bridie

Grasping at straws really...

We saw a beaut bit of land yesterday, asking price $295K which, with stamp duty, comes out at just over $305K. We would need a mortgage for the full amount, had a quick look when we got back and even over 30 years the repayments are over $2,000 a month so therefore out of our reach.

I wondered whether there is any type of mortgage you can get where you just pay a minimal amount until a house is built on it? What I'm thinknig is, we buy the land, in a year or two we build a house at which time we sell the house we;re living in (which has a tiny mortgage tehrefore freeing up equity which would cover the cost of the land plus most of the new house) and move into rented.

like I said, grasping at straws but I wanted to know if it was a possibility as we'd love to get this land if any chance whatsoever

thanks

harveyhare

Bridie
Can't answer your questions but would also be interested to know how it can be done.

Good luck

Di

Swerv-o

Can you not get an interest only mortgage on it?


S

bridie

didnt think of that..... cant find a calculator to show what the monthly repayments would be on this basis though....

NickyC

$305000 * 8% (or whatever the interest rate is) / 12.

Still works out to be around $2k a month.

bridie

ok, thanks

still then!!

NickyC

Could you not sell your current place now (get a bridging loan to buy the land in the meantime) and move into rented until you're ready to build?

If the land is a really good buy it might be worth bringing your plans forward a year or two.

tictac

Bumping this as we're thinking alongside the same lines, but we are 'first timers'

We'd rather take our time and consider our options as opposed to rushing in and buying something (a house) we end up not liking.

I'd be keen to know whether investing in land at the current time is classed as a good investment - as opposed to just putting money into the bank

If there are any A-Z/Dummies guides to buying a plot of land out there, I'd be keen to get hold of it

Cheers