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Dead Money

Dead Money bought a house

6 posts in this topic

Hi all,

 

Well, this bear has decided to capitulate. After waiting out house prices to return to reason for more than 8 years, Mr & Mrs Money have decided "screw it" and bought anyway.

 

I suspect "nesting chemicals" may have played a part in our decision, an impending baby on the way caused a sudden disregard for wage/price ratios! So the pessimist in me says that this must therefore signal the start of the crash.......

 

Either way we can bring up our daughter in a home that we can call "ours", and unless interest rates more than double, we should be able to hold on financially. So I suppose value decreases here on will be largely academic for me.

 

I regret I can no longer play pirate with my gold investments - the house safe is incredibly barren now.

 

For anyone interested, we've picked up a recent build 4 bedroom house in the far outer suburbs of Melbourne - so feck all Capital Growth prospects. Honestly I'll be happy if it matches wage inflation by the time we sell it  ^_^ (Hopefully in the quite distant future). Being a shade under 600 square meters the block is a bit smaller than we would prefer, but all of the 1/4 acre blocks are in established suburbs - hence way outside our price range. Fortunately a nearby park will provide outside play options. 

 

Mrs Money already wants to buy a brand new hammer to start hanging pictures on all the walls when we move in  :laugh:

 

Cheers,

 

Dead Money

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Congratulations DM.

I hear you.

And I understand fully the dilemma you must have experienced.

Are prices ever coming down again???

Is this the new normal??

 

I say, enjoy your home.

Enjoy your family.

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Best wishes DM.

 

I hope that you've managed to save some of the interest payments with an increased deposit over the past years

 

I believe that interest rates will stay low for the foreseeable future so smash down those repayments...  :)

 

We'll probably buy some time this year as well.

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For anyone interested, we've picked up a recent build 4 bedroom house in the far outer suburbs of Melbourne - so feck all Capital Growth prospects. Honestly I'll be happy if it matches wage inflation by the time we sell it  ^_^ (Hopefully in the quite distant future). Being a shade under 600 square meters the block is a bit smaller than we would prefer, but all of the 1/4 acre blocks are in established suburbs - hence way outside our price range. Fortunately a nearby park will provide outside play options. 

Congrats!

 

600sqm is considered a large block these days. Your kid won't want to play outside anyway. I think we could build houses in a way that allows for more yard on small blocks - but we don't seem to want to and councils don't seem to want it either. We could build garages right to the front boundary. Parts of houses could be built right up to the house next door. 

 

Mrs Money already wants to buy a brand new hammer to start hanging pictures on all the walls when we move in   :laugh:

 

As long as she doesn't start watching the block you'll be fine. 

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Thanks all,

 

We were able to get together a 30% deposit, so we can avoid LMI, and have a little re-draw room as a safety net if needed. Equity maaaaaate!

 

Having said that, we're definitely planning on paying down the loan ASAP - this is the first time either of us have held debt for 10+ years (Not counting Uni debt), and I'd just as soon return to the feeling of freedom which accompanies such.  :thumbup:

 

Can't wait to set up the nursery  :)

 

Dead Money

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