Hi guys, i enquired about renting vs buying your first house. Ok my situation is that i live in Perth which is alot cheaper than Sydney etc that some replies have mentioned. 800,000 for a house to buy – ha!! i cant even stomach that either, however the houses that i may look to buy are 140-150000 about 8 km from perth cbd. Being 22 my parents have said they would invest 10% (lets say 15000 to the deposit of my house and receive 10% back when i sell it(?). This 15000 along with 8000 of my money and 7000 FHOG comes to 30000. This makes the loan closer to 120000 which i think the repayments are 170-185 a week (roughly). If i were to rent a place by myself (sick of doing other peoples dishes!!) this would cost 100-120 in an area relatively close to where i work. I am keen to invest in +ve CF properties also but i cant help but think i can do this after i buy a house to live in? I would like to think +ve cashflow properties arent dissapearing in 3-5 years – steve??? anyway all information is good information just thought i would elaborate on my personal situation more.Also anyone who knows about setting up a trust to buy house and rent back to myself i would love to know that information- inspired with that one!!!!
cheers guys – loving this forum (although can get a bit bitchy though!!)
Rickyricky, there have been quite a few posts regarding trusts etc. on this site, but for personal preference I have just purchased Dale Gatherum Goss’s Tax Battles, and Trust Magic manuals. They are available from http://www.gatherumgoss.com. It appears that many people are willing to travel long distances or communicate via fax/email/mail with Dale in Melbourne, so he must be a bit of a god.
Other than those, try to get hold of some of N.E. Renton’s books on trusts – they can be cures for insomnia though – I’ve had to read one a couple of times to fully grasp the concept.
As for being a bit bitchy, guilty[
], but only once or twice! Other posts that have ‘sparked my ire’ I read over a few times, and then ignore them. I’m not generally into having a go at people – especially ones I don’t know.Cheers
MelHi ricky.
buying a ppor does provide a sense of security, and with your numbers they do look alright, The main thing is once you’ve paid it off whether you’re happy with it or will then decide to upgrade to a bigger house and a bigger morgatge.
If you can resist that (and the put more money doing expensive reno on the house) you’ll probably come out on top.
I was thinking the rent your own house from a trust as I don’t plan on staying around here in the long term but I think it’s a good place to buy. Might be cheaper on stamp duty etc.
Also the fhog was an issue and I thought with a trust you could still get the fhog but as mel pointed out it doesn’t really matter, you can still get ips and still get the fhog.
JOsh
], but only once or twice! Other posts that have ‘sparked my ire’ I read over a few times, and then ignore them. I’m not generally into having a go at people – especially ones I don’t know.
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