What would you do with $10,000?

Hi Giddo,

that’s quite a saving at 16. Good on you. keep up the good work.

When you reach 18, and provided you have a stable job and descent income (say $30k/year), you might be able to buy an investment property of around $150 to $200k. your current saving of $10k has represented a 5% of $200k, which is the minimum saving most of the current mainstream lenders will expect from a borrower.

I hope this helps.

Herman

Wow man, i’m spun out. I’m sitting here eating my potato chips and i’m spun out…

i thought saving for a wetsuit at 16 was a big deal. $10,000 – holy sh$tballs batman. Thats awesome. Lookout here comes the next Donald Trump.

While $10k is a deposit on a cheap unit in a country town somewhere (hard to find that cheap), i think you’d still end up paying a lil mortgage insurance. I think the thing here is, you’d have to show the bank that your income stream was reliable. Just what is it you do on the internet? Do tell….

Maybe you should get your parents to garrentee the loan, and that way a bank might lend you the money.

Good luck on the empire building Diggo, early days yet mate..

Cabo Wabo

Hi Diggo,

Well, GOOD ON YOU !!!! It is great to hear of one so young setting themselves up in such a good way. You deserve to do well, and I’m sure you will. Go, you good thing…

Benny

gday diggo, i’m in a similar situation than you! man, 16 and already $10k, thats awesome. how did u get into property, your folks into it? im 18 and have about 18k. it depends on where you live, i’m in victoria so i’m looking towards houses that are around the 200k mark as a starter. But it is important to get the first home owners grant (at the moment $12k in victoria, soon to be $10k).to get it you just have to pretend to live there for 6 months (thus it must be in your home state). you don’t necessarily need a stable income for a loan, as other people have said. instead, you can get your parents to act as a guarantor (i think thats the word), and hopefully the rent you collect should be more than enough to cover interest. also remember to borrow 110% of the property price to cover taxes and hidden costs (they add up). Finally, there are awesome (affordable) houses for sale in Tasmania, just visit realestate.com.au – i’ve been interested in the suburb of Burnie (beach views, for between $100 – $200k!!) Wow that is a long first post! keep me posted, it will be interesting hearing from someone in a similar position. PS, could you possibly swing me some information on this online investment… i could sure do with an extra $2000 a month! cheers and good luck

Diggo & MT87,

You are both doing pretty well for such a young age.
But before you dive in the deep end, you need to do some more research and learn more about property investing. The fact that you had to ask what mortgage insurance was and what the FHOG was is a dead give away.

There is nothing wrong with sticking you money in a term deposit for now, because there are some good returns, and your money only needs to be in say for 3 months (which isn’t long, when buying property it’s there for a lot longer). That’s where I started. It’s actually a good starting point, because you start to learn where to park your money while it is not being used for property investments. Believe it or not but not long before you were born we could get 15-18% return on short term deposits. Not such a silly idea.

Given your age, you are not about to “miss the boat”, as they say. An educated investor is a smart investor. There are a lot of places to put your money.

Ever though of starting your own business ?? What could you do?? Have a think about it.

Mal

Getting out of your comfort zone, can help you become comfortable

This is starting to sound alot like a subliminal advert. Did you know there are trading forums elsewhere?