How a university student, 21, was able to put down a deposit on a Melbourne apartment while working as a BARISTA – and his risky saving tips
- Adam Feng, 21, purchased a luxury apartment while working as a cafe barista
- He worked 56hr weeks to afford the $510k one-bedder at Sky Garden complex
- In six months he saved $50,000 working as a barista for just $18 per hour
- Feng balanced his cafe job while studying at Melbourne’s RMIT University
A university student who worked as a barista in between classes for just $18 an hour was able to save a $50,000 house deposit in six months by investing in the stock market and getting a second job.
Adam Feng, 21, who is only in his second year at RMIT University, bought the luxury apartment from the Sky Garden complex in Melbourne’s Glen Waverley back in May.
The student, who was tired of living at home with his parents, scored a $510,000 one-bedroom flat at the height of the Covid pandemic by picking up extra hours at his casual job as a barista for just $18 an hour.
Feng also got a second job paying $21 an hour and was able to work 56 hours each week when his classes shifted online due to the threat of the virus.
‘I had no social life,’ Mr Feng told News.com.au. ‘But I saved $50,000 in six months.’
Adam Feng, 21, bought his first apartment while in his second year at RMIT University Melbourne, so he could move out with his girlfriend (pictured)
The ambitious student also invested a portion of his savings in the stock market during the early stages of the pandemic.
Mr Feng said a fifth of his deposit came from investing his weekly savings into the market, taking advantage of plummeting stock prices.
The 21-year-old has also saved every spare penny since he got his first part-time job at his parents’ bakery when he was just 14 years old, instead of spending his earnings by going out with friends or taking trips away.
‘I didn’t have anywhere to spend money so I just saved it,’ he said. ‘I didn’t like going out with my friends.’
Even with his great saving habits, Mr Feng was unable to save the full $102,000 deposit and was given a helping hand by his parents.
The student saved $50,000 in just six months to buy the one-bedroom apartment at Sky Garden complex in Glen Waverley (pictured)
He has since paid his parents back in full but has had to rely on them to pay off his mortgage after Melbourne entered its sixth lockdown, leaving his job in limbo.
One in three young Australians rely on the bank of mum and dad to get into the competitive housing market.
A finder survey of 1,028 property newcomers found younger Australians are turning to their parents with 32 per cent of first-home buyers relying on them to either fund a mortgage deposit, service a loan or cover the full purchase price.
Finder calculated that an equivalent of 3,779 Australian adults every month were relying on their parents to pay for a home.
Almost a quarter, or 23 per cent, of respondents relied on their parents to either fund a mortgage deposit or the loan repayments.
A smaller proportion, 12 per cent, relied on their parents to cover the full purchase price.
He afforded the $510,000 property by investing in the stock market, while balancing University and work
Despite saving $50,000 for a deposit his parents had to chip in the rest for a home loan from the bank