Property
Jan 6th 2010, 6:14 pm
#1
Forum Regular
Thread Starter
Joined: Mar 2005
Location: Sunderland.
Posts: 256
Property
Hi,
I haven't been on the forum for quite a while with the lack of work in Oz for brickies. So everthing has just gone on hold before we apply for our visa.
With the big freeze here, not able to lays bricks, i've been watching WDU and i'm a little confused when people on the show are saying their house budget is £xxx amount, and they're going around looking at these nice homes in Oz. But when their home in the UK is being valued, and with the recession some homes are going in negative equity, am i correct in thinking that they must be getting £200,000+ mortgages when buying in Oz.
So most people who's moving to OZ, are they going with a lot of money from the equity of their homes, or getting very big mortgages.
I know renting is an option, which i would do for a few months to get to know an area before buying, but i feel you're just wasting your money, when it'd probably work out the same money for a mortgage.
I'd really appreciate any feedback, as i'd hate to start the ball rolling, get over there and find we can't afford anything half decent.
With the $ against £ being poor at the moment it's looking as though houses that seemed nicely priced, now seem quite expensive.
Do you think it's a waiting game at the moment, and don't take the plunge until things look a lot rosier.
Cheers
Steve.
I haven't been on the forum for quite a while with the lack of work in Oz for brickies. So everthing has just gone on hold before we apply for our visa.
With the big freeze here, not able to lays bricks, i've been watching WDU and i'm a little confused when people on the show are saying their house budget is £xxx amount, and they're going around looking at these nice homes in Oz. But when their home in the UK is being valued, and with the recession some homes are going in negative equity, am i correct in thinking that they must be getting £200,000+ mortgages when buying in Oz.
So most people who's moving to OZ, are they going with a lot of money from the equity of their homes, or getting very big mortgages.
I know renting is an option, which i would do for a few months to get to know an area before buying, but i feel you're just wasting your money, when it'd probably work out the same money for a mortgage.
I'd really appreciate any feedback, as i'd hate to start the ball rolling, get over there and find we can't afford anything half decent.
With the $ against £ being poor at the moment it's looking as though houses that seemed nicely priced, now seem quite expensive.
Do you think it's a waiting game at the moment, and don't take the plunge until things look a lot rosier.
Cheers
Steve.
Jan 6th 2010, 6:44 pm
#2
New Member
Joined: Mar 2006
Location: Wilmslow, Cheshire England
Posts: 12
Re: Property
I agree it really is a waiting game Oz was cheaper in 2000 but has now overtaken the Uk, so its either wait or except that you will get less, its surprising how many people still think its cheap
Jan 6th 2010, 6:48 pm
#3
Account Closed
Joined: Nov 2008
Posts: 531
Re: Property
Hi,
I haven't been on the forum for quite a while with the lack of work in Oz for brickies. So everthing has just gone on hold before we apply for our visa.
With the big freeze here, not able to lays bricks, i've been watching WDU and i'm a little confused when people on the show are saying their house budget is £xxx amount, and they're going around looking at these nice homes in Oz. But when their home in the UK is being valued, and with the recession some homes are going in negative equity, am i correct in thinking that they must be getting £200,000+ mortgages when buying in Oz.
So most people who's moving to OZ, are they going with a lot of money from the equity of their homes, or getting very big mortgages.
I know renting is an option, which i would do for a few months to get to know an area before buying, but i feel you're just wasting your money, when it'd probably work out the same money for a mortgage.
I'd really appreciate any feedback, as i'd hate to start the ball rolling, get over there and find we can't afford anything half decent.
With the $ against £ being poor at the moment it's looking as though houses that seemed nicely priced, now seem quite expensive.
Do you think it's a waiting game at the moment, and don't take the plunge until things look a lot rosier.
Cheers
Steve.
I haven't been on the forum for quite a while with the lack of work in Oz for brickies. So everthing has just gone on hold before we apply for our visa.
With the big freeze here, not able to lays bricks, i've been watching WDU and i'm a little confused when people on the show are saying their house budget is £xxx amount, and they're going around looking at these nice homes in Oz. But when their home in the UK is being valued, and with the recession some homes are going in negative equity, am i correct in thinking that they must be getting £200,000+ mortgages when buying in Oz.
So most people who's moving to OZ, are they going with a lot of money from the equity of their homes, or getting very big mortgages.
