'Sup Clutchfans. Medium read ahead. Sorry no cliffs. So I'm currently at a dilemma in life - well not really a dilemma per se - but a fork in the road and there's a couple of avenues to go down. The point I'm currently at is I'm 26 years old and back at home with my parents and older brother after being Medically Discharged from the Army late last year. What has lead me here is: I've had a full time job since leaving high school, but I had never saved money for the future when I was young. It's not like I bought the flashiest things but I always found a way to spend my money (such as a $25,000 trip to America to watch 9 Rockets games) My goal was always to be in the Infantry and live on base for the initial few years service - comfortably saving $1000 each fortnight - which would've been the deposit for a home loan. Obviously that died when I was Medically Discharged and I'm basically now with no savings. All my friends are either buying their own home with their partners - or in the market to do so. I had turned down a couple of potential relationships the past few years because the Army was where my head was at. So I'm single. Looking to meet new people. But living at home. I made a profile on a flatmates finder website and instantly got an email about a house with 3 other girls. Now is where the fork in the road enters the fray. My options are to: a) move into said house with 3 girls and basically confirm I'll never own my own home since the price for houses in Sydney is at a ridiculous level and only getting higher - there's 0% chance I could rent AND save for a deposit at the same time b) stay at home with my parents. I'm sure If I broke it down for them and gave them a 2-3 year plan of hard saving then I'd have a deposit built up (or near abouts) they'd look at the idea favorably (my other brother is 31 at home right now)... But if I go this route I basically say goodbye to even trying to meet someone - since everyone I meet will live out of home and it's embarrassing as anything to say 'hey, yeah I'm 26 and back at home' Are there any Clutchfans out there who have given up on the dream of owning their own home? (I don't know if salaries/incomes and house prices equate to the same in the US) Any words of advice from people who have been in similar situations? Or anyone who has any input, would be greatly appreciated.
Live at home and save. Study and work. It's getting harder for young people to buy. When meeting potential partners and it comes up explain. If they don't understand are they really someone you could spend life with? Good luck.
Without knowing all circumstances, I would simply like to add that home ownership is not everything it's cracked up to be. The equation is not as simple as deducting the rent you are paying from the savings you could be enjoying/accumulating. As far as maintenance fees, in the US there are annual property taxes, monthly HOA fees, and finally depreciation/that synthetic cost of having to do things to maintain the value of your own home. Add on top of that the mortgage, which should actually be the bulk of your monthly money allocation, and home ownership is not necessarily the far-and-away winner. I know home prices are absurd in Australia and continuing to go higher, what with the influx of money from Asia and other parts of the world. My only cautionary recommendation would be not to interpolate that increase in property value to the next twenty/thirty years of your life. Like any other asset, the best time to buy a house is in a market downturn. Just remember that if/when you sell property for more money than you bought it for, that capital gains is also taxable. There's no free lunch with the government. So my advice is to do whatever you can to boost your career. If that means living in the city, then so be it. Go live with the three girls. Just don't use that as an excuse to jack around and spend the next decade of your life like you spent the past one.
Don't get hung up on owning a house right now, that can wait. Depending on the cost difference, I would strongly consider moving into the flat over moving in with your parents. Not for the perception it creates necessarily, but for your own sense of personal independence and responsibility. Stay busy when you aren't working. Keep your idle time filled with tasks that focus on self improvement, financially and physically (it's very tempting to just crash after work and fall into a routine of leisure). Dave Ramsey is a popular author/radio host in America that talks to people like you all the time and gives great advice. You should call in some time and explain your situation, he will help you consider your options, and they would probably love to take a call from Australia (he comes on live here) http://www.amazon.com/The-Total-Money-Makeover-Financial/dp/1595555277
You're still very young, I wish I was 26 again so I could go back and do the things I thought I was too old to do. Stay home and save money.
Why would you want to look for a partner with the financial state you are in right now??? Stay at home and make money just seems to be smarter idea.
Stop worrying about what other people are doing. Do you. Go back to school and take care of business. Im 27 and going back to school, feels awkard but it's now or older. I have a nice schedule and career but at the end of the day Im still a worker.
