Hello,
I've from overseas, but have been living in Melbourne with my wife and 3 kids for the past 5 years and we've been renting a house in Glen Iris. We love the area, we've settled down and our whole life is based around the area (i.e: friends, schools, amenities, public transport etc)
The house costs $900 a week, and the equivalent house to buy would cost around $1.3 million (4 beds, 2 baths, modern, small plot) We are ready to buy, and can borrow up to $1.5 million. My house back in the UK is paid off and worth $400k, so I'll probably use that as a 20% deposit and use the remaining $200k to reduce the mortgage, as I don't really want to borrow $1.5m - $1m would be far more comfortable.
On the other hand, I keep hearing about how properties are overvalued. I keep being told that it would be wise to wait, but I really don't want to risk property prices rising rapidly again to the point where it'll be out of my reach. To be honest, the only thing I want is to have a reasonably nice house near the same suburb.
So my question is, should I just bite the bullet and purchase a family home now, or should I continue renting and save some money for a $700k apartment for my wife and I when my kids move out in 10 years?
I've from overseas, but have been living in Melbourne with my wife and 3 kids for the past 5 years and we've been renting a house in Glen Iris. We love the area, we've settled down and our whole life is based around the area (i.e: friends, schools, amenities, public transport etc)
The house costs $900 a week, and the equivalent house to buy would cost around $1.3 million (4 beds, 2 baths, modern, small plot) We are ready to buy, and can borrow up to $1.5 million. My house back in the UK is paid off and worth $400k, so I'll probably use that as a 20% deposit and use the remaining $200k to reduce the mortgage, as I don't really want to borrow $1.5m - $1m would be far more comfortable.
On the other hand, I keep hearing about how properties are overvalued. I keep being told that it would be wise to wait, but I really don't want to risk property prices rising rapidly again to the point where it'll be out of my reach. To be honest, the only thing I want is to have a reasonably nice house near the same suburb.
So my question is, should I just bite the bullet and purchase a family home now, or should I continue renting and save some money for a $700k apartment for my wife and I when my kids move out in 10 years?