Settling down/making it your own
I don’t give two hoots about decorating, but I would dearly love to settle in with permanent furniture, appliances, and most of all, insulation. Sadly, this is the exception rather than the norm in NZ houses. I’d be happy to pay to insulate my own home, but not while renting. In the meantime, we suffer on…
T also wants a dog something chronic. I’m not an animal person AT ALL, so renting has been a good way to shut that down. But I’m willing to compromise when we have a place on our own, particularly if there’s any security benefit to be had (we’ve been burgled too many times).
Putting money into your own pocket
I don’t see property as an investment, nor do I believe rent is dead money. But given housing is our biggest expense, it sure would be nice to be funneling that into an asset of our own – and mortgage rates right now are reasonably low, with home loans in the 5% bracket.
I don’t want to be renting when we have a family
Kids are in the 5-10 year plan. Still a while away, but wouldn’t you want to enjoy your first house for a while before they arrive? And with us getting married this year, this is only intensified. I always thought I’d get married closer to 30 and we’d be in a position to buy a house straight after, but things won’t be happening that way.
Alas, buying a house is not on the cards right now. Why not? Let me count the ways…
The moolah factor
Houses in Auckland are pricey. (For New Zealand as a whole, the median household income is just shy of $80,000 and the median house price is $389,000 – in Auckland, that would be barely entry level. Affordability as judged by the house-price-to-income ratio is nearly 5x, more so for Auckland average house prices – over $600,000 for the city area and $450,000 for the western suburbs, where we’d probably be forced out to.) We definitely don’t have anywhere near enough for a down payment yet. And let’s not get started on property rates, or the fact that we would have to buy a house further out, forcing us to get a second car. $$$$$$ all over the show. It’s a huge financial undertaking we’re just not equipped to make right now.
Flexibility is key right now
We might want to move away for a while or go travelling. T is still figuring out a career. Basically, it’s still too early to settle down and commit to a mortgage.
How stable are our jobs anyway?
T is an hourly worker and his income often varies. And working in publishing, I can’t say I’ll ever really feel secure in my job.