I have an Indian couple staying in one of my Airbnb flats who have permanent residency and looking to stay. They are keen to buy something and like the inner west. They're just looking for a flat - one bedder.
One of them is starting a Masters degree soon, and the other is looking for work - IT, of course.
I've looked at a couple of tiny flats with them - I don't mind doing that sort of thing. Their budget is $380K including SD and other costs. I quizzed them on that and said they won't get much for that sort of money and I asked them how they came up with the figure.
It turns out that they have $380K in the bank, but without a job they assume they can't get a loan. The irony is that if they put down a $350K deposit (keeping some funds in reserve in an offset account) and bought a place at the next price point up, around $420, the interest on that borrowed $70K would be about one fifth of the rent they are paying me.
Any suggestions?
Scott
One of them is starting a Masters degree soon, and the other is looking for work - IT, of course.
I've looked at a couple of tiny flats with them - I don't mind doing that sort of thing. Their budget is $380K including SD and other costs. I quizzed them on that and said they won't get much for that sort of money and I asked them how they came up with the figure.
It turns out that they have $380K in the bank, but without a job they assume they can't get a loan. The irony is that if they put down a $350K deposit (keeping some funds in reserve in an offset account) and bought a place at the next price point up, around $420, the interest on that borrowed $70K would be about one fifth of the rent they are paying me.
Any suggestions?
Scott