We have a dream… are we on the right track?

Thank you Terry.    I'm a little concerned about having so little equity to start a loan with. Will take too long to be able to start acquiring investment properties with no equity to leverage. Would it take less time to wait a few more weeks to have a more substantial deposit than 5-10%, or is my mode of thinking flawed. I lack experience in investing in property and the home loan market, but I'm learning everyday from knowledgeable persons such as yourself and reading everything I can get my hands on.

We are aiming to have at least 20% for a deposit to prevent having to pay mortgage lenders insurance for our PPOR, increase our options for available home loans and reduce our chances of having an application declined. Just so you know, we've never had a loan or any type of finance application rejected to date. Plus, I'm trying to have the necessary money for closing costs. i have no idea how much I will need for Stamp duty and other costs in Victoria or NSW. I live right on the Murray so have the option to buy in either state – only have a river to cross.

            "So did your hubby actually live in the house/was his name on the title? Kind regards, Maree"

Maree, thank you. I am pleased to finally to be free of having to live someone elses nightmare. I believe my husbands name was on the title. My Brother-in-law was not earning anywhere near enough to buy a house on his own but did have a bit of a deposit.

You don't have to read on if you don't want to, but, for those who might be interested in knowing what we did to come out the other end happy healthy and armed with skills in frugality that will help us for the rest of our lives. Here's my story (contracted to the nutshell version)…

When I met my husband, his brother got me alone and threatened me (my presence in his brothers life obviously threatened to take away his meal ticket!) He made it clear that his brother was doing him a favour and that the house will never be his and that he was allowing him to board and that was that. When we became engaged, he didn't want me staying at the house at all, not even overnight. Their mother passed away and after finding out I was pregnant, I was not allowed to move in. Before we married, we moved into a small unit. My hubby earned $380 per week and I earned about the same until I was forced to stop work prior to giving birth, on medical orders. We then had to figure out how to pay $150p/w in rent, $200p/w mortgage along with our other challenges. How were we going to pay to get to work everyday, buy food, pay bills AND prepare for the arrival of a brand new baby on the remaining $30p/w. We sold my hubby's big thirsty car that purchased using a personal loan and we kept mine. My car was a smaller, cheaper, reliable little Lancer that still had warranty and some free services bought 2nd hand new and owned it outright. We really needed a car as my hubby needed to go to work before public transport started running for the day, and taxi's would be far too costly. Plus, he had to travel 45mins in quiet times and as much as 90+ minutes in peak hour.

During this time, my hubby was made redundant and because  he hadn't been with this employer very long, didn't receive very much in severance. Hubby was working a new job before the week was out, but had to travel further and work longer hours for only $20 per week more (welcomed pay rise, no matter how small). This money was greatfully received though, as it fed us for 3-4 weeks shopping very carefully at the markets and for sales and specials in the grocery departments and produce stores. We became VERY resourceful and frugal, which continues to help us even today, 10 years later. Then as if this wasn't enough, BIL arrived on our doorstep one day asking for $50!!! My hubby GAVE IT TO HIM!!!!!!!!!!!!! BIL looked around the unit and then asked "do you have contents insurance". He'd once bragged about how one of his friends had some mates to break in and take anything of value that was "dated", so he could have it replaced with an insurance claim. They sold the "stolen" stuff at a garage sale 12 months later. I was petrified that he would try to do the same to us. I cried and cried for hours and then called my parents out of sheer desperation and THANK GOD, they were able to help out. They travelled to Adelaide (where we were living at the time) and helped us get set up for the baby, fed us and generally made sure we could survive. We got legal intervention to force BIL to sell the house with help from my parents and then we moved closer to my parents once our baby was born and the house was sold, to start over.

We had no money and stayed with my parents until one of us had a job. Then not long after settling into our newly rented home, the federal revenue service called, the funeral center was wanting to be paid (BIL said he would pay for the funeral after my SIL and hubby STUPIDLY gave my BIL money to pay the undertakers instead of paying directly), letters from solicitors started arriving by post and the debts rolled in. All of this is behind us now. You all know more about me than even some of my closest friends!! LOL

Our life experiences have strengthened our resolve to NEVER be in a vulnerable situation again and to have the financial security that we didn't have in our earlier married years.

My BIL is cunning and had obviously obtained enough information to fraudulently obtain accounts and loans in my husbands name. BIL has convictions for grand theft and drug offences. He was using my hubbys car for a while saying he needed it to get to job interviews. He received parking and speeding fines and hid the evidence until we changed the address when we moved and sold the car and the mail started coming to us. He wouldn't sign a statutory declaration stating that it was him driving the vehicle and we didn't want or need the hassles of having to go to court. Then he took out accounts with news papers for advertisements. He had a garage sale and put in all these adds. (even sold my sisters bar fridge which was on loan to him as he said his had broken down. Turns out he sold that too. He sold pretty much everything, even hubbys things. My hubby was glad to move in with me but all he had by the time he did move in, was his bed, a bike, golf clubs, clothes and some small personal items. PLUS, my hubby is naive. Since then, he's been better educated to the ways of the world and we've taken many steps to prevent this ever happening again.

I think my dh honestly loves his brother and got into strife believing he was helping his brother to "change" or get a life. Didn't want his brother in jail either. I think this guy SHOULD be in jail after doing what he did to his own flesh and blood. Turns out, almost  to our detriment. Right now, he never wants to lay eyes on his brother, ever again. Sad, but for the best.