Comments on: First Home Buyer Hell

By: FIRST HOME BUYERS – KEEP SAVING « Professionalsbathurst's Blog

FIRST HOME BUYERS – KEEP SAVING « Professionalsbathurst's Blog — Thu, 08 Jul 2010 00:16:34 +0000

[...] FIRST HOME BUYER HELL – THE BAREFOOT INVESTOR [...]

By: FIRST HOME BUYERS – KEEP SAVING « Professionalsbathurst's Blog

FIRST HOME BUYERS – KEEP SAVING « Professionalsbathurst's Blog — Thu, 08 Jul 2010 00:16:34 +0000

[...] FIRST HOME BUYER HELL – THE BAREFOOT INVESTOR [...]

By: Elecsafe

Elecsafe — Wed, 30 Jun 2010 09:59:58 +0000

Here Here mate, just look at Japan

By: Fatcat

Fatcat — Sun, 27 Jun 2010 08:22:48 +0000

Im a single mother with 3 children the youngest still at home for me the govt grant has been a godsend. I bought my 2 bedroom unit in a beach side suburb just over a year ago for 272k i had saved just over 25k while raising my children on my own with little to know financial help from there father. I have always worked full time and at times worked second jobs, cleaning or whatever was available to save and to pay for extras for the kids. I rented the property out for the first 6 months and since then have payed off close to 40k. I have had a wonderful time making a home for myself and my children as we have always rented, everything always felt so temporary until now. So we paint and build, polish and decorate and plan………….life is wonderful as long as you save and live within your means.

By: Rose

Rose — Sat, 19 Jun 2010 05:25:41 +0000

The term “mortgage stress” is a bit misleading in my opinion. What is it really measuring? When my husband and I decided to move into his investment property we were paying more than 50% of our income into the mortgage to meet minimum repayments. Most journalists call mortgage stress 35% of income going to mortgage – so we were well and truly in “stress” by their definition. Yet we never had to miss a payment – in fact we paid extra because we had it spare. So how useful is this definition? On a small income, 20% on housing may be too much, on a larger income I could handle a much higher percentage – as shown by being able to live comfortably on 50%, on a really big income I could conceivably pay 80% onto mortgage and still be able to pay living expenses. It's not the percentage left over that is important, but the actual amount. Wouldn't it make more sense to say that mortgage stress is when your income after mortgage payments is below the poverty line for your income unit excluding housing?

By: Garth

Garth — Sat, 12 Jun 2010 08:55:34 +0000

Purchasers need to take responsibility for their actions; first be prepared to live within your means; do not over extend youself financially; do not shoot for the top; be prepared to start out small; consolidate and then move up to the next level; ensure you have at least 20% of your own funds to purchase a property

By: Bernie

Bernie — Sat, 29 May 2010 11:34:12 +0000

“With a poor credit history and little savings, Daniel chose to borrow over 95 per cent of the purchase price.” Really, by May 2009 it was not possible to borrow 95% with a poor credit history. Does this guy actually exist?

By: Ian

Ian — Thu, 27 May 2010 06:38:10 +0000

Have to disagree Manlander. The benefits of Home ownership. No constant moving. Once debt is paid off you have much more finacial freedom.This should done as soon as possible to reduce overall interest paid. Also your home should not be looked at as money in the bank,but a roof over your head. Unless you plan on buying more dwelling's for the purpose of investment, then it becomes different, but try not to risk your private dwelling, keep it safe and hold onto it. As far as employment goes, the longer you have been employed by the same company the better the payoff, if a redundancy occurs. As long as you can find another job sooner than the redundancy can reduce the mortgage. I must admit with more people staying single longer or forever, is much harder on one salary to buy that dream home. But as a single person I did,I took that redundancy (16ys) worked hard to pay down the loan in seven years by renting it out living as cheaply as possible. But I did buy in 2001 when prices were a little lower, but a $205K loan on a $48k income was still a challenge, yet having $75k deposit and a good mortgage broker helped secure a loan. Now, like Scott preachers. I'm going somewhere warm for three months to escape the winter. And remember, it all comes down to… supply and demand.
Good luck to all and go for your dream

By: Rob

Rob — Mon, 17 May 2010 16:44:22 +0000

In 1980 the average house price was about 3x average wage, now it is about 7x. You had it easy even with high interest rates.

By: fee283

fee283 — Thu, 13 May 2010 05:42:19 +0000

I bought my first property in June last year at 24 – not to take advantage of any government bonuses, but because an apartment that I really liked came up in the area I wanted to live in at a price I could afford… Yes I had assistance from my parents – both knowledge & financial as they have a property portfolio… I also rented it out for the first 8mths… This helped me get used to having a mortgage whilst paying down other debts & curbing my natural spender ways… I furnished a 2 bedder for less than $1k with creative ideas, op shopping & ebay & am very proud of my home… The interest rates are not my favourite & they aren't really effecting me yet – just taking a little of my extra spending money… As a single woman paying of this apartment, it's been challenging & I haven't been able to do all the things my friends have done [gone overseas, large savings accounts, etc] but I am very happy with my success to date… I have a roomie who pays rent fortnightly which helps me with the beloved strata levies…

I don't think my generation really grasps the concept of being successful without having 'stuff' everywhere… I much prefer diligently paying off my property to having designer everything – not that it wouldn't be nice, but because of where my priorities lay… Sure it was nice to have the bank give me $500k to spend, but not taking it all was one of my best choices…