Selling part ownership?

[wylie]

Not should, but could. If someone is in a position to do someone else a favour and can afford it, then it would certainly be greatly appreciated. As I said before, if in their position i'd have no hesitation to help someone out.

You cannot make someone do what you might do, in any situation. Perhaps their financial situation means they don't want to borrow (or use their own cash) to buy you out at a "market price" when obviously the place is not saleable right now at what you and/or they consider to be "market price". Perhaps it is not worth what any of you think, at this time.

In the meantime, it is bringing in rent, none of you have a debt on it, so time might just do you a favour, and when the market improves, you can sell it for more than you are happy to accept now.

And as an ongoing concern, less owners is less hassle.

They're not taking on debt so I don't get your point.

Wouldn't they have to borrow to buy you out. Or at least use cash, which they might have other plans for. Without knowing any more, this would seem to be the case.


I'm not painting my whole life as doom and gloom. Far from it. I'm very much grateful for the inheritance but also stating that the little bit of rent I get each year doesn't change my life. Selling the place would.

Are you happy to tell us what the place is worth, and how much rent is coming in. Are we talking a lot of money or a little? And what difference it would make to you, especially if you could actually buy now (as your post seems to say).

Your comment that "there's no such thing as a little debt" is interesting. Are you wanting to buy outright and have no debt? Having debt is what has made us financially comfortable. Debt doesn't bother me at all, but I much prefer debt that is building our portfolio.

Really trying to help here, as I think you might need to look at things differently.

 

[renter]

Perhaps their financial situation means they don't want to borrow...

Two of the owners are very wealthy and won't need to borrow.

(or use their own cash) to buy you out at a "market price" when obviously the place is not saleable right now

If they choose not to then fine. I will just have to accept that. But to not even get a reply to my question was kinda disappointing.

Perhaps it is not worth what any of you think, at this time.

Perhaps. The place is interstate so I'm only going on their recommendation and that of the agent.

Are you happy to tell us what the place is worth, and how much rent is coming in.

I'd prefer not. I think it will only be opening myself up to more judgemental attacks.

And what difference it would make to you, especially if you could actually buy now

Like i've said before. Yes I can buy now, but i'm limited in what I can buy and where. The extra money I could get from the sale of this place would give me more buying power = more choice. What is wrong with that.

Some of you are judging me as being spoilt, ungrateful etc but that is not the case and quite unfair. I have made many sacrifices and just trying to make the most of the opportunities I get. Anyone else would be doing the same.

 

[wylie]

I am not judging you, but trying to help you. Why not buy the best you can right now, let it grow with the market (or stagnate with the market) but at least you stop paying rent. Even buy something, rent it out, and rent somewhere you prefer.

When the commercial place is sold, keep the place you buy now as an IP and buy what you want. Better still if you borrow to buy now (sit your cash in an offset account) so that when you move on, and it becomes an IP, you have a debt to help with your tax. Of course, you have to get your head around "having debt".

Of course, all this depends on whether your inheritance is enough to buy something else outright. So many things to consider. But don't stop moving ahead now, especially if you have the funds to buy now. Buying something you can afford right now is better (in my opinion anyway) than paying rent. You don't have to live in what you buy now, but can rent where you want to rent whilst still getting your first IP under your belt.

 

[renter]

Why not buy the best you can right now, let it grow with the market (or stagnate with the market) but at least you stop paying rent.

The best I could buy now would be either a very small (run down) place in the suburbs I like or a larger place in the outer burbs where I don't want to live.

Even buy something, rent it out, and rent somewhere you prefer.

If I did that, I would only be able to rent a place equal to what I buy. Plus I would be reliant on the IP place being tenanted to pay for the place I rent. I don't see the point in putting myself in that situation.

Of course, you have to get your head around "having debt".

I'm sorta anti-debt but then again i'm not the most financially savvy person. Just seeing what other people do who are up to their necks in debt turns me off.

Of course, all this depends on whether your inheritance is enough to buy something else outright.

It's not.

Buying something you can afford right now is better (in my opinion anyway) than paying rent.

I know but prices have not come down enough. The market here is still quite heated with newbies taking up the FHOG and low interest rates. Agents told me 12 months ago it was a good time to buy.

You don't have to live in what you buy now, but can rent where you want to rent whilst still getting your first IP under your belt.

I'm really not the type to have IP's while juggling rent on another place.

 

[wylie]

I suppose then that you will just have to sit and wait, and keep paying rent. It is not what I would be doing, but everyone makes their own choices.

I look at it a bit like when I worked at a bank and had to wait eight years until I could get a reduced housing loan. Instead of waiting, I got the maximum loan I could get and bought a quarter share in a house with my dad, brother and ex-boyfriend. My brother needed to sell, and we couldn't afford to buy him out, so then I bought a unit half share with my dad. Then I bought my first house, and a tiny little thing it was too. My fourth house was the first one that I "wanted" to live in.

You can either chose to stay as you are, or you can make the situation work for you. But if you chose to do nothing right now, don't complain about "having" to rent, because you don't have to.

 

[renter]

But if you chose to do nothing right now, don't complain about "having" to rent, because you don't have to.

Point taken and understood. Some people like to start small and build up changing places every few years or when they can. I however, hate moving around. I want to buy something I really like and be settled for a long while.