eight years

This story is part of the Cash Confessions series of news.com.au

In order to realize the great Australian dream of owning her own home, Fiona Kelly made a decision that few would think of: buying a yacht.

In 2015, the 47-year-old woman announced that she had made the decision to leave the mainland to live in a sailboat moored on the Brisbane River. She saved thousands of people and helped repay her mortgage in a fraction of the time. .

Today, Fiona's living costs – including "rent", food, electricity and other utilities – are $ 21,600 a year, and the low cost of living there. Helped repay his mortgage loan of $ 343,000 in just eight years.

Having no children and living a very unique lifestyle aboard a 28-foot yacht, Fiona knows her lifestyle is not suitable for everyone. But believing that changing the way you approach your daily expenses could help others spend less and save more each week.

She participated in News.com.au's Cash Confessions series, which examines how Australians spend on a daily basis and save their income.

Fiona, who has worked as a technology trainer for major companies around the world over the past 20 years, says she's always been sparing in spending.

In 2006, she moved to Melbourne after being offered a job at Goldman Sachs, an investment bank. Four years later, she had saved enough money to buy a house 7 km from the central business district of the city. This decision earned him a heavy weekly refund.

But instead of living in her new property, Fiona put her home on the rental market to earn income and help repay the $ 343,000 mortgage.

After moving to Katherine in the Northern Territory a few years later, she quickly landed a job in Darwin, where she met her partner, Kevin.

Their point of view on rent payments was right – they did not want that expense, so they changed their lives so they would not have to.

"We decided to clean up," Fiona told news.com.au.

"It is not always easy, but for all this year in Darwin, we only paid $ 1950 a year for rent.

"I know that this lifestyle is not suitable for everyone.Sitting at home, you have to take care of your house, your pets, the cleanliness of the property and go home at night. financially, it's very good. "

Their last home visit was a seven-week vacation in 2014 at Magnetic Island, off Townsville, Queensland. During their stay, they made the decision to find a permanent living situation that would not hurt their hip.

"We saw a sailboat on the island," she said.

"We had nowhere to live in Brisbane and we did not want to pay rent, so Kevin decided that he wanted a sailboat and I joked that we should post an ad on Gumtree to find one.

"It worked and we found one in Brisbane, a 28-foot yacht built in South Africa that was already around the world before and managed to get it for $ 6,500.

"As he was in good condition and had no electricity, he spent the last two years converting his motor into an electric battery powered by solar energy."

Life on a boat may seem like a dream for some and a nightmare for others. But by reducing their grocery bills and paying only $ 281 a month to tie up their homes, their money goes much further than if they paid a weekly rent.

"On average, I spend up to $ 27,000 a year on all my expenses, but this year I'm expecting to spend less than $ 21,600," she said.

"For that I live, eat and sleep well, but it took a few adjustments, we have all our facilities down, like a shower.We do not have a car, so I go to work by bike or walk.

"Most people would not be able to live like me, but I do not want to keep saying," I want to be on vacation "… I want to be able to go.

"Basically, I would not have paid off my mortgage in eight years if I had not made that change."

Fiona says her biggest expense now is monthly moorage fees and public transit. Without a car, Netflix account, Internet and a cheap mobile phone plan, his annual income of $ 81,000 as a technology trainer in Brisbane extends over a long period.

"We do not limit what we do, but my motto is that it must be worth the money," she said.

"Eating outside is expensive, but if the value is good, I'm ready to do it."

Fiona says her partner Kevin is the weekly store and that he's always aware of his approach when visiting the supermarket, reducing their weekly budget to $ 110.

"We will always shop several times a week," she said.

"We go there when the meat is drunk, so we have very good food, but only buy when it is reduced or on sale.

"If there is something in the reduced section, we will usually get it in. We do not plan meals at all, because we are open to what will be on sale.

"I'm stunned to see how people are getting older and just want to have the time to go on vacation and relax, but you have to work for that and really save and not spend your money.

"We see people with the new car, the new phone, the new dress, I love clothes and I have very nice expensive dresses, but I'm also happy to shop at the op shop.

"Is it difficult? Yes in some ways, but nothing can prepare you for the feeling of owning a property and no longer having to pay any bank interest."