Forums / Getting Technical / Finance / Possible Options

2019 Money Magnet Symposium - Discover how to make, and keep, more money and achieve a financially empowered future
Viewing 9 posts - 1 through 9 (of 9 total)
  • Profile photo of nccncc
    Participant
    @ncc2145
    Join Date: 2014
    Post Count: 2

    Hi,

    I am a first home buyer with an annual income of $120k. Wife doesn’t earn and have 2 kids.

    Have about $20k that I can use as deposit.

    Few questions:
    1) What should be the budget that I could look for to purchase a new home?
    2) What are the possible suburbs in Sydney that I can consider within this budget?
    3) How do I leverage the FHOG towards financing my purchase of the home?

    Cheers
    CC

    Profile photo of Jamie MooreJamie Moore
    Participant
    @jamie-m
    Join Date: 2010
    Post Count: 5,069

    Hi CC

    Welcome aboard :-)

    1. Generally what you can afford – but keeping in mind that the banks have their own way of determining what your maximum borrowing capacity is. Unfortunately $20k won’t stretch too far in Syd when you take into account that 5% is the minimum deposit and then there’s purchase costs too (which usually amount to around another 4% of the purchase price….assuming you’re not getting any concessions and are buying established. If you’re buying something new you might be eligible for the FHOG and stamp duty concessions).

    2. You would have to beef that deposit up a bit for Syd – it’s an expensive city to buy in! Out far west the prices are cheaper.

    3. It needs to be a new property that you’re purchasing. Are you buying new?

    Cheers

    Jamie

    Jamie Moore | Pass Go Home Loans Pty Ltd
    http://www.passgo.com.au
    Email Me | Phone Me

    Mortgage Broker assisting clients Australia wide Email: [email protected]

    Profile photo of nccncc
    Participant
    @ncc2145
    Join Date: 2014
    Post Count: 2

    Hi Jamie,

    Thanks for your response.

    Yes, I am looking at new properties.

    How do I leverage the FHOG towards financing my purchase?

    Cheers
    CC

    Profile photo of TerrywTerryw
    Participant
    @terryw
    Join Date: 2001
    Post Count: 16,173

    There is no FHOG in NSW I beleive.

    Terryw | Structuring Lawyers / Loan Structuring Pty Ltd
    http://propertytaxbook.com.au/
    Email Me

    Lawyer, Mortgage Broker and Tax Advisor (Aust wide) http://propertytaxbook.com.au/

    Profile photo of Kinnon BellKinnon Bell
    Participant
    @kinnon
    Join Date: 2014
    Post Count: 151

    There is a $15k FHOG for new homes in NSW. As of 1st Jan 2016 it will be reduced to $10k.
    http://www.osr.nsw.gov.au/grants/fhog

    NCC, when you say you want to leverage the FHOG towards your purchase are you meaning you want it to form part of your deposit or you’re just wanting to take advantage of it?

    Kinnon Bell | Kinetic Funding
    http://www.kineticfunding.com.au
    Email Me | Phone Me

    Mortgage & Personal Loan Broker based in Cairns and Melbourne but servicing clients Australia wide.

    Profile photo of Mick CMick C
    Participant
    @shape
    Join Date: 2010
    Post Count: 1,099

    There’s 2 FHOG in NSW still current as of today.

    1. $15,000 cash grant for new proprieties ( can be completed just never sold), off the plan, vacant land ( lay foundation within 12 month of settlement) – till Jan 2016…

    After Jan 2016 it drops to $10k

    2. Second grant is the Stamp duty waiver or reduction for first home buyers buying vacant land and, new properties and off the plan.

    Both grant has a purchase price restrictions ~$650,000- $750,000 depending on the grant you want to target. Speak to OSR and your lawyer.

    The FHOG can form part of the deposit for your property but if your own deposit is less than 5% in genuine savings you may need to apply for a non-genuine savings loan.

    Mick C | Shape Home Loans
    http://www.shapehomeloans.com.au/
    Email Me | Phone Me

    Same Banks. Better Rates. Served With a Passion.

    Profile photo of JayJay
    Participant
    @ches
    Join Date: 2014
    Post Count: 8

    Hi Team,

    Need some advise please

    My partner doesn’t want anything to do with home loan or any debt, so what i have done is i have contacted my broker and talked to him about my situation and see what my borrowing power could be i was told yesterday according to the numbers (income & liabilities) i can only borrow $100k i was told i need my partners income to boost up my borrowing power. I feel stuck but i don’t want to be stuck.

    what can i do? someone help please.

    Thanks Team

    Profile photo of TerrywTerryw
    Participant
    @terryw
    Join Date: 2001
    Post Count: 16,173

    Jay,

    Not much you can do if that is the case except:

    1. earn more income
    2. talk your spouse around
    3. find another partner to invest with
    4. speak to another broker to check the figures.

    Terryw | Structuring Lawyers / Loan Structuring Pty Ltd
    http://propertytaxbook.com.au/
    Email Me

    Lawyer, Mortgage Broker and Tax Advisor (Aust wide) http://propertytaxbook.com.au/

    Profile photo of JayJay
    Participant
    @ches
    Join Date: 2014
    Post Count: 8

    Thank You Terry i will definitely ask around if anyone wants to do a partnership. thanks for the advise

Viewing 9 posts - 1 through 9 (of 9 total)

You must be logged in to reply to this topic.