Too late? Stacked Deck?

If you were desperate to get into a house sooner, you could do it with as small as 5% deposit plus stamp duty. There are pro's and cons to this - just depends on your priorities.

 

Helplessness is when someone on $60k per year reads that you earn $210k and cant find a place.

 

Check my story I was on 60 til very recently

 

@Jol , if you were on 60 until very recently, i would be reviewing your current spending levels.

$60,000 per annum = $3,987 per month net of tax.
$210,000 per annum = $11505 per month net of tax.

Assuming you spent all your earnings back on $60k, your theoretical saving should be $7,518 per month.

Unless of course part of that $210k is an annual bonus.

The deposit doesn't just come from no where, most here didn't have equity. It was all about scrimping and saving every last dollar and accelerating that deposit. Only then was equity available through innovative value adds / market growth.

$5k per month x 24 months = $120,000
$7.5k per month x 16 months = $120,000
$10k per month x 12 months = $120,000

You can see where I'm going with this

Just comes down to how bad you want it.

As for renting is for losers and you must own your own property to live in.... f-em.

 

Your views about money is disfunctional. Work on that first.

 

If my senior PM couldn't work out how to budget for a $800k house on a $210k+ income, I'd be worried.

 

Why? Heaps of people fall into this category. How else have you been able to make money on property?

People can be awesome that their job and suck when it comes to money management.
(But I haven't really met anyone who is good at money management, but sucks at their job).

 

Because the project manager manages time, scope and cost for a living.

 

Sometimes its hard to see the bigger picture when you're living in it day to day.

If you want to keep things simple and buy into a home asap, with the plan of eventually retiring on the coast, then I think saving is your main strategy as others have said.

Pretend your salary is still $100k, live like you did until recently and put every extra cent into your deposit fund. Look for high interest online accounts etc to try and make that money grow faster. I think you'll get a deposit saved up quicker than you realise.

 

These days, you dont have a choice about not wanting to play the game. Might as well learn it.

 

Assuming that you were existing relatively ok on $60k until very recently?....the obvious thing (to me) would be to continue living like you still only earn $60k (in terms of lifestyle; food, car etc) and you will have loads left over to afford a decent home somewhere.

 

One of my favourite songs

 

Howdy, just reporting back. In the 7 or so weeks since posting(?) I've saved 20k. My target is a health deposit in 24 months.

And yes I want to retire around the loch sport / 90 mile beach area.

 

Awesome work!

Keep in mind that you don't necessarily ever have to own the property you live in, now or in retirement. If you want to invest via property, one way to do it is to buy a collection of investment properties where it makes sense to invest. And you live where you want and pay rent to the owner of the property. Meanwhile you collect rent from the tenants of your own properties.

Loch Sport may seem like a good idea for your retirement years at the moment, however bear in mind you will be older then and might want to live nearer to the facilities you'll be needing. For instance you might need to live closer to doctors and hospitals to keep your health on track.

 

Well done! Though I think your years are a bit out if you're 40 now and 10 years ago, at 36, decided to take a different path followed by 10 years of working your way up the ladder!

Are you sure you've not accidentally turned 46 without realising it!