Recent content by jpldavis

What other motivation might I have??? :confused: I was factoring into the costs all the associated ones as well... rates, bills, insurance and misc. expenses based on the total from last year (new cooker, new washing machine, repairs to aircon etc). I'm sorry but your post confuses me.

Getting the local agent to give us an estimate of rental income... then I can assess the gap. Also, amusingly, I work in real estate (although not as a real estate agent)... so really should know how to deal with 'em!

A combination of circumstance and stupidity mate. Our house is beautiful... basically got hooked as soon as we saw it, and ended up paying $125K over our budget... then factor in fees, stamp duty etc, and we ended up $180K over budget. Then my wife became pregnant, and ultimately finished...

I think massive error is the culprit. And, approx. 60% on interest only (80% if I were paying principal and interest). Plus, massive salary cut was the reduction in income we had when my wife finished work to have our first child. To run the numbers if you wish, mortgage 580K, net income...

Absolutely valid point. Yes, if I were able to buy somewhere in that 20% bracket, it would be very unlikely that it would meet the emotional requirements you would want from a home.

Another comment I thought of regarding this... while I agree that owning a home (note home not house) is not a financial decision, I still have an obligation to my family to, where possible, make sound financial decisions. If we choose to disregard a sound financial decision in favour of...

Point taken, but my belief is that the property market has had its run of significant growth for the foreseeable future, and hence, while I think it won't come down too much, I can't see growth much above inflation for the next 10 years or so. I'm assuming most of the growth you saw in Karrinyup...

This is the crux of my question... balance. Is paying 50-60% of my net income, without reducing any principle may I add (that would take approx. 80%), for an asset than in 20 years will comprise over, say, 80% of my total weath, a good decision even when you factor in the completely valid...

It was about 30% of combined income until we started the family and dropped one income! And unfortunately we're pretty far out as it is! I appreciate the point though!

Thanks for your comments everyone. It's an interesting question. I currently am a home owner, but with approx. 50-60% of monthly monthly net income taken up by the house... AND we're only paying interest at the moment. We have a young child so my wife is only working part time. So...

Apologies if this question is off point (this is Aussie Stock Forums after all) but I would find any opinions interesting. Essentially, I am struggling to come up with a sound financial reason to own a home. So far as I can tell: 1. You pay a fortune in interest (for which there is no tax...

Doesn't anyone use First Dollar?

Thanks guys. This has been very helpful. Much appreciated. :)

Does anyone use First Dollar http://www.firstdollar.com.au to measure their investment performance? If so, what do you think of it? As a disclaimer, I'm in no way involved in the development of this software, just an interested observer!

Thanks guys. I appreciate all the help and of course would follow my accountant's advice before proceeding. I guess my issue at the moment is that my investment activity/portfolio value is pretty small fry, but with plans to steadily increase over time. Theoretically, what are the...