I know renting is an option, which i would do for a few months to get to know an area before buying, but i feel you're just wasting your money, when it'd probably work out the same money for a mortgage.
I'd really appreciate any feedback, as i'd hate to start the ball rolling, get over there and find we can't afford anything half decent.
With the $ against £ being poor at the moment it's looking as though houses that seemed nicely priced, now seem quite expensive.
Do you think it's a waiting game at the moment, and don't take the plunge until things look a lot rosier.
Cheers
Steve.
My biggest concern would be to buy immediately, only to discover that the area isn't all we thought it to be - leaving us with having to sell up and do it all over again. We believe it takes time to investigate new areas - especially a place as different as Australia. Ultimately we want to be sure that we are settled in our preferred place before committing to buying.
I also feel that while we have researched general living costs, we would feel safer and less stressed starting out with a rental so that we have the opportunity to experience the cost of living without the commitment of a mortgage.
But I'm sure there are others who think differently
Good luck with your plans
Jan 6th 2010, 6:51 pm
#4
BE Enthusiast
Joined: Jul 2009
Location: Sydney
Posts: 313
Re: Property
With the exchange rate at the moment there's no way I would transfer a big amount of money for a deposit, so I agree it's a bit of a waiting game. Unless I could get a 100% mortage and use my deposit to pay off a chunck later when the exchange rate is better.
Australian economy seems to be on slightly shaky ground anyway with the high level of debt and the ending of the stimulus package. I would wait.
Hang on also because you don't want to find yourselves not liking it out there and being stuck with a mortage.
Australian economy seems to be on slightly shaky ground anyway with the high level of debt and the ending of the stimulus package. I would wait.
Hang on also because you don't want to find yourselves not liking it out there and being stuck with a mortage.
Jan 6th 2010, 7:04 pm
#5
Account Closed
Joined: Nov 2008
Posts: 531
Re: Property
Hi,
I haven't been on the forum for quite a while with the lack of work in Oz for brickies. So everthing has just gone on hold before we apply for our visa.
With the big freeze here, not able to lays bricks, i've been watching WDU and i'm a little confused when people on the show are saying their house budget is £xxx amount, and they're going around looking at these nice homes in Oz. But when their home in the UK is being valued, and with the recession some homes are going in negative equity, am i correct in thinking that they must be getting £200,000+ mortgages when buying in Oz.
So most people who's moving to OZ, are they going with a lot of money from the equity of their homes, or getting very big mortgages.
I know renting is an option, which i would do for a few months to get to know an area before buying, but i feel you're just wasting your money, when it'd probably work out the same money for a mortgage.
I'd really appreciate any feedback, as i'd hate to start the ball rolling, get over there and find we can't afford anything half decent.
With the $ against £ being poor at the moment it's looking as though houses that seemed nicely priced, now seem quite expensive.
Do you think it's a waiting game at the moment, and don't take the plunge until things look a lot rosier.
Cheers
Steve.
I haven't been on the forum for quite a while with the lack of work in Oz for brickies. So everthing has just gone on hold before we apply for our visa.
With the big freeze here, not able to lays bricks, i've been watching WDU and i'm a little confused when people on the show are saying their house budget is £xxx amount, and they're going around looking at these nice homes in Oz. But when their home in the UK is being valued, and with the recession some homes are going in negative equity, am i correct in thinking that they must be getting £200,000+ mortgages when buying in Oz.
So most people who's moving to OZ, are they going with a lot of money from the equity of their homes, or getting very big mortgages.
I know renting is an option, which i would do for a few months to get to know an area before buying, but i feel you're just wasting your money, when it'd probably work out the same money for a mortgage.
I'd really appreciate any feedback, as i'd hate to start the ball rolling, get over there and find we can't afford anything half decent.
With the $ against £ being poor at the moment it's looking as though houses that seemed nicely priced, now seem quite expensive.
Do you think it's a waiting game at the moment, and don't take the plunge until things look a lot rosier.
Cheers
Steve.
Jan 6th 2010, 7:24 pm
#6
Forum Regular
Joined: Jul 2008
Location: Tapping, Australia
Posts: 85
Re: Property
We're also just waiting for our visa which we hope to have in the next few weeks. I spoke with an estate agent earlier today who said there has been an increase in interest within property in the last week alone and that it may not take too long to sell. (Obviously they ain't gonna try and put me off selling the house but fingers crossed!!!) Prices apparently haven't changed much over the past year either.
