A young woman has revealed the tricks she used to purchase her first house aged just 25 – despite operating in an extremely competitive real estate market.

Hannah Armstrong learned from an early age the value of being frugal. Her mother Cath founded shopping deal site ‘Cheapskates Club’ when she and her husband both lost their jobs in the same week. 

The now 29-year-old said that while many people might be looking for quick fixes or corners to cut she was able to achieve home ownership by steadily chipping away at keeping her expenses down.

‘It’s been built into me from a young age to not go into debt and to save for things,’ Ms Armstrong told Nine News.

‘I remember being young and saving for the Olympic Barbie that came out in 2000 for Sydney, and to save for the roller skates and toys I wanted. I would do little chores around the house to get five and 10 cents to put towards it.’  

She spent two years painstakingly saving a $55,000 deposit so she could purchase the $270,000 four bedroom house in Victoria’s Gippsland region in 2019.

And she did it on a customer service officer salary – with some of that two years spent only working part-time.

Prior to that she was an apprentice hairdresser on a $380 a week pay cheque but managed to fund her own car and take a holiday to Europe.

Hannah Armstrong has revealed how she bought a house aged 25

She spent two years painstakingly saving a $55,000 deposit so she could purchase the $270,000 four bedroom house in Victoria’s Gippsland region in 2019

Ms Armstrong said she was ‘shocked’ she was able to gather enough money for a house deposit but did it by ‘putting her head down’ and following a budget.

‘I get paid fortnightly. So every fortnight I sit down with a pen and paper, write out what I’ve received, and then go through my budget.’

She also extends the simplistic but effective strategy to how she handles money – choosing to use physical cash for all her purchases.

She said this trick forces her to be more aware of how much she is spending. 

She also keeps her money in separate accounts for each of her budget categories and can only use that cash for its assigned purpose – an old trick known as cash stuffing, referring to filling labelled envelopes with notes.

She has grocery shopping down to a fine art – buying in bulk wherever she can, making her meals from scratch and going to farmers markets to find cheaper and usually better produce.

Ms Armstrong said she was ‘shocked’ she was able to gather enough money for a house deposit but did it by ‘putting her head down’ and following a budget

Another effective trick she often uses is to entertain friends at home rather than going out and meeting somewhere.

Despite already owning a property, Ms Armstrong hasn’t let up on her strict money management techniques.

She said she is aware that interest rates could change and push up her mortgage, as has been the case in the last two years, and repairs could be needed for the house.

Within seven years she has calculated she should be able to pay off her mortgage.

Once she has a foot on the property ladder she said she intends to gradually step up to one day owning her dream, all done through budgeting and willpower.