I have a dilemma and would love your thoughts…
Young family with a toddler and infant. We are in our 40’s with low paying jobs. We own a 2 bed unit, purchased for 1.35 during the peak. Now worth about 1.1.
A friend owns a house worth about 1.3. Nearing retirement age, casual employment.
She has proposed we each sell our properties in 2020 and buy a dual occupancy house together. Separate living quarters with a shared yard.
It seems like terrible timing given we’d be selling at the bottom of the property cycle but also possibly a great opportunity to buy a house whilst we are still of working age.
We would of course buy in the same market which would hopefully offset our losses.
For what we’d be able to sell for, what we hope to buy (dual occupancy house) and where we’d want to buy (Eastern Suburbs beaches Sydney), it’s probably unlikely.
Can anyone think of a better plan?…TerrywParticipant@terrywJoin Date: 2001Post Count: 16,190
Not doing this maybe a better plan!
What could happen if one of you dies, goes bankrupt, family law separation, capacity, have a falling out, wants to sell etc?
If on separate titles it might be worth considering, but on one title there would be many issues to consider.
Also, are you properties paid off now? If not could you qualify for finance again?
Seek legal advice on the risks.SakoParticipant@sakoJoin Date: 2019Post Count: 13
I second what Terry said.
Seek legal advice and make sure you’re protected, because once money is involved, people change.
Thanks terry. Always appreciate your sage advice.