I currently rent in an area (in Sydney) where the median house price is $750,000.
I'd like to buy our family home (PPOR) in this area but can't afford to pay that much for a house.
I'm thinking if it's even possible that I could afford a house here that I will need to get creative – like developing, subdividing, reno etc.
I have access to $150k, and can only afford repayments on a loan of $350k. I'm also a 1st home buyer so I think I'd get $15k if I bought/built a new home + no stamp duty.
Has anyone been in a similar situation and found a solution?
Any ideas?
Continue to rent in the area that you wish to live and then buy investment properties in areas that are within your budget and that you can afford.
Buy investment properties that have a upside, Ie renovation, subdividing and developing. Gain some equity
Save longer and more intensely
Go halves in a large home with another person (in your area you wish to live ie 700k home). Perhaps with the opportunity to convert a 4 bedroom home into 2 /2 bedroom homes and you each retain one of your own. Good houses for this include bungalows and houses that have dual entryways already.
You took the words right out of my mouth wilko! Agree 100%.
Jacqui Middleton | Middleton Buyers Advocates
http://www.middletonbuyersadvocates.com.au
Email Me | Phone MeVIC Buyers' Agents for investors, home buyers & SMSFs.
Hi CJH, there are other ways to purchase a home creatively and you can do it through Vendor Finance. You can assume someone's home loan without having to get a new one from the bank. Should you want more info on how to do this, read Rick Otton's book "How to buy a house for a dollar". Cheers, T43
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