Marc,
I would be careful in helping out your daughter when you haven’t helped out your other two. Why you ask?

Well, I moved out of home at 17 to attend university. My parents agreed to help me until I could find a part-time job by giving me $100 a week to pay rent and eat.

This lasted for the first year, in the second year I found a part-time job and no longer needed their money so told them to stop giving me any.

For the next 3 years, while I was studying full-time, I also held down a part-time job to fund my studies and my life.

During this whole time, my sister who decided not to go to uni (and is a year older than me) lived at home rent-free (my parents don’t believe in charging her rent, but always said they would charge me once I finished uni).

After uni, I met my now husband, we moved to Canberra together and tried to buy a house. We had money from a cash gift we received, enough to pay for the deposit and stamp duty. Little did we know that this did not count for our loan as we did not have “proven” savings. We immediately asked my parents for help knowing that we would be able to pay them back quickly (we only needed another 5% or around $5500 to avoid mortgage insurance) and we knew they had the money available.

As we hadn’t been together very long, they decided this would be a bad move, in case we had a “bad breakup”.

To this day I have resented them for this. They wouldn’t lend me a measley $5500 for a property which has nearly tripled in value since we would have bought it, but they are quite happy to have my sister live at home for 10 years since she finished high school absolutely rent free (she doesn’t even pay for groceries), but they couldn’t manage to lend me a small amount of money for something that was very worthwhile.

As you can see I am quite angry about this situation. It may not be similar to your situation, but I don’t know all of the facts. All I am saying is make sure you look at what your other daughters would think if you did help out this daughter. Have you ever let down your other daughters with financial support without a valid reason? Would they resent you lending/giving her the money?

As I see it, if my parents now turned around after all these years and leant my sister and her partner the money for a deposit on a house, I would be very peeved and want a great explanation as to why they can lend her the money, but couldn’t do the same for me.

Just me two cents worth.

Thanks,
Luckyone

a) Whether your first porperty was a PPOR or an IP,
PPOR to get the $14,000 first home owner’s grant. Has since been turned into an IP

b) What made you think about buying a first property and
My husband and I were getting married. We were sick of renting. The $14,000 first home owner’s grant came up. Too good an opportunity to pass up.

c)When you found the one you bought, why do that one suit?
It is close to the city, has great mountain views, something we could easily live in for the planned year and something that would easily rent out as well.

d) Was the first purchase emotive or done under proper due diligence.
Part emotion, almost full due diligence. We thoroughly researched the area to make sure that we’d like living there and so would others, however we didn’t check what other developments were due to go up in the next couple of years. There are now a heap of similar units in the area so hopefully our tenants won’t move out anytime soon.

I won’t buy a unit again though, cause body corporate fees are a rip off.

Thanks,
Luckyone

Hi Shirley,
6.9% sounds a bit high to me. Westpac has 6.65% for 2 years, and they’re one of the more expensive lenders.
Luckyone

Thanks,
Luckyone

Have a look at http://www.yourmortgage.com.au/calculators. They have plenty of different ones available including one for stamp duty http://www.yourmortgage.com.au/calculators/stamp_duty/

Luckyone

Thanks,
Luckyone

You could lock in your interest rate

Hi Mini,
Could you please send me the details as well to luckyone at actewagl.net.au.
Thanks,
Luckyone

It’s usually the first Tuesday of the month, so it should be the 2nd of December. I’ve also heard them talk on the radio about how it’s next week, so I’m pretty sure I’m correct with the date.