thank you so much miss cinders i really do need to work out a budget seperating everything similar to you do but its so hard when you are already behind companies dont seem to get the daily struggle (i see where they are coming from too we have the services its our responsibility to pay for them) luckily we dont have credit cards and went to prepaid internet so we arent obligated to pay monthly and its so much cheaper but we do have things like austar not a nessesity but i cant seem to let go ... yet!
We have just started the change jar ive been keeping a tally off it and it is slowly building theres about $9 of just 5c pieces in there!
Hi mrsS. My sis just bought a place and because they were first home buyers they didn't have to pay as much stamp duty. It was $2000 instead of $12000. Something like that. Also, they were able to buy with a very small deposit ($10000 I think) and they just paid mortgage insurance. I would look into your options. It might not be as difficult as you think x
If you can see a financial councellor they can get in contact with the companies & work out a plan for you. A FC doesn't cost anything [unlike a financial planner who costs an arm & a leg!]. That was what helped us when we got in a huge hole afew years back. It made a world of difference and we were able to catch up and stay on par from then on.
Getting a budget organized is a necessity especially after you've bought the house. Saving can't happen unless you are willing to let go of some non-essentials but don't go overboard. You need to live a little sometimes too. Be realistic. We have a mortgage and I have all our expenses listed in a budget. A weekly amount goes into a separate account for expenses and by the time the bill arrives the money is there waiting. You can get some great budget templates off the Internet that do all the calculations for you. My sister uses the one from David Koch off sunrise. HTH! x
One really good tip is to live now as if you are already paying your mortgage and put the extra money you would be paying into your savings - that way you know for sure that you can afford the mortgage and while you are doing it you are saving for your deposit. So you need to be banking $342 a f/n for a year and you will add $8892 to your deposit plus any additional money you can spare.
I also agree that you need to do a very detailed budget covering all incoming and outgoing money - you will need to add things like rates, repairs etc to your expenses when you get a place so it would be good to save for these too.
Well with your savings (10k) and the baby bonus also the same amount $20,000 puts you with a better base deposit...
Coming from a real estate family... It's better to have a bigger deposit and I think the stamp duty is reduced or free on first home buyers homes, I'm not sure if there is a grant though anymore...
Home advertised price is ale ays higher than they will accept. So if you look at a place for $300,000 you would make a first offer of 265,000 and it would probably be accepted. Keep this in mind when looking, you can always negotiate, and you'd be surprised by how much
mmmm saying $342 a fortnight more isnt that much more... IT IS, its almost an extra $700 a month and thats without more interest rate hikes, do you have that spare at the moment? its heaps more darl, sorry i dont want to be a downer on this but servicing a $270.000 loan isnt easy, remember there is also house abd contents insurance, rates, bills etc... if something major breaks you have to pay for it.
Can u speak to your MIL about doing a deal with her to buy the property you're in by paying her what your paying now in repayments?
I find the best way to save money, is to commit mentally to ONLY buying new things when absolutely necessary. It's simple, and maybe you already do it! But I buy as much as I can secondhand (whether from op shops, on ebay, at markets etc), and I have saved a small fortune by doing that over the years! Also, with stuff for the pantry, I buy in bulk rather than small packets.. also a big saver. Grow some veg too?
See if there is a Freecycle group online in your area - another great way to get stuff you need and save money - and to get rid of stuff you don't need.
Maybe you could swap kids clothes (or yours) etc with other Mums in the area? Just a few suggestions.
The other general suggestion I would make is that if there is nothing tying you that particular region, there may be properties which tick all the boxes for you in a slightly cheaper area. We moved to a fairly remote (and beautiful!) area partly because it was so affordable. Now we work to live instead of living to work
As for your MIL and living in her house... I would be moving out and paying someone else rent until I could save to buy! She sounds like hard work. and best of luck with all your plans.
I don't want to be a downer hun, but I think you might have a way to go yet. You also need to factor in legal costs which add up, and of course moving expenses. At best you could probably borrow 95% of the value of the house, but 90% or less is preferred and of course under 85% you don't get hit with mortgage insurance. If you are looking at 95%, 5% of $300 0000 is $15000 plus you will need to come up with at least enough extra to cover legals, stamp duty, pro-rata rates, moving expenses, costs for things like pest and building inspections, building insurance, preferably contents insurance, and you do usually need to make your first repayment in advance. So I would say at least $30 000 to make sure you have enough. Plus the lender will want at least one of you to have a stable, secure job, and you will need to demonstrate a savings history. Even if you were lent $30 000 it is unlikely that you would have a mortgage approved without being able to show your ability to put money aside each month.
Is renting from someone else for a while an option? Or could you ask your MIL if you can go on a rental contract like you weren't family, so that she is liable for the cost of repairs that are not your fault?
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and best of luck with all your plans.
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