Jan 6th 2010, 7:37 pm
#7
Forum Regular
Joined: Aug 2009
Location: St Andrews, Scotland...Brisbane Bound!!!!
Posts: 174
Re: Property
Myrtle1 I totally agree with you on that one.....our plan is to rent for 12-18 months also to allow us the opportunity to see all the areas around Brisbane so we can make the right decision where to plant our roots!! Yes we're lining someone elses pockets but I couldn't imagine buying a house to find out months later that the area wasn't right for us and having the added stress of selling etc
L
L
We will be renting for at least a year - prob more like 18 months - before buying within Australia. While we also believe renting is akin to lining someone else's pockets, our reccie to Queensland showed us that it will take time to acclimatise ourselves to Australia and how everything works.
My biggest concern would be to buy immediately, only to discover that the area isn't all we thought it to be - leaving us with having to sell up and do it all over again. We believe it takes time to investigate new areas - especially a place as different as Australia. Ultimately we want to be sure that we are settled in our preferred place before committing to buying.
I also feel that while we have researched general living costs, we would feel safer and less stressed starting out with a rental so that we have the opportunity to experience the cost of living without the commitment of a mortgage.
But I'm sure there are others who think differently
Good luck with your plans
My biggest concern would be to buy immediately, only to discover that the area isn't all we thought it to be - leaving us with having to sell up and do it all over again. We believe it takes time to investigate new areas - especially a place as different as Australia. Ultimately we want to be sure that we are settled in our preferred place before committing to buying.
I also feel that while we have researched general living costs, we would feel safer and less stressed starting out with a rental so that we have the opportunity to experience the cost of living without the commitment of a mortgage.
But I'm sure there are others who think differently
Good luck with your plans
Jan 6th 2010, 8:21 pm
#8
Frequent Flyer Member
Joined: Jun 2007
Location: Melbourne
Posts: 10,994
Re: Property
August 9, 2009
Aussie average new mortgage highest ever
The average new mortgage lodged in Australia rose to $354,137 in July, eclipsing the previous record of $353,223 in October 2008, according to data from mortgage broker AFG released on Sunday.
I've seen a couple of episodes of WDU this week as well. Been quite surprised as it gets a lot of stick on here for being a bit fanciful but it really painted a (pretty accurate) picture that Aus is expensive, in many ways more so than the UK. Still a fair bit of BS on it as well but it's a lot more balanced than I expected.
Jan 6th 2010, 8:43 pm
#9
BE Enthusiast
Joined: Jan 2007
Location: Formerly Basingstoke now Gold Coast
Posts: 721
Re: Property
I dont know what all the fuss is about when people come to renting property. Renting over here is quite common and if you get the right property very affordable. The rent is often cheaper than the mortgage would be to buy the property, no rates to pay, no water bills to pay, no maintenance to pay, no agents fees to pay when you want to move which cost a bomb here, no taxes to pay on the new property.
To worry about lining someone elses pockets is often just putting pressure on yourself to rush into buying.
I have the money to buy a place but chose to invest and have the freedom to live a couple of different lifestyles before opting to buy and stay long term. Its an expensive mistake if you buy the wrong place and want to move.
In answer to the original question yes people are taking on big mortgages here, the government propped up the economy with loads of stimulus packages which are all coming to an end so I think it will be a bumpy ride this year. They would have been better off letting the housing market correct itself which is what was needed.
All said and done its a great lifestyle here and everything is still achievable if you are prepared to work hard.
To worry about lining someone elses pockets is often just putting pressure on yourself to rush into buying.
I have the money to buy a place but chose to invest and have the freedom to live a couple of different lifestyles before opting to buy and stay long term. Its an expensive mistake if you buy the wrong place and want to move.
In answer to the original question yes people are taking on big mortgages here, the government propped up the economy with loads of stimulus packages which are all coming to an end so I think it will be a bumpy ride this year. They would have been better off letting the housing market correct itself which is what was needed.
All said and done its a great lifestyle here and everything is still achievable if you are prepared to work hard.
Jan 6th 2010, 9:28 pm
#10
Forum Regular
Thread Starter
Joined: Mar 2005
Location: Sunderland.
Posts: 256
Re: Property
Thanks for the replies everyone,
Just to state that i have absolutely no qualms about anyone who choses to rent their homes, whether it be short or long term. After reading back my initial post "waste of money" is a very harsh term.All i was trying to say was, for me personally, the sooner i took the mortgage out, the sooner it'd be finished. The few months i said, might well run into 12 or 18 months to get a proper feel for the place, who knows.
I'd like to wish you all the very best of luck finding that dream.
Just to state that i have absolutely no qualms about anyone who choses to rent their homes, whether it be short or long term. After reading back my initial post "waste of money" is a very harsh term.All i was trying to say was, for me personally, the sooner i took the mortgage out, the sooner it'd be finished. The few months i said, might well run into 12 or 18 months to get a proper feel for the place, who knows.
I'd like to wish you all the very best of luck finding that dream.
Jan 6th 2010, 9:31 pm
#11
BE Enthusiast
Joined: Sep 2008
Location: newbury
Posts: 943
Re: Property
I dont know what all the fuss is about when people come to renting property. Renting over here is quite common and if you get the right property very affordable. The rent is often cheaper than the mortgage would be to buy the property, no rates to pay, no water bills to pay, no maintenance to pay, no agents fees to pay when you want to move which cost a bomb here, no taxes to pay on the new property.
To worry about lining someone elses pockets is often just putting pressure on yourself to rush into buying.
I have the money to buy a place but chose to invest and have the freedom to live a couple of different lifestyles before opting to buy and stay long term. Its an expensive mistake if you buy the wrong place and want to move.
In answer to the original question yes people are taking on big mortgages here, the government propped up the economy with loads of stimulus packages which are all coming to an end so I think it will be a bumpy ride this year. They would have been better off letting the housing market correct itself which is what was needed.
All said and done its a great lifestyle here and everything is still achievable if you are prepared to work hard.
To worry about lining someone elses pockets is often just putting pressure on yourself to rush into buying.
I have the money to buy a place but chose to invest and have the freedom to live a couple of different lifestyles before opting to buy and stay long term. Its an expensive mistake if you buy the wrong place and want to move.
In answer to the original question yes people are taking on big mortgages here, the government propped up the economy with loads of stimulus packages which are all coming to an end so I think it will be a bumpy ride this year. They would have been better off letting the housing market correct itself which is what was needed.
All said and done its a great lifestyle here and everything is still achievable if you are prepared to work hard.
Last edited by eugene43; Jan 6th 2010 at 9:32 pm. Reason: spelling
Jan 6th 2010, 9:49 pm
#12
Forum Regular
Thread Starter
Joined: Mar 2005
Location: Sunderland.
Posts: 256
Re: Property
Just to add to my other posts,
If people are taking out big mortgages is this a sign that the jobs situation is getting a lot better? or are these stats off a couple of years ago.
If people are taking out big mortgages is this a sign that the jobs situation is getting a lot better? or are these stats off a couple of years ago.
Jan 6th 2010, 10:44 pm
#13
Banned
Joined: May 2007
Location: Sydney
Posts: 564
Re: Property
Other posters such as ABC Diamond will say they will only lend you that amount if you can afford to repay it.
Truth is, people have to take on such a huge mortgage to get on the property ladder at any level in Australia due to the housing being the most severely unaffordable in the world.
Renting here enables you to live in a suburb you would unable to afford to buy into. It is virtually stress free. Pay the Electric, Gas and some of the water usage. Any problems, ring the agent and landlord pays. No rates to pay, no worries about interest rate rises. Yes, you are paying someone else's mortgage but until house prices appear to be nearing value for money or more affordable, I would not dream of risking taking on a big mortgage and waiting for the bubble to pop!
Last edited by swigski; Jan 6th 2010 at 10:45 pm. Reason: *
Jan 6th 2010, 10:46 pm
#14
Account Open
Joined: Jan 2005
Location: Brisbane
Posts: 4,298
Re: Property
deleted - double post !
Last edited by asprilla; Jan 6th 2010 at 10:57 pm.
Jan 6th 2010, 10:57 pm
#15
Account Open
Joined: Jan 2005
Location: Brisbane
Posts: 4,298
Re: Property
It should be noted that Aus inflation has been "rampant" over the past 10yrs, in comparison to UK.
You also need to factor in the big changes in exchange rates too, over this period. Currently the exchange rate is 1.74. Approx 10yrs ago it would have been 2.50 or 2.75 to the pound.
The average Australian mortgage is approx equal to : (1 man + 1 woman's earnings over course of 1 year) * 3.5