ive just gone to the bank today to look at home loans the loan is for a house worth 130,000. and the repayment would be $230 weekly to me this doesnt add up, i thought it would be cheaper . its a 30 year loan. is it unwize to by my first home and live in it or is it better to just rent straight away and lose the $10,000 grant.
Some more points to complicate your decision.
1. If you live in it first you get a CGT exemption.
2. You don’t lose the FHOG if you rent it. You can still use it when you do buy a home.
Your repayments can be lower. Consider an IO loan. Without knowing the loan size I cannot give you figures. What deposit are you planning on using?
Cheers,
Simon Macks
Residential and Commercial Finance Broker
***NODOC @ 7.15% to 70% LVR***
[email protected]
0425 228 985Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.
Originally posted by shrimpo:ivefor a house worth 130,000. and the repayment would be $230 weekly to me this doesnt add up
Well spotted. No, seriously, there are plenty of people who would argue that houses are rationally priced, when by any fundamental measure they are overvalued! You spotted the error, and well done. What would it rent for? $100pw? $120pw?
If so, rent it and save the difference. You’ll be quids in after just a few years.
F.[cowboy2]
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