Mortgage Stress - stick or twist?
Feb 12th 2008, 4:41 am
#16
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Re: Mortgage Stress - stick or twist?
Buying the land was seen as an investment and a way of recouping some of the costs incurred in getting out here and to provide a 'parachute fund' should it be required (ironic eh?). In 4 weeks the land has gained in value by at least $10k based on the prices of blocks on land 200m smaller in the same development.
2 years was the minimum amount of time we'd allow ourselves to settle.
We can live with the 1 hour commute. Kids *cannot* change schools. This is the big constraint.
2 years was the minimum amount of time we'd allow ourselves to settle.
We can live with the 1 hour commute. Kids *cannot* change schools. This is the big constraint.
Feb 12th 2008, 4:43 am
#18
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Re: Mortgage Stress - stick or twist?
Things change though. Tomorrow I might wake up and decide to move to Oman.
Feb 12th 2008, 4:45 am
#19
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Re: Mortgage Stress - stick or twist?
I know this might sound like hard work, but how about you improve your skills so you can earn more. I.e a degree in civil engineering.
Do the hard yards and you'll be rewarded.
Do the hard yards and you'll be rewarded.
Last edited by Potato_potato; Feb 12th 2008 at 4:47 am.
Feb 12th 2008, 4:46 am
#20
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Re: Mortgage Stress - stick or twist?
I'd move to somewhere cheaper like yesterday, but it again comes down to the kids and their schooling.
Feb 12th 2008, 4:52 am
#21
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Re: Mortgage Stress - stick or twist?
The gap between wages and house prices has grown enormously. I wouldn't feel comfortable taking on a 95% mortgage on a $550,000 house unless I was at least $180,000. Few people earn that here.
Feb 12th 2008, 4:56 am
#22
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Re: Mortgage Stress - stick or twist?
I'm not being funny tictac, but pursuing the same policies here as you did in the UK will get you exactly the same results . . . little or no equity in your house.
Feb 12th 2008, 5:41 am
#23
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Re: Mortgage Stress - stick or twist?
Maybe I'm missing something but, you own the land and think it will cost 550k to build on it?????????
Feb 12th 2008, 6:08 am
#24
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Feb 12th 2008, 6:34 am
#26
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Re: Mortgage Stress - stick or twist?
You can set the mortgage up as interest only but still make regular payments off the principal....so for example you get paid directly into the loan account / line of credit every month, the interest is deducted and whatever you dont spend by the next month is effectively paid off the principal. That just requires a bit of discipline but does allow flexibility when you wouldn't otherwise be able to afford a P+I payment in any one month.
Feb 12th 2008, 6:35 am
#27
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Feb 12th 2008, 6:39 am
#28
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Re: Mortgage Stress - stick or twist?
I can't see how it can cost 550k to build a house if you have the land?
