Last edited by IndieBelle; 24-09-2014 at 18:26.
Subbing out of interest
Okay a quick rundown:
Yes grants can help with deposit but you still need savings. You need to prove to the bank you are disciplined enough to save / make loan repayments.
Most lenders require a minimum of 5% of purchase price - but the more the better. And don't forget on top of that you need to cover fees - stamp duty (not sure of concessions available in QLD), conveyancing etc. Which can be 15-20k ++.
Keep in mind when you do own a home it's not just the mortgage and normal bills you are paying. You also pay rates, water, building insurance and any maintenance
Do you have other liabilities? (Credit card, store card, interest free purchase, personal or car loan)? Try to pay these down as well.
Your best bet is to speak to a mortgage broker. Mortgage choice do not charge. You should do this soon and they'll give you a better understanding of where you are now vs where you need to be to buy.
Thanks for that. Seems like it will be out of reach for us for a while Just got to work on our savings
Indie belle I fully recommend going and seeing a mortgage broker! We thought we would be turned away at the door 3 months later we bought our first house! If anything they get you motivated to save for that house
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Thanks, I might look into that then. Worst week this week. Pay day finally came around and hubby says "Can you pay the electricity bill" (he gets paid next week) so BOOM! My entire pay gone in one bill :/ Not much savings happening at the moment :P
Congrats on your pregnancy indiebelle!!
Buying a house is a huge commitment and huge debt. Most banks and brokers will lend more than you can afford, not leaving room for many surprises. Also you will have to pay mortgage insurance if you borrow over 80% without a parental guarantee (ie when your parents or someone uses there property to secure your loan)
Also need to consider that interest rates are very low atm and can increase anytime 5 years ago before gfc they were up around 10%
Not sure about other states but fhog is no longer available in qld it is now only for first home owners who build their own house or buy one that has never been lived in and built in last 12 months
Don't get me wrong it is def doable but make sure you allow for the unforeseen unfortunately I see all too often how terrible things can go for ppl when unable to meet house repayments and the repercussions of a bad credit rating
Good luck please don't think I'm trying to scare or talk you out of it but make sure you are fully informed
Dh an I bought 5 years ago and it's great having your own home bit nervous as I'm expecting twins in oct and up until now have always worked full time so will be a huge adjustment
Definitely see a broker, let them know you're wanting to work out what you need to do to be in a position to buy.
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