69 replies to this topic

[Katiebal]

sophiesmum, on 09 September 2010 - 10:11 PM, said:

life-is-beautiful, on 09 September 2010 - 06:16 PM, said:

There are a lot of expenses owning a home thats for sure

yep but in the long run you are so much better off, house prices double on average every 10 yrs, so morgage repayments would be highter then rent to start but after 10 yrs or less rent would have gone up so much it would be cheaper to pay a morgage and you have something to show for it in the end, your not just paying off someone elses morgage making them weathy.

Thats what I hate about renting and why we so want to buy.

[Chiron]

Apparently the banks have got a lot stricter since the global financial crisis.

[EarthMother]

Chiron said:

Apparently the banks have got a lot stricter since the global financial crisis.

Yes that is correct!

[mokster26]

House prices don't double every ten years - its a relatively common myth. I wish they did - cos in 40 years time my house would be worth 14 million dollars!!!!!
There are benefits to owning a home but as pp have said you have to bear all the expenses and fix everything yourself which is a pain and quite stressful sometimes.

[blondelizzard]

You could try something like this - http://www.housing.v...roup-self-build

Not sure if it's done where you are

mokster26, on 10 September 2010 - 12:02 PM, said:

There are benefits to owning a home but as pp have said you have to bear all the expenses and fix everything yourself which is a pain and quite stressful sometimes.

Can be very stressful. Make sure you go over your insurance with a fine tooth comb - when the fires went through last year, we were covered for most things, but we weren't covered for plants that were burnt if they were in the ground - only covered for pots Something I never EVER would have thought to ask about.

[chachee]

MoM have you ever looked at them little cabin type things that are permantent in caravan parks?? They are only about 90,000 and thats in brisbane. Maybe you could buy one of them....and save up a deposit and go from there. Renting does suck balls but we couldnt have kids if we decided to buy

[MissEdumacated]

thanks for the ideas everyone, I'll run all of them past DH.

To me buying is a LOT less stressful then renting, if you saw the current list of things I have on my plate at the moment, and the time that I have to do them, you would be as stressed as me. Overall I hate (with a serious serious passion) inspections and hate nosy owners. hate hate hate. I don't think I have ever used hate this much LOL, but I do.

If I ended up getting a crappy caravan and fenced land, yeah there might be times where I go "I hate this, it sux balls" but then I will remind myself its mine and theres no RE to deal with, and I will be on cloud nine again

[gecko]

We're currently doing our research and putting our finances in order with the hope of buying a house next year.

I'm finding it interesting listening to the pros and cons of buying over renting, all the expenses associated with owning, and home loan rules. Thanks everyone!

[milkandcookies]

gecko, on 10 September 2010 - 01:14 PM, said:

We're currently doing our research and putting our finances in order with the hope of buying a house next year.

I'm finding it interesting listening to the pros and cons of buying over renting, all the expenses associated with owning, and home loan rules. Thanks everyone!

For us, it is more expensive to buy than rent but we have the freedom of doing what we like to the property/house, no inspections or real estates etc. Besides the mortgage, because we live a bit rural we have added expense of envirocycle services, termimesh yearly inspections so it doesn't void the warranty, rates and water.

I have never had a problem renting but I love knowing that the money we are paying out is an investment for us, not someone else.

[Eggyj81]

Quote

For us, it is more expensive to buy than rent but we have the freedom of doing what we like to the property/house, no inspections or real estates etc. Besides the mortgage, because we live a bit rural we have added expense of envirocycle services, termimesh yearly inspections so it doesn't void the warranty, rates and water.

I have never had a problem renting but I love knowing that the money we are paying out is an investment for us, not someone else.

Exactly. Its a bit more each week but we have privacy, we have freedom to do things, and its our own investment. We bought this house after renting it for 3 years so we knew the area and the neighbours. Kinda like 'try before you buy' .

[mum2one08]

just want to add MoM that with getting a loan it also depends on if the house is rural or metro as well to how much they will lend out.



and to all those who said something about the 'savings' aspect.
the rules changed around nov last year (i know this first hand cos we lost 17k due to it argh, but wont go into it)
rent no longer can be classed as savings
first home owners grant cant be used as deposit
20% deposit (unless you have a garantor) which must be shown over 3 months.

also your children are taken into account when they are working out your 'servicabilty'
on one income its VERY hard to prove.

[MrsShe]

does anyone know...say if you were to have a gaurantor, would you need savings or not?

[Arimeh]

I just wanted to throw into the mix about what happened to us. We had sold our house in qld and ended up with 70 grand in our pocket. We found a block of land here in tassie for 95 grand. We applied for a loan of 25 grand and got knocked back, because we were paying rent - even though we had 70 fucking thousand dollars to put into the fuckin land. Not that it makes me angry to think of it or anything.

They said because we rented - we can't buy land because the rent and the payments of the land would be something we couldn't afford (even though I did the sums and we could - they have different amounts for what people spend each month so to THEIR calculations, we couldn't afford it).

Then we found a house instead, but its classed as rural, even though its only 25kms out of launceston - so they wanted 20% deposit instead of the normal 10%.

Banks are just fucked at the moment, its sooo hard - even if you have been with them for several years, and gotten a mortgage before with them, and several personal loans and a car loan - and they know you have good repay history - they just can't move much at the moment.

I hope you work out something suitable. You could always move to tassie and buy our place.. LOL

[Jodi]

I think it's already been mentioned, but google 'Vendor finance'.

[Lis86]

We spoke to a mortgage broker about 2 months back ...

We were told we need savings for 6 months of over $200/w and a 5% deposit on the purchase price. I stay at home and DP works and they would still lend us I think it was 350k.

So basically we needed 20k plus a savings record (and shares count if u have had them over 6 months)

He said that rent doesn't count as savings as such but they do count it like rent + ur savings should = repayments. So they know u can afford it, hope that makes sense
Doesn't help with the deposit but yeh that was what he told us

Edited by Lis86, 11 September 2010 - 07:20 PM.