I agree. Not sure what the obsession is with owning a house? What will change or be different when you have one? Then what? put yourself in that position and ask yourself what is so great about it or better? So what. Not a big deal in my mind to own a house. I owned a house and I have rented. Buying a house is not the be all end all. You are sweating something that in the bigger scheme of things really 'doesn't add up to dried shi**it' as we say in Texas. BFD. Also first things first we need to see pics of the potential roommates. I can see you thinking living with family is lame. There are plenty up living situations that will allow you to save or get to your goal of a home. But again that goal of a home is great but don't break your ass over it. Seems like you are drowning in a glass of water here. Chances are you will not save that much more living with parents anyway. So move out live with these girls or look at other options that are not living with parents. You will enjoy that more anyway and being at home down on yourself because you don't have a home you own is a weird place to put yourself. A self imposed sort of feeling that can snowball into a depression or more of a lame feeling caused by the fact that you don't want to be at home with parents. The bigger issue here isn't home ownership (even though your mind tells you it might be) the bigger issue is that you don't want to live with parents. So guess what? Don't live with parents. Also I recommend smashing as much tail as you can get your grubby little paws on. it's amazing what some well timed pelvic strokes on a slump buster will do for the psyche.
Yeah, owning a house is over-rated unless you're older and have a family. I don't think there's much upside to owning a house when you're single and in your 20's. You're talking about a HUGE 30-year financial commitment. Why do you want to take that on when you're young and single?
True. Ask yourself that question. This is incorrect. If you move into that house that isn't a factor to determine your future about owning a property for yourself. Certainly there have been people who have done far worse than that and still were able to own a home. MAYBE you don't need a home now. I don't know how different it is down under with credit, your history, and your marital status, but maybe you do not need to own a home. You have to remain positive and stop thinking so pessimistically about life, mate. The right person for you will come or you will find them when you least think it can be. SAVE your money. SACRIFICE the good things NOW so you can ENJOY the good things LATER. There is nothing written in stone that says your future is bleak and gloomy. It seems like you're basing your failure or lack of success with finding a home on what your friends have done, and that's no way (at least in my mind) to go in life. If you're constantly going to beat yourself up about them doing it a different way, then simply ask them how difficult it was for them or how they did it, so you're not feeling down about their good "fortune." Did they win the lottery? Did they get an inheritance? Did they happen to know the son of the cousin of the sister of the neighbor of a huge company that gave them a job? So be it. But you have to work for your own... don't base it on them. You have to persevere and step over the obstacles. Good luck in your future, lad.
Stay at home and save. Don't look to other people for validation. Everybody's life and situation is different, and the people you want to hang out with/be like have their own demons that you'd rather not have. Stay at home, take it on the chin, and use whatever social setbacks it causes you as motivation to keep working towards your goals. You'd rather have financial freedom in your 30s and then decide what you want to do than be in your 50s with a brass ceiling over your head.
Neither situation is as bad as it seems. I can't tell you what to do. But owning a home can happen later in life, and the situation with the roommates doesn't have to be permanent. Your career and income may also change over time. So you may be able to save money later on even if you aren't moving at home. In order to grow and experience new things, you might need to get away from living in your home. Don't stunt your growth because of the idea of saving. Having fun, and enjoying yourself is important to, and good for your mental health. If you do stay at home, 2 years isn't the end of your life. If you move out when you are 28 you will still be able to meet someone romantically. Also don't worry that everyone will strike you off their list because you are home saving for a home. They may not want a quick hook-up but if you are looking for more, then get to know them and once they know you they won't write you off just because you have a way to save money and it involves living with your parents. Just speak about it, confidently. "I have a plan right now, and that's to save money, so I'm staying with my folks for a couple of years. I'm really lucky to have that option, and I want to take advantage of it while I can." Either way you will be okay. Take some of the pressure off of your decision and realize that neither choice is life or death. That might help you approach the situation with a clearer mind and make choosing the right decision for you a little easier.
damn you beat me to it. OP, home ownership isn't what it's cracked up to be. you don't own it, it owns you.
Stay at home. From personal experience, I'm currently looking for my house now. I have acquired the necessary funds to put a down payment and fully furnish my new house. I wouldn't have been able to do this without moving back home. Sure, at first my pride and sense of being independent took a hit. I got over it and got to work. Make a plan and follow it. Good luck Sniper!
If a girl you meet doesn't understand the concept of saving money by living with your parents, then why would you want to pursue things further with her? That's not such a terrible situation to be, and a LOT of people in their early-to-mid 20s take advantage of the opportunity. I've never understood why showing some foresight and saving for the future is considered embarrassing. Save up the money because you'll never have another chance to save up that kind of capital again.
I'd say stay at home but stay focused on what you're goal is. Also, home ownership ain't that great. So maybe stay home for another year just to add to your savings, then move to Sydney and have sexytime with many females.
