Hullo,
Advice needed.
Here is my situation:
Aucklander now living in Christchurch. Like Christchurch better and hoping to stay for at least 2 years. But single, early 30s, and don't really know where I will settle long term.
- Bought my first property in Mairangi Bay/Windsor Park, Auckland for $485k with $388k in mortgage in 2009. Currently being rented for $505/week. In LTC. On 4.85% for 1-year (interest only). Pays for itself.
- Bought my second property in Fendalton in Christchurch for $530k with $395k in mortgage earlier this year. (I know it wasn't a good deal, but not a terrible deal either.) Mixture of revolving credit, 4.85% P&I, and floating at 5% (which I am thinking of changing to revolving credit). Parents also gave me interest-free loan of $280k, which is sitting in the revolving credit. So effective mortgage at the mo is $115k. They may want to use part of the money in the near future but not all of it. The property is currently being rented for $550/week.
- Overall, approximately 75% LVR (on a very conservative estimate, not including the loan from parents)
Now I'm living in a rental myself, but I want to move out of this place early next year at the latest. I was initially wanting to move into Fendalton property that I own, but now thinking it might be too big for me. So options are:
1. Move into Fendalton property.
2. Rent a smaller property that's around $400/week and hope that landlord decides to hold, not sell.
3. Buy another, smaller property for me to live in.
Any ideas? I was thinking about buying a 2-2.5 bedroom unit in good neighbourhood for around $350k to live, but I guess you can't always guarantee that mortgage rate would stay this low. And taking on too much debt is quite scary. But potentially having to move 2 more times before a big exam that I'm supposed to sit in 2015 is also not very appealing.
I want to hear a range of opinions, especially from Cantabs.
S
Advice needed.
Here is my situation:
Aucklander now living in Christchurch. Like Christchurch better and hoping to stay for at least 2 years. But single, early 30s, and don't really know where I will settle long term.
- Bought my first property in Mairangi Bay/Windsor Park, Auckland for $485k with $388k in mortgage in 2009. Currently being rented for $505/week. In LTC. On 4.85% for 1-year (interest only). Pays for itself.
- Bought my second property in Fendalton in Christchurch for $530k with $395k in mortgage earlier this year. (I know it wasn't a good deal, but not a terrible deal either.) Mixture of revolving credit, 4.85% P&I, and floating at 5% (which I am thinking of changing to revolving credit). Parents also gave me interest-free loan of $280k, which is sitting in the revolving credit. So effective mortgage at the mo is $115k. They may want to use part of the money in the near future but not all of it. The property is currently being rented for $550/week.
- Overall, approximately 75% LVR (on a very conservative estimate, not including the loan from parents)
Now I'm living in a rental myself, but I want to move out of this place early next year at the latest. I was initially wanting to move into Fendalton property that I own, but now thinking it might be too big for me. So options are:
1. Move into Fendalton property.
2. Rent a smaller property that's around $400/week and hope that landlord decides to hold, not sell.
3. Buy another, smaller property for me to live in.
Any ideas? I was thinking about buying a 2-2.5 bedroom unit in good neighbourhood for around $350k to live, but I guess you can't always guarantee that mortgage rate would stay this low. And taking on too much debt is quite scary. But potentially having to move 2 more times before a big exam that I'm supposed to sit in 2015 is also not very appealing.
I want to hear a range of opinions, especially from Cantabs.
S
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