mandy1963

Thanks to everybody who gave me advice on 100% mortgages.Now i am worried that if we never manage to save a big enough deposit,bearing in mind that each month we save money that is another month that house prices have gone up again. We end up at retirement age (worst case posible)And still in rental,with no wage coming in,how do you pay for the rent??Does the owner kick you out once you have retired,the thought panics me,but the reality that could happen is so real.What is the answer to my latest problem?
Of coarse we will save as much as we can,but with the food shopping being so bloody expensive here,and when you are on just flat money it is hard

Stitch

What put you off the 100%B route. That's the only option available to us so that's where we're going.

Cheers

Ginny

mandy1963

Just i had lots of replys saying it was very expensive,extra costs with insurances etc for a mortgage of 80% or more.And recent problems with the mortgage broker Rams.Also not to touch the brokers with a barge poll.
We may still try 100% as i cant relax being in rental,forever watching not to damage anything buy accident that sort of stuff.But as we have not got a pot to piss in to be quite frank,and other half had no chance of overtime yet it feels like our options are very limited

Stitch

We went to speak to our bank the Westpac. They will lend 100% for the property and yes we will pay heavily in fees (which we will have to fund ourselves). Mortgage insurance I think for a house approx $350K works out around $13K with the rest of the fees around $3-$6K. It's our only way that we can see. Also spoke to Mortgage choice who were really helpful and the info was just about the same as a broker we spoke with and the bank.

Cheers

Ginny

theshinenz

Not to put downer on things, I would have thought most people would have thought about the scenario by the age or 30 or so of what their long term goals are and work towards them, if you leave it too late to save you've probably got into a habit of not being able to, so one would think that renting may be better a better option, I'm guessing that the payments on a 100% mortgage would be quite a bit more than renting?? IMO anyway.

smoggieswilltravel

Hi

Look at o2b Australia on the net (thats o for orange not zero 2b), they are a new company setting up in Oz. Basically its for people who can afford the monthly repayment for a home loan but are not able to get the initial deposit that would allow them to get a home loan and purchase a house. The web page is very clear and explains everything. They basically let you choose a house or they can find one for you through there contacts. The house must be 4yrs old or less. o2b then purchase the house and you move in straight away, no deposit required. You then pay a monthly amount which is considered rent and an amount that is invested into a savings fund which over a period of years 5-7 grows to be your deposit. At this point you can secure a home loan in the normal way through your choice of lender. You purchasing the house off o2b at a pre-arrange price and off you go. You are able to break out of the arrangement and take the savings with you (not sure if its 100% but it maybe).

I went for an interview for this company and they have been advertising on the TV, you'll recognise it when you see it. Not sure if they are operational yet as they are interviewing to staff the offices. The roll out is going to be throughout Oz, the office I was interviewed for has been delayed, so its on the books but maybe not quite yet.

Look into it, it maybe a way out of the renting scenario.

Good luck

Michelle

Timber Floor Au

What a dickhead comment that is mate.

Some people have made huge financial sacrifices and commitments in getting where they are geographically.

Spend some time considering the whole picture, before passing such crappy negative comments , ill founded and without rhyme reason or positive opinion

Timber Floor Au

Ginny,

If you borrow 100% mortgage, good onya, thats what its there for.

Some sad cases sit in their ivory towers, on a 80 or 90 % mortgage, and dont realise, that in 5 years time, you will have gathered an equity profit of perhaps 40-60% dependant on location and luck.

Lets hope your equitable performance out does the so called, "Oooh you dont wanna do that brigade !"

Steve

theshinenz

Yeah, I guess so, I am in a bit of a grumpy negative mood tonight, fair enough. Still think if you want something bad enough though theres no reason why you can't have it if you focus and set your mind to it though.

Stitch

I think in an ideal world this could be true but sometimes circumstances take your life down a different path. Not everyone has been able to work towards long terms goals (doesn't mean to say we don't have them).

Cheers

Ginny

Stitch

It's a hard one. Would love to have the deposit etc but as you said earlier some of us made a massive financial sacrifice to get here. Would love to get back on the property market so that I can maybe feel at home again.

Cheers

Ginny

Stitch

Thanks for the info on this.

Cheers

Ginny

Timber Floor Au

loz

We are seriously looking at this option. We have just got all the info through the post and have decided it is probably the way for us to go. There are 2 offices open in Brissie at the moment, one at the Gap and one at Mt. Gravatt.
When hubby can get some time off work we will go see them. Will keep people posted if they are interested.

Loz x

themerlin

Sounds a little too good, the devil is aways in the